We just bought our current house last year and the previous owner put ceramic tile over the old formica. I can't express how much I HATE it. It's impossible to keep the grout clean, crumbs get stuck in the grout lines, it's just awful. Plus it's an obvious DIY job i.e. not done well.
My DH got laid off and we're having to look at selling this house, so we've been pricing new countertops. We settled on Wilsonart HD laminate in a pattern that will look like granite, which is appropriate for our neighborhood.
However, I wanted to mention that we could have gotten Wilsonart's solid surface (like Corian) for only $600 more then the HD laminate is costing us. Some of it looked like the old school plastic Corian, but a couple of them looked like the high-end quartz countertops. We decided against it because I don't think we'd see the extra money back in our case and obviously money is tight, but if you're looking for durability it's probably one of the most inexpensive options out there.
We have a lot of counterspace and the HD laminate is running us $2000 installed, and like I said the Wilsonart solid surface would have only been $600 more.
Lastly, if you're buying from HD or Lowe's, be sure to check Ebay for 10% off coupons. I bought 7 10% off Lowe's coupons for $7 and was able to use one on our countertop order.