Epson is crap. Never had one that worked for more than a few weeks and didn't guzzle ink. Go with the Canon (specifically the iP4200 which you can get at Amazon.com for $130) for a few reasons:
I have two of these, my sister has one, my mom has one, and my other sister has one...so I know it's capability.
Quality, speed, features: This isn't too much of an issue these days between the various manufacturers, but from my experience, Canon has the finest most precise ink drop size, which gives you better detail and clarity. The prints coming out of my 4200 look like 35mm prints to the untrained eye. It can do a 4x6 print in 30 seconds, and has two paper trays so I can keep normal paper in one, and photo paper in the other. It also does double sided printing built-in so you can save regular paper.
Ink cost: HP and Lexmark charge you up the ass for ink because they give you a new print head every time which contains the nozzles. You don't NEED a new print head everytime unless you don't use your printer for months at a time. And even then, you can buy print heads from Canon. Epson is the same way, but Epson uses far more ink in their printers than they need to and their ink detection system in their printers is VERY inaccurate. Canon's printers actually shoot a beam of light into the ink tank to determine how much ink is in the tank whereas Epson basis it on number of prints. On top of that, HP charges you about $35 for a tri-color cartridge, where as Canon charges you roughly $40 for three individual tanks. Sounds more expensive right? Wrong. Since you have 3 individual tanks, you can replace the colors seperately. So if you print a lot of pictures with blue, you don't have to replace the red and yellow when the blue runs out, you just pay $13 and replace the blue. The tanks also hold at least 2x as much as HP or Lexmark's tanks, so you're getting twice the ink for roughly the same price.
Ink quality: Newer Canon printers like the iP series (iP4200 and iP5200) use dye-based inks. These don't fade as easily as pigment based inks and are very good quality.
PS. Lexmark is TOTAL CRAP, NEVER buy a lexmark. Dell's printers are re-branded Lexmark printers, so never buy a Dell printer either. HP is okay, but their inks are too expensive and I never liked the way they printed. Epson's would be my second choice, but the Epson's I've had break in less than a year.