Steel is real. But I tour, so no way could I put up with aluminum's rough ride. Counterintuitive, modern steel bikes cost more to get into than aluminum. Used might be a way to go.

My favorite sub $1500 steel bikes

All-City Space Horse. light and whippy, mounts front and rear, somewhat limited carrying capacity but better than aluminum. Electrocoated tubes mean less concerns about rust. And, uh, I own one!

Bianchi Lupo or Volpe. Not quite as fun as the Space Horse, but marginally higher carrying capacity. The Lupo is pretty affordable.

Surly Cross Check - heavy beast, lots of carrying capacity. Not much fun, but bar end shifters offer a lot of durability/reliability. I see these used on Craigslist pretty frequently.

Salsa Vaya - similar to the Cross Check in ride, but a little more upright.

Specialized AWOL. I haven't ridden one, so not comments. They look great!

Nashbar Steel Cyclocross. Shimano 105 (whatever...). No front fork mounts, but there are ways around that... I haven't ridden one, but people seem to like them. You'll have to order this from Nashbar and do a little assemble (not hard). Make sure you order when they're having their sales (seems almost weekly).

Charge Plug line is a good low cost option if you can find a retailer. No front mounts tough, if I recall correctly.


Now... Aluminun...That shop is wacky. The Trek Cross Rip for $1100 is a great bike that would probably fit your needs.

In general a steel or aluminum Cyclocross bike should fit your needs pretty well. Just switch out the tires for some slicks and you'll be good to go.