Recently I browsed the net looking for free game-ready models for my indie game, and wow, I found a lot of nice models so I wanna make a list and share them with all ya:

First, of course the most famous model site: TurboSquid

http://www.turbosquid.com/Search/Index.cfm?keyword=&certification_id=1&media_typeid=2&sort_column=A5&sort_order=asc

http://img829.imageshack.us/img829/2888/0003pa.jpg
http://img705.imageshack.us/img705/6434/00002cc.jpg

This dragon is on my wish list ^^ (not free)
http://img826.imageshack.us/img826/1809/dragonmainjpg0c40efc292.jpg


Unity3D has a collection of plants, trees and textures for use in Unity game
http://unity3d.com/support/resources/assets/terrain-assets

http://img831.imageshack.us/img831/9273/terrainassetslogoreflec.jpg

I like the free animated butterflies on 3dBud too:
http://3dbud.com/stuff.htm

http://img836.imageshack.us/img836/2557/free4.jpg
http://img522.imageshack.us/img522/510/free3x.jpg
http://img826.imageshack.us/img826/3973/free2t.jpg

And this dragon is so great (again not free) I just love dragons T.T
http://img178.imageshack.us/img178/959/3dbud.jpg

And all the assets were created for the commercial MMORPG Ryzom are all free to use under Creative Commons License Attribution-Share Alike 3.0 license:
http://media.ryzom.com/

http://img62.imageshack.us/img62/7599/800x600cuttler.jpg
3drt has some free models too, but they can not be used for any commercial purposes .. -_-!
http://img521.imageshack.us/img521/6831/bike0101.jpg
http://img521.imageshack.us/img521/7470/free3danimatedmonster01.jpg

I love the dragon
http://img94.imageshack.us/img94/3822/3drto.jpg
but it's not free ^^

And Terminal 26, a treasure!!! Needless to say!
http://www.terminal26.de/models/free_3d_models.php?lg=eng&linr=1

http://img210.imageshack.us/img210/7756/terminalv.jpg

Yo frankie's a great open source game with cool toon models

http://img180.imageshack.us/img180/4792/ki08tgn6.jpg

http://www.graphicall.org/yofrankie/game/