buy used and your money will go much farther...
2x SM57's (guitars, snare, toms, some vox) $120 used
2x Oktava Mk219
(same sources as SM57) $90 used
2x AT4041 (OH, Ac. Guitar, some vox) $450 @ 8thstreet.com AKG D112
(kick drum, bass cabs) - $120 used
MXL V69 (tube LDC, vox, room, bass cab) $220 used
With that setup you could track a 5 piece rock band. D112/AT4041's/SM57/MK129 for your Drum Kit. 1 57
for lead guitar, 1 MK219
for rhythm guitar, and the V69 on Bass.
Overdub your vocals with the V69.
If they want to track individually, then great... use the V69 as a room mic for drums, and steal the extra dynamic mics for under snare/floor tom.
great records have been made with worse.
If you have a great sounding room to record in, swap the AT4041's for a pair of Avenson STO Omni's at only $50 more.
i own all the mics listed in the configuration listed in this post.
i also own a pair of Beyer M160's, a Beyer M201
, a pair of Earthworks TC30k's, an AT4060, a couple ShinyBox 23C's, an ADK Vienna, and a few Sennheiser MD421's.
So i can say that that particular configuration holds its own, with room to expand. I haven't sold any of those mic's.