I just ordered my Mini I decided to buy the DVI to S Video cord. Think I will get any distortion of the pictures because of a low pixel count or something.
My mini is hooked up to my tv only.... sometimes (rarely) I hook it up to my monitor. I don't have any problems. Just get used to the fact that you will be looking at 800x600 resolution. Typing can get awkward.... but if you increase font size for webpages and whatnot, you should be fine. I love my setup.