Well, I don't have any other chillers to compare it to, so I can't say if it's the best one out there, but I haven't had any major issues. The reviews on Amazon and Petco seemed to indicate that it was better than the others, so that was the route I went.
What you'd need to use to chill would be based on the temperature differential; if your place doesn't get above 70F, then fans and a mesh lid should bring the temps of the water down to an OK level. If it gets up to 80F+, then I don't imagine anything short of a chiller would be advisable, but I could be wrong. I tested first; I wasn't able to keep my axolotl-less tanks at a stable temperature below 68F using fans, so I went the chiller route. I considered DIY options, but went the stable route as the chiller will maintain within a certain range set digitally. The temps should not fluctuate more than 2F in a 24 hour period, in order to prevent stress.
As far as a chiller choice goes, another thing to factor in would be how big of a tank you'd want in the forseeable future, in addition to the temperature differential. If you were planning on going to a 50 gallon tank, the 1/13hp one can only handle a 10F difference between the surrounding temps and the desired water temperature.
You should probably filter the water before it goes to the chiller (i.e. have a filter attached to the chiller intake), to avoid junk getting in the chiller. I'm not sure with the 501 where you'd place an additional pump in order to not damage the filter, or run the water too fast for the biological filter to work.