I've had a couple inexpensive (cheap) practice amps that sounded like inexpensive (cheap) amps. But have been using an Ampeg BA112 for over a year now and quite like it. I use it to practice at home and it's easy to cart to band practice.
It puts out 50w so it's more than loud enough for our basement band practices. It has a nice Ampeg sound for a little guy - it's not as ballsy as my SVT-3/410, but it's only a fraction of the size.
It has a line in and headphones jack so you don't disturb the rest of the household or neighbors.
I see that they are $280 at Musician's Friend, but I got mine for less than that new.
[from Musician's Friend]
Delivers 50W of power to a single 12" speaker. It offers simple 3-band tone controls, plus a "style selector" with 5 basic tone options. Other features include master control, a balanced 1/4" TRS line out, headphone jacks, and RCA inputs for connecting a CD or tape player. As a handy stage feature, the cabinet tilts back