We've always had a fake tree. It's not the greatest in the world, but it does the job. I think I got it at either Frank's or Target. As far as the piney smell, candles are great.
I've always found real trees horribly depressing. The poor things are grown just to be chopped down and then discarded in sad piles on the side of the road.
I guess that's the tree hugger in me talking...
Here's a link to some of what they have at Frank's, although I don't know if you have one near you:
http://www.franks.com/weekly/products.asp?CatID=314