Yellahunter, I started out and was advised to get the best gear I could afford to start with as a good rod, reel and line will make all the difference when you are learning to cast.
I stupidly sold my gear a few years ago, but I spent about $500 to get started. I used to grab the privately run ferry over to wavebreak island on the Gold Coast and cast small bread flies in my burley stream. It was great fun practicing casting into the wind and picking up some descent sized bream and flatties.
I tried flyfishing at borumba and found it difficult when you are a newbie and with mates as you all get in each other ways. Fishing the upper arms at Borumba was good when the water was low and you could walk and stalk the toga.
I had a g.loomis fly rod, reel (can't remember), and slow sinking line to start out with.
The main problem I had when I started out was getting to much whip action and snapping my leader and flies...lol For the record, I managed to work it out after 6 months of casting, only to sell the gear (was a Uni student in need of money).
I am sure someone more current with the latest gear will steer you to a good entry level rig. what sort of dollars are we talking?
cheers
Roydsy