I think the least expansive way to go would be to:

1) paint the cabinets;
2) you really need to replace the knobs (fill the holes before painting, then drill new holes for new handle placement.)
3) either white subway tile, or bead board backsplash (I would worry about bead board near your cook top.)
4) rethink new countertop - it could be very affordable to install Ikea butcher block sealed with Waterlox - that would look fantastic with white cabinets, and very fresh
5) You may want to rethink the hinges - I would replace them. If you want to keep them, you should replace your sink faucet so that the color matches the hardware on the cabinets.
6) Your floor looks like wood. If you want to increase the value of the house, I would consider refinishing the floor instead of covering it with vinyl.
7) an inexpensive tin type of ceiling would improve the room as well.

Refacing the cabinets would be more expensive, you would still need new hardware/backsplash, etc.

If you don't care about the style (modern or country) I believe that a country style of look would be less expensive for your kitchen.

If you're planning on only being there only 5 more years, I would definately just paint the cabinets. Refacing cabinets and replacing doors can cost almost as much as replacing the whole set of cabinets. The cabinet doors are definately a traditional style, so what I'd suggest you do is paint them an off white, and maybe add a touch of glaze to them so they aren't stark white. I would also fill the handle holes and put new hardware in a more traditional place on the doors. If you paint the walls with something other than a neutral light color, say a pretty soft green or yellow, those cabinets will POP! A good way to save some money too is to just spray paint the hindges to match your new hardware. People do it all the time and no one will know the wiser. I know you said you aren't planning on replacing the counters, but laminate counters are not expensive, I'd strongly recommend using some of the money you've saved on the cabinets to change out the counters to something with color. Faux granite, soapstone or something. Then you can do the backsplash in a traditional subway, and I think the kitchen would look really sharp!

We are going to have our cabinets refaced in natural cherry the end of the month. The doors will have raised panels with the 5 piece drawer fronts. We feel we got a good price $4,800.00 installed by a local cabinet company. We had Sears give us a quote and they wanted about $12,000.00 to reface them in white. We could have brand new cabinets for that price. Our cabinets are builder grade oak and about 10 years old. Husband is 72 and I'm 68 so we didn't think we could tackle sanding and painting them ourselves, and can't afford to completely replace them.
Good luck and I'm sure whatever you decide to do it will look great.

Thanks all! The floor is actually a pergo floor, and the counter tops are corian, which are very easy to care for. Do you think i should keep pergo as oppose to getting vinyl? I thought a lighter color floor would help make the room look larger.

I think just lighter cabinets will make the room look larger, but you don't want to be floating with a white ceiling, white cabinets, and a light colored floor.