to be honest, you can have alot of sick gear and still make shit tracks. as long as you have a daw you know how to use, a midi controller that lets play in melodies and speakers or headphones that let you hear what you're actually doing you're pretty much golden
In my opinion all you need is a laptop/desktop/iphone/ipad, decent daw software/app, headphones, and an internet connection. As you progress you will probably want to acquire vsti's /sample library's/ vinyl + usb turntable, keyboard/drumpad midi controller, audio interface, studio headphones/powered studio monitors/hell.....run it out the good ol' boombox (ahem.....magnetically shielded speakers), and a condenser mic.
I started out forking out big money for a Triton Studio 88 and built of that. Bought drum machines, samplers, and finally found FL Studio 6. I've been with that, lifetime updates, and and an internet connection ever since. I have some hardware lying around collecting dust now. I personally am good now with a PC, internet connection, headphones, and my USB mic.....that's the bare essentials I like to have available for making instrumentals and recording vocals. Your own journey will guide you through and to what you truly MUST have.
I would say that "must haves" are only dependant on what you need to produce. For me when producing electro or dub, all I need is a laptop or computer and headphones. If I am producing hip hop or some type of "real-ish" tune, Then I need my machine and midi keyboard. But in general, I think if you have a solid computer, some monitoring speakers (with an interface) or headphones, and maybe a midi controller, then your set.
I agree with what people have said.
and in this day and age, really you should prioritize your funds to these things to start:
-fast computer with as much RAM as possible
-Fully featured DAW (Ableton, Logic etc...)
-a decent audio interface
-quality pair of headphones and/OR monitors
-whatever money you can afford to spend on vst synths/ sample libraries, packs or processors.
with that setup alone... you have a lot of potential work cut out for you....
Metronome, tuner, cable/headphone adapters, extra cables 1/4/xlr, depends on how you run things blank CDs could be of use, flashdrives, external HDs, comfortable chair, a tool kit...
It really depends on what musical style you want to produce, but a computer, studio monitors, midi controller, a DAW and (a little) room acoustics treatment is a good start.
A girlfriend or wife that understands what you're going through, who is willing to sacrifice, support your musical endeavors.
The best "must have" if you're in a relationship...
As has been said in another recent thread about domestic whitegoods and your studio (refrigerator in the other thread), make sure the air-con is on it's own circuit and that when it switches on and off that it does not cause brown-outs or surges (some domestic systems will do exactly that and are even more scary than hearing it over the cans when it blows into a mic accidentally).
it is in your interest to get a qualified electrician to check out your wiring and make sure that it meets current code/standards and that you get your earthing system reconfigured as a a single starred earth - the electrician will know what that means - instead of individual runs to ground.