-ARRGH I can't get rid of that smiley!
I'm going to try to cut the crap on some questions that could have massive answers. So this will be opinionated, but I've been home recording for a while and there's lots of debate. The opinions I express will be those not just of my own, but the general concesus from others involved.
Microphone types:
-Condensor, used generally on vocals, often on guitars and amps, for drum overheads and in a few other places, generally perceived as better sound quality
-Dynamic, used live, can take a lot more punishment in terms of volume and handling, not as delicate
-Ribbon, expensive but very nice sounding
You want an sm57 a dynamic microphone made by shure. This mic doesn't break, is ubiquitous (everyone has one), sounds good but never OMG fantastic, but certainly wont be the weakest link in your chain. Plus it's very good value for money. You can use it on drums, guitars, vocals etc and it works well live too (though it's nomnidirectional AFAIK meaning you may get some feedback). You could record a whole album on one. This should be your first buy. I have one, and i've dropped it, kicked it, accidently disconnected the transformer and the wires to poke about inside, resoldered it, spilt beer on it and it still works wonderfully.
48V phantom power is required for certain microphones i.e. condensors, not dynamics and can damage ribbons
Do you need a mixer? - For the moment no. Mixers are useful but I imagine you'll be recording track at a time and the soundcard you buy will have a couple of inputs, you don't need one just yet.
Soundcard - Buy an external one. The apogee duet sounds incredible (I've just ordered one) and is probably the best thing available under $2000, and it costs a quarter of that). That'll take mics, electric guitars, and line level signals. Unfortunately you can only use it with a mac.
So I'd say get one second hand (as long as it's core duo) to do everything audio you want. If you get a second hand mac it will come with garageband which you can record with straight away.
Alternatively you can go cheaper and go with a usb motu, or better yet a focusrite with firewire (your computer will need firewire - but a mac would have that). Avoid edirol or m-audio for S/Q.
I'm actually selling my Mbox 2, which doesn't have the best sound for the money, but has quite a lot of good features (it comes with pro tools, which is very good if not quite complex software). If you're interested let me know (but no hassle, I may just hang on to it).
Oh get everything you can second hand or off ebay!
The guys @ macrumors.com's forums (digital audio) will be happy to advise even if you're not using a mac. Unfortunately I'm banned from there (until I change my IP, lol) for calling someone an idiot and generally being quite opinionated etc. heh.
Good luck
PS
If you need any further advice on a particular interface, mic etc. I'd be happy to help. I'm not a professional recording engineer but I know my stuff from working as studio manager at my uni radio station (unpaid of course!).
Zak
