Well, I'm afraid there isn't that much of a difference right now among the newer models in the 500 dollar price range. Many of the camcorders offered by Sony, Panasonic, Canon, and JVC have the same feature sets and even the same form factor, using the same materials that come from the same factories.
The differences one might find among camcorders in this price range is higher optical zoom, top loading or bottom loading tape mechanism, touch screen LCD, a few in camera settings for filters and such, and maybe a manual focus ring? Some of these things make a big difference for some people to effectively tell their story, others, not so much.
You pretty much have to try them out for yourself to see which ones will help you achieve your goal.
The price point where we see a recognizable differentiation in features is usually around 800 to a 1000. This is where some camcorders start to introduce cropped instead of stretched 16:9 aspect ratio, high megapixel photo option, 3 CCD's, which enhance color and light reception--a big plus. Though, it isn't until we move into the 1500+ section that we see progressive frame rates, different sensors, CCD vs. CMOS, highly improved audio control along with other manual feature sets that add to the overall quality of your project.
Next month, at NAB (The National Association of Broadcasters) in Las Vegas, new products will be unveiled by Sony, Panasonic, JVC, Canon, etc. Generally, we see only the major camcorders get the spotlight, but there might be some camcorders announced on the lower end. So, you might want to wait a month, see what happens.
In the mean time, I recommend visiting camcorderinfo.com to peruse through their user forums and take a look at some the recently released models, but be cautious when reading their reviews, they’ve gotten a reputation for being somewhat biased.
Another place to peruse though would be DVinfo.net. And if you ever get your hands on a prosumer Panasonic like the DVX100, I highly recommend becoming a member of the DVXuser.com forums. Even if you don't own a DVX, I still recommend becoming a member of their forums.
Happy Hunting
