Looks like it's body only, but a kit lens can be had for cheap - especially used.
I've never used one myself, but I know a guy who's still doing some really nice things with an XT. Mind you, he's a goddamn WIZARD, but this is his weapon.
That being said, it's an old body and, as such, old tech. Your results probably will vary. THAT ALSO being said, one of the best exposures I've ever made was with an even older model...
Personally, I would buy something newer. I'm not a fan of spending the absolute max of my budget, but I'm also not one to spend the absolute minimum, either.
This exceptionally wishy-washy response should be read as: Buy something newer. I've heard a lot of nice things about the T1.
http://www.bhphoto...l_t1i_digital.html You'll still need a lens, but you can pick up a decent kit lens for nearly dirt.
If you're not in a hurry, troll Craigslist for a little while. You can find some pretty sweet deals there, if you're patient. Keep in mind, you'll need batteries, chargers, memory cards, etc. I seem to run across a number of "complete kits" that seem reasonable. Plus, you can put your hands on the items beforehand, ask questions, etc.