5-7 with a lens is a tough one. I have a Nikon d90 that I got used on ebay for 800 a couple of years ago. I think that Nikon has a few new cameras that would be in that range without the lens. I haven't checked but they have a 5000 line that should fall right in there. Maybe you could go to a real camera store and tell them you just want the body and the lens. Give them your price range and see if they will help. Here local we have Bedfords. They are great at beating prices. Heck they even price matched a used camera on eBay for me :) do you never know what you can get sometimes. I went to a local photography meeting and the speaker said "Never pay retail" and since then I haven't :)
Sorry. I'm tired and I ramble. I love Nikon other people love canon. Your best bet would be to get with someone that has a camera and mess with it to see if it's what you want.