Maybe I can sum it up for you if you don't want to dig into the beginner forums.
I'm pretty sure everyone here would agree that any consumer DLP solution will be much brighter than a DIY LCD version. (This doesn't mean it will not produce as good of a picture, you just have better visibility in ambient lighting conditions which makes the projector more flexible.)
In general, you can still save some money with DIY but you'll lose out on a lot of the features that consumer grade projectors have. Building your own projector though is a VERY satisfying and exciting experience, and to a certain degree you can make your own design and you get to troubleshoot along the way so if you enjoy building things then it's definitely worth it.
I'd recommend building one with a cheap LCD first to get an idea of the process, then upgrade to the high def panel because it would be a shame to destroy one of those. The trick to save money there is to not cut your Fresnels for the cheap panel, and buy the optics & lamp you'll need for the HD LCD. Looking for used panels on craigslists without FFC issues is a good place to start.
All in all I think the picture quality is very good, but heed the warnings about folded designs unless you have a very easily adjustable/tweakable setup. (Actually for folded designs it's generally easier to put the mirror after the projection lens, but you don't get the space savings.)
Anyways, just my thoughts on the subject since consumer 1080p projectors are coming down into the $1500 price range
(LCD but still good)
http://www.amazon.com/gp/product/B001GCUIK8Jack