People who say nofollow links don't count don't know what they're talking about, it is only one of many factors G's algorithm uses to determine a links juice. Proof? MediaWiki sites are rel nofollow and some of my bots run 100% MediaWiki sites which I have indexed and ranked new MNS entirely with to start - that's right not one single ******** in the mix.
However I agree $5 a pop is a rip off by far, as an example we sell bots that will do .edu and .govs that cost around $0.25 a link and you get the bot so you can auto blast to all your sites/pages. Most service providers will charge you around $0.10 a link as they're automating it as well. Paying even $1 a pop is too much IMO and unless your niche has no competition you're going to need more than 5 links to see any movement.