You can burn to DVD in HD quality, you just dont get as much on the disk and the disk can only be played back in a blu-ray player.
Depending on if it's 720p or 1080p depends on how long you get, it can be as little as 20 mins on a 4.5gb DVD.
I use Pinnacle Studio to do mine, I do have a blu-ray burner, but sometimes if I am doing something short I will put it on a DVD blank as that only costs me less than 20p a blu-ray blank would cost me £1 (but you do get over 7 DVD's on a blu-ray so they are cheaper for storage).
There are a few programs that will output a AVCHD DVD disk.
If you have a PS3 then you can also put the files onto that, but bear in ming that blu-ray files do not get split like DVD vob files, so many of them would be over the 4gb limit for a fat 32 formatted drive, and the PS3 cannot read an external drive that isnt fat 32.
You can stream stuff from your PC to the PS3 using PS3mediaserver and keep every bit of the quality and resolution.
Like Eva says though, if you plan on doing lots of home movies, then buying a blu-ray burner is the cheaper option, you can also use it to burn DVD's, so you could think of it as an upgrade for your system.