Ok, my votes for the best of '07 (taken mostly from my playlist).
LCD Soundsystem - Sound of Silver
Of Montreal - Hissing Fauna, Are You the Destroyer?
Spoon - Ga Ga Ga Ga Ga
Feist - The Reminder
Deerhunter - Cryptograms
Iron and Wine - The Shepherd's Dog
Beirut - The Flying Club Cup
Paramore - Riot!
Say Anything - In Defense of the Genre
Scary Kids Scaring Kids - Scary Kids Scaring Kids
Dinosaur Jr - Beyond
Coheed and Cambria - Dear Apollo, I'm Burning Star IV, Volume Two: No World For Tomorrow (preferred Volume 1 but I'm a CoCa fan...what can I say)
PJ Harvey - White Chalk
Tegan and Sara - The Con
It was a bad year for a lot of alt rock (punk, emo, post-hardcore, prog metal, etc.) in my opinion. Maybe give an honourary mention to Between the Buried and Me - Colors.
Indie ruled the world in 2007.