Game: Little Racers: Street
Developer: Milkstone Studios
Milkstone Studios have made a name for themselves over the past couple of years on the Xbox Live Indie Games channel. Most of their games are 'clones' of older or classic games, but they bring their own style and a great deal of polish to each of their titles.
I picked Little Racers: Street up last year some time and had a lot of fun with it.
The graphics are great and you can adjust the camera outside of the top-down orientation. There's lots of customization, the gameplay is tight, and the game has Milkstone's signature level of polish. My only complaint is that I can't play it online without Xbox Live Gold. Trust me, it's a great little racer.
I urge you guys to try the demo.