You can get by with a lot cheaper than that, unless you particularly want a tablet for non-reading activities (or for graphic novels, etc).
Google Apprentice Alf, and you can free all your Kindle books (or ADE books, from Kobo etc), use Calibre for conversion, and you can then read your books from whatever source (apart from Apple, or a few other exceptions) on whatever ereader you want.
It's pretty hard to find a modern e-reader that doesn't have a touch screen. If you wanted to stick with Kobo, there's the Touch or Mini (non-lit), or the newer front-lit Glo, Aura HD, and Aura. I wouldn't go without front lighting nowadays. It improves the contrast of the screen immensely in a wide variety of dim and medium light conditions. The Glo is a little older and cheaper; the two newest are the two Auras, one with a 6 inch screen and the HD with a 7 inch.
With other readers, recommendations will depend on what country you're in, and on what your favoured features and dealbreakers are.
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