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You can't expect a great looking DVD if you start with a poor quality camcorder or capture process. Dunn's column Selecting the Right Camera to Meet Your Needs for help on selecting a camcorder.
When you're dealing with the very high data rates of DVD video, do not skimp on computing power.
DVD+R is, but DVD+R burns about 2.4 times faster and seems to be the preferred format lately. Movie Maker* is a popular video editing program that’s included with Microsoft Windows that allows you to do all of the standard video editing features such as credits, transitions, effects and manipulation of the video and audio tracks like cuts, splices, fade ins and fade outs.

The original version was called Windows Movie Maker and was included with Microsoft Windows (Me, XP and Vista) but with the advent of Windows 7, a new version was created that’s called Windows Live Movie Maker which is included with Windows Live Essentials as a free download from Windows Live. When it comes time to export, you have a choice of Windows Media or DV AVI formats and you can also export the audio separately as an audio file if you like. Performance is quite good and it allows you to post videos online easily, but there is no picture-in-picture or chroma key, which means it’s not a good choice for green screen video.
Perhaps a better choice, although not free, is Adobe’s Premiere Elements, which is cross-platform and can accomplish chroma key effects easily. Be aware, though, that Windows Live Movie Maker doesn’t run on versions of Windows before Windows 7.

At around a hundred bucks, it’s far from free but still a good value and certainly more capable than movie maker.

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