I am another in the camp of a straight stitch only machine for piecing and (dreaming of owning) an embroidery machine strictly for embroidery and any other zigzag I might want to do.
Since I don't plan on doing a lot of embroidery - most likely mainly labels and such - I'm presently considering a very basic machine in the under $500 range.
Whether I decide to upgrade my wants before I actually purchase remains to be seen. Lol! Because it sure would be nice to have one of those that "does everything". However I don't want to make it a commercial venture and that would be the only way I could justify to myself that kind of expenditure.