All Fenders are overpriced by about $200 to $300 now, IMO. Over the past few years, they have really positioned themselves as a higher budget brand, while letting Squier move up to cover most of the lower budget price points. Nice MIMs are over $600 now, and the high end MIMs are $1,000, plus or minus a few hundred bucks.
To their credit, though, the MIM instruments have greatly improved in quality along the way. Most of the time they only really lack anything from a U.S.A. model in terms of fret work and nut work. The finishes are excellent. The hardware has improved. The pickups have improved. The general fit and finish is much better than it used to be. The main cost that they seem to cut on MIM models is the time consuming and expensive labor of rounding fret ends and cutting precise nuts.
If I wasn't so sentimentally attached to my '04 Sage Green Metallic Standard Strat that I got for $380 new, I'd dump it and pick up the new Sage Green Metallic Player Series Strat for $675 new. It's a much nicer built guitar in every way.