Actually, 'Istari' is the order, the wizards (Gandalf, Saruman, Radagast & the two others) are Maiar; lesser gods (or angels, if you like) of the same race as Sauron. They were - as the Valar - of the Ainur, only less powerful. They could also - also as the Valar - assume any form they wished (the Istari as old men, Melian as an Elf etc.)
Actually, there is quite a lot to be said, but I hope I didn't make it too hard. For more information, I'm sure there's a thread or to which delves deeper into it in the Books or
Books II forums. [img]smilies/smile.gif[/img]
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