Well i use Blender for all my modeling animation.
It's a gret great tool for people who have succeed to learn the interface , that is easy once you've understood it

The 3D engine in it ahev very good 3D basic engine that allow great things.
you have two levels :
-programming with graphic blocks for pure "D artists
-use python script for advanced things.

lot of great game demos can be found on forums don't hesitate to try some
and you'll be amazed how the engine works so well

forum for demos

for prototyping, small games, it's great