I will always tie first, then I baste around the raw edges through all 3 layers, then bind, you definitely need a walking foot. I always make my own bindings.

Ok, I do need to get a walking foot.... I saw one at JoAnn's for $14.99 - does that mean it's junk or is that a normal price for something decent?

The price of $14.99 is a decent price, but make sure it will fit your machine, there's straight shaft, slant shaft, short and long shafts.