I am not familiar with Pro-Tools are Ableton,but I have Reason 4(midi sequencer & instruments) and I can tell you that R4 is an absolute beast,when it comes to creating loops,patterns & such & the sounds are top shelf,for $300.
As far as recording vocals,guitar & such,you can also buy Reason 4 that is bundled with Reason Record...for about $400(USD).
Important thing to know about Reason Record,is that in terms of virtual instruments,Record only works with Reason 4's sounds(meaning that you cannot include 3rd party sounds in Reason Record).
Also(unlike a traditional DAW),Reason 4 & Reason Record cannot be open at the same time...as you create your drums tracks,synths & so on-in Reason 4,close it out,and then import your work into Reason Record,once you've opened that.
This is absolutely the most economical way to get started & the sound quality is more than sufficient,but if you want the ability to add whatever software instruments you want to choose from,than you may want to start with something like Pro Tools.
I myself,have Presonus Studio One Pro and it's amazingly simple,efficient and the ability to convert you recordings to MP3-right within the program,is fantastic.
Presonus Studio One Pro comes with plenty of sounds to get you started and has all the effects you'll ever need to mix & master vocals & VST's.
In terms of guitar effects,you may eventually want to upgrade to something like Native Instruments Guitar Rig 4,but the included guitar effects are very usable.
Presonus S1 Pro goes for $400(USD)
I've spoke with Cubase users & they actually prefer the ease of use of Presonus and they've said that good sound quality is easy to achieve.
Still though,a musician's end result in recording,is only as good as the level of knowledge he/she possesses....so learn your gear & your software & you'll get the quality you need from just about any software multi-tracker you buy.
I know there is a free version of Reaper,but according to this link at KVRaudio,there are different versions & the price is dependent on number of features/upgrades,I suppose.
http://www.kvraudio.com/get/2277.html
Asking for advice at a local music store,tends to be the worst thing to do,as typically,the sales people are minimum wage imbeciles.
Alternatively and much for the better,seeking advice at websites like KVRaudio is one of the BEST and most practical things you could do.
Also,try out the forum at Kara-Moon.com...very friendly & helpful folks there and their level of knowledge in this area is EXTREMELY helpful.
-Elwood