$1600 is way too much. Are you looking to plink, hunt, or target shoot? If you are plinking or target shooting, then I would go with a .223. It is much more accurate, and you have many more choices for ammo. Price for ammo will be about the same as the 7.62x39. If you are buying a rifle to hunt with, then I would go with the .308 platform from DPMS or Rock River. If you shop around, you can find the AR10 .308 for around $1400-$1500 with all the bells and whistles.