Circuit City has the Hannspree ST289MUB 28" 1080p LCD HDTV Monitor for $300 with free shipping. Features built-in ATSC/NTSC/QAM tuners, 1920 x 1080 resolution, and two HDMI ports, and 10,000:1 dynamic contrast ratio.
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costco has it for the same price.
Note that the aspect ratio is 16:10, not the HD standard 16:9. Images will appear a little over 10% wider than normal. This might or might not bother you.
#2 This will bother me.
I used to have the same size monitor from Hannspree, bought it about 2 years ago. Works fine so far. This one is TV version of the monitor with tuners but with still old low contrast LCD panel.
Permaquid: Have you tried it with all aspect ratio settings? The Hannspree HT09 had the problem you described (it could show 4:3 programming with black bars down the side, but not show 16:9 with black bars top and bottom) but I thought the ST289MUB fixed this problem. I'm not sure, I haven't found anything definite from google.