I don't want to spend a ton on the first one, maybe up to $1200 new or used?

Also, I have some leads through friends on the hybrids with shocks like the Trek 8.3 or the Specialized Crosstrail, but I assume its better to go ahead and get an actual MTB bike since I already have bikes for riding on the street?

I'm a big fan of steel road bikes, but not sure if that translates into MTB or not. So steel is definitely of interest if applicable. I just want something that makes it easier and safer for me to have some fun in the dirt. I hear you can buy your way into better riding with MTB a little bit.