Thanks for all the feedback so far. I tried searching for all posts since the begining about races, and I didn't find any about half-elves. I knew this couldn't be right, and I think I limited my finds to two pages, so that was an error. Sorry for bringing up these old tired arguements again.
Anyway from the SRD:
HALF-ELVES
• Medium: As Medium creatures, half-elves have no special bonuses or penalties due to their size.
• Half-elf base land speed is 30 feet.
• Immunity to sleep spells and similar magical effects, and a +2 racial bonus on saving throws against enchantment spells or effects.
• Low-Light Vision: A half-elf can see twice as far as a human in starlight, moonlight, torchlight, and similar conditions of poor illumination. She retains the ability to distinguish color and detail under these conditions.
• +1 racial bonus on Listen, Search, and Spot checks.
• +2 racial bonus on Diplomacy and Gather Information checks.
• Elven Blood: For all effects related to race, a half-elf is considered an elf.
• Automatic Languages: Common and Elven. Bonus Languages: Any (other than secret languages, such as Druidic).
• Favored Class: Any. When determining whether a multiclass half-elf takes an experience point penalty, her highest-level class does not count.
It seems pretty powerful already to me...if we add:
4 bonus skill points at 1st level
1 additional skill point at each level thereafter
that doesn't make them overpowered does it?