Posted by Trap The XS is definitely better than the XT, check it out on dpreview. But yours is an AMAZING deal... which is why I'm back and fourth... Don't worry im still leaning more towards your XT The thing that I REALLY like about the XS is the liveview mode...
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That's one of the reasons I'm upgrading myself ... buy what you want, personally I would save up and buy an XSi ... the XS is like a downgraded XSi.
I have a friend who said he would take my camera off my hands sometime in the summer, so it's really up to you.
The problem is, I want to buy a t2i but don't want to break the bank and don't think I'll have the money to buy a t2i, make it to the meet, and then sell the XT. I was going to sell the XT before I upgraded, myself.
I can almost guarantee you, if you buy an XS or XT, you will want to upgrade later on. If you just want a DSLR, that works now and don't mind upgrading, get the XT. If you want a body that will last for quite a few years, go for an XSi or T1i.
I might be willing to make the deal better if you could do it sooner (end of July?), say $330 plus shipping, so probably about $350 said and done.