December-January is prime tourist season, so 700-800 would be pretty damn cheap-- I'd expect more like 1100 honestly. From the west coast I've never paid less than $1400 for all of my trips.
When you go guidebook shopping, FYI the current issue of Lonely Planet (it has the Taj Mahal framed by two ladies' sari-clad legs on the cover) is pretty much outdated rubbish. I'm not saying Lonely Planet is rubbish, but that book has been out since Sept 2007 and things change incredibly fast on the subcontinent. There's a more-current Rough Guide and Footprint Guide out, and they're both good, solid guides.
Where do you think you'll go and for how long?
And remember that the tourist visa is good for 6 months
from date of issue, not date of entry-- so give yourself enough time to get it before you leave, but not TOO much time! Visa processing is outsourced through Travisa now; if there's an Indian Embassy in your city you can't just go there to apply for it, you have to go to Travisa. Or just Fed-Ex everything in, that's what I did last time and it was fine.