Depends on what type of music you plan to work with.
I decided to go the controller way as I think it is the most practical for me at this moment. My first controller was a mixtrack pro, all the basic functions needed to mix with Virtual DJ (VDJ) thats what really got me started. Only cost about 200 bucks.
I have been mixing for over a year now and I mix mostly house/top40/trance and I find that my current set up is definitely more than enough
My current set-up:
Traktor Kontrol S4
Traktor Kontrol F1
Pioneer HDJ-1000 Headphones
Numark NPM5 Monitors (Planning to upgrade to rokits soon)
Traktor S4 Flight Case
All this was about $2k, I don't advise spending over 10k on CDJs for normal home use unless you are hardcore and dont care about money haha.
Definitely go with 320kbps, your output file is going to be recorded in WAV form and and any imperfections that come with low quality audio files will be enhanced from your monitors and your recordings. I would recommend to you (I have recommended this to all my friends as well) to get the Mixtrack Pro + some cheap headphones + Numark NPM5 monitors (100 bucks). Get started with these at first then upgrade.
The most important part of mixing is being able to count to 4, which is the basics of beatmatching.
Hope this helps!
2007 E90 328i - Titanium Metallic l 19" VMR V710 l Mtech Rear Lip Spoiler l Eibach Sportline l AA N52 Signature Exhaust l MTEC V3 AE l 6000K HID l MTEC 4350K Fogs l MTEC License Plate LED l BlackVue DR380G-HD