i got a medium-low priced camcorder and it does videos as good as or better than a lot of sites out there. my camcorder allows me to shoot pics simultaneously while i shoot videos and although they are not as good or big as regular pics, they are better than screencaps.

what lights you will need depends a lot on what size room you are planning to shoot in as well as what background colors and materials, how high the ceiling will be and a bunch of other stuff. i started out with 2 500 watt lights from bhphoto video plus a floor and a fill light which i actually got from the hardware store for around $20 each. craigslist did much MUCH better for my stuff than ebay but mostly i bought stuff new at www.bhphotovideo.com for the equipment and www.butterflyphoto.com for the camcorder and later the cameras.