AGR. go to 2-3 shops and get their opinions on what bike is the best bang for the buck. It sounds like you are looking at a bike that is around $500 Canadian.(Helps me identify
) That is a good cruising bike and could take some pretty light trails. Try and stay at the higher end of what you have budgeted for the bike, as it is much more costly to upgrade later. Make sure you tell the salesperson EXACTLY what you plan on doing with the bike.
Steel vs Aluminum. It is getting harder to get a good quality steel frame, so for you I would stick with an aluminum frame. Specialized and Trek both offer great value at that price, in the frame and the compnents.
Fit. Really, there are great guidlines for fitting but nothing is written in stone. Different riding styles, terrain, body type, etc can influence frame fit and size. Try the 20-21" frame size, how much stand over the center of the top tube (try lifting the front wheel of the ground and looking at how much the tire is off) you have should be in the 2" maybe 3" range. Then how do the handlebars feel in relation to the seat, do you feel stretched out, or really upright and cramped? Stem length can be changed as well as handlebars to help. With a pedal at the bottom of the stroke (6 o'clock) and with your HEEL on the center of the pedal, your leg should be straight. Not stretching, not reaching, just straight, so now you have the proper seat height. Now when your in a regular cycling position you will have a slight bend at your knee at 6 o'clock. You can go a little lower for comfort but not to much, and don't go higher as you just end up rocking your nuts back and forth accross the saddle.
Hope this helps, let me know if you need anything else.
