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I need something a little more portable so I found out about the Canon EOS M mirrorless camera that comes out this October.

I've had the fortunate opportunity to shoot the EOS M, it's a great camera for someone like yourself wanting portability and DSLR. The one drawback I found with it was the lack of physical controls, especially the touch screen controls during bright sunny days and no view finder.

I know your under a budget. In my opinion I felt Canon could have provided more of a camera for $700.00 vs what the competition is offering. I choose a Sony NEX-7 to meet my needs of portability, high ISO etc.
 
I would suggest you stick with Canon or Nikon. That are by far the dominant DSLR body and lens makes. If you the widest range of products, accessories, interoperability (like using DSLR lens on small mirrorless bodies) and support....stick with the big 2 names.
 
I would seriously wait three weeks to see what's released/announced at photokina. I'm very excited to see what Olympus announces in the micro 4/3 format (which I heartily recommend - size makes a serious difference in that decision about whether to bring your camera with you).
 
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