I think Magento is trash. Makes simple things overly complicated and tries to do way too much.
Hosted solutions seem to be taking over and quite frankly, they've gotten pretty good. You lose a little customization and control over the server, but most stores don't need that. Also, they are typically updated more frequently. Many of the software carts that you purchase once have stopped updating and lack the resources to evolve.
One thing to take into account is that you're going to need something powerful to host a Magento store. At least looking at $75+ a month in hosting (and that's a low end). So a hosted solution that comes in at or around that likely ends up being cheaper.