Hi Jimmy, welcome to the Cameralabs forums!
If a price looks too good to be true, then sadly it probably is. Don't fall for a scam on ebay! To find out a good range of prices for the XTi from reputable sources, check the price check links at the bottom of our review at:
It looks like you can buy the XTi kit from about 760 US, which according to XE works out about 870 CDN. I'm not sure if you have to pay more for shipping to Canada or any additional tax, but that's reasonably close to your 800 budget.
Alternatively if your budget is very strict, then why not consider the Rebel XT? It's still a great DSLR and many prefer it to the XTi for its secondary information screen which is easier to read in direct sunlight.
According to our price links at the bottom of our review at:
The Rebel XT can be bought from about 650 US which is about 740 CDN.
If you're serious about quality, I would recommend upgrading the kit lens, but since the kit is only a small amount more than the body alone, I'd go for the kit anyway and at least have a backup lens or better resale value in the future.
Hope that helps,