I havent personally seen any of these projectors Im recommending you check out but they sound promising. All three are 1080p projectors. Generally I havent seen any low cost projectors I could live with but would certainly like to check these out.

Panasonic AE 4000
Epson PL Home Cinema 8500UB or its bigger brother 9500UB

Optoma HD20

Make sure that you get a good quality screen as this is also very important. Stewart Film screens grey hawk.
References :
http://www.projectorcentral.com/home-theater-multimedia-projectors.htm