First you'll need to make several decisions....
What kind of photos do you expect...snapshots or frameable prints.? Your choice here will effect all other choices. If you only want snapshots to remember a dive to put in an album to show your friends and neighbors, then a cheap film camera will suffice. If you only want pictures to share via e-mail, make screen savers, etc. then a cheap 1-2 megapixel digital would suffice. With a film camera, you'd have to scan the prints first or pay to have them put on disk when you had them processed. If you want photos like you've seen posted here and you want to print them at 8x10 to hang on your wall, you'll need a minimum of 3mp and preferrably 4mp or higher. I know several pro photographers selling their work who use a 4mp camera. Or you'll need a dedicated underwater film camera with multiple expensive lenses. Or a housed SLR camera with extra lenses.
Budget? Keep in mind the old saying is true...you get what you pay for. And your expectations will effect this. Buy the very best you can afford.
Film or digital? This may tie into your budget. Alot of us have gone to digital from a film experience. I know of no one who has gone back to film! There are pros and cons to both systems and each side has it's fans who swear theirs is best!
One of the biggest advantages of digital is there is no film cost. You have a memory card...this is your 'film' that is re-usable. There also is no processing costs. I no longer have to spend $200 AFTER a dive trip to have 20 rolls of film developed...half of which went into the trash! With digital, you see your shots as you take them and you have the option to keep that shot or taken it again making corrections. As a result almost all your photos are keepers. The memory cards are getting cheaper every day. I recently paid $25 for 128mg SM cards that would have cost me $90 a few months ago. And it's reusable. That same $25 would have bought me 7-8 rolls of film for one time use.
Another advantage to digital is they are more light sensative than film cameras, the lens is more sensitive, allowing you to take photos in lower light conditions without a strobe. The internal flash is very powerful and will do until you feel the need for a strobe or until a strobe fits into your budget.
I won't get into a film vs digital quality argument here because both sides think we're right!
ut: But I will say that I have made 11x14" prints from my 4mp camera that look awsome hanging on the wall or close-up!
First you need to do a search in this forum for new cameras or starter cameras, etc. There has been a wealth of info already shared on the subject....several times! Things that may not be repeated again so it's worth searching for.
Personally I use an Olympus C-4040 digital in an Oly PT-10 housing. I use a S&S YS90DX strobe and occasionally add a S&S wide angle lens. You'll find alot of Olympus users. You may also want to look at the Canon S-series of camera and Canon also makes their own housing. These are the two most popular choices for digitals. Sony sort of brings up the rear with fewer choices.