Found this app that's only $1.29 and lets you create ringtones by sourcing from Soundcloud, Skydrive, and a couple of other places
Ringtones | Windows Phone Apps+Games Store (United States)
I like the fact that you don't have to sync your phone up to do this
Ringtones | Windows Phone Apps+Games Store (United States)
I like the fact that you don't have to sync your phone up to do this