I was going to get an older one, but the newer ones were oddly... cheaper. 7th gen 16 GB nano refurb for $99 through the apple store student/teacher program (I'm a college professor).
Good to know the classics work too. I might look on craigslist because some of the old style ones are pretty cheap. I see a bunch of 30 gigs for about $40. My other Daily-Driver has an Ipod interface as well, but it doesn't control the ipod. Maybe I'll send my new nano to that, and put the ipod classic in the ram and just stash it.
Thanks for both of your perspectives. I didn't know the older gens would work but that can save a lot of money. Thanks!