[JairusKhan]

If you make this into a Wordpress plugin it would be on every install in a week.

[8ig8]

Here is a plugin for front end editing using Aloha: http://scribu.net/wordpress/front-end-editor

[bergie]

Create can actually use Aloha if you just tell it to.

jQuery('something').create({editor: 'aloha'});

[csomar]

Check this out (http://artsyeditor.com). It's not free, though.