I would like some advice on how to start a dwarf army, starting out at 1,000 points. You seem knowledgeable. I would like a representative force based on fluff any advice?

Welcome. You may like to have a peruse through earlier threads regarding the starting of a dwarf thread and what I'll say will just be repetition. But basically go for a character model that you like the look of for a thane, get a couple of plastic warrior boxes and build up a unit of warriors with hand weapon and shield and a unit with great weapons. Get some missile troops, plastic crossbowmen or thunderers if you can afford the metal ( thunderers mucho nico) and get a war machine to see you off to a start, whichever one takes your fancy. You wont get a large force with a 1000pts of dwarf as they can be quite expensive (points wise)but they are one of the best armies in the game. You cant really go wrong with a general balanced force in a 1000pt so go with what you like the look of as you'll find that you'll paint it better and you'll learn how to play with the models that you have (nobody likes putting models that they like back in their carry case for the wrong reasons.)
Get the book if you don't already have it!
Have fun! You may be disillusioned after a while as the flashy armies are all whizzing across the board with spells all over the place but take heart as the dwarves have their own unique charm and a well painted force will be the envy of your friends as well as powerful on the board.
If you have any more questions then let us know as we're quite friendly on here and we'll try and help as best we can. Hopefully you'll contribute to the boards here as well.

dont use crossbowmen use thunderers the war maschines can take care of the rest

I'm beginning to agree with Argan. My army is a traditional one - heavily based around the fluff for war of the beard armies (no blackpowder, no hammerers, no rangers). Despite early successes I now found myself being too frequently out-manouvred and beaten! At least with thunderers you can move and shoot, to blast the hell out of whatever is sneaking round your flank / rear. Crossbows are just too static...

My advice: don't even attempt to play against wood elves until you are confident with your army. I've been playing Dwarfs for 9 years and I still ain't been able to beat them poncy elves since their 2003 annual update!!