I think you ROCK for being so supportive of your wife and her desire to quilt. The thing that makes quilting fun for me is my husband's support and encouragement of my love of this hobby. In a recent trip to Amish country in Indiana, he went in all the quilt shops with me and helped me pick out fabric! That's a husband that loves me!

. I say all that to say this: keep on encouraging her to continue.
I agree with the others who have encouraged you to check out used machines and to find a reputable dealer. That can make all the difference. Dealers are not dealers for (only) the money. My dealer is in it for the love of sewing and sharing that passion and love for sewing & quilting with their customers! They helped me find the machine I could afford and offered free classes to help me learn my machine! I know your wife just needs to know that the machine she has now is sufficient. Crafty.com offers some great classes about quilting on a basic domestic sewing machine. Everyone starts somewhere. I have two basic machines and they are both awesome. And I have done my first quilt on my domestic machine and it turned out very nice!
Good luck!