Use the System.Web.UI.HtmlTextWriter class.
StringWriter writer = new StringWriter();
HtmlTextWriter html = new HtmlTextWriter(writer);
html.RenderBeginTag(HtmlTextWriterTag.H1);
html.WriteEncodedText("Heading Here");
html.RenderEndTag();
html.WriteEncodedText(String.Format("Dear {0}", userName));
html.WriteBreak();
html.RenderBeginTag(HtmlTextWriterTag.P);
html.WriteEncodedText("First part of the email body goes here");
html.RenderEndTag();
html.Flush();
string htmlString = writer.ToString();
For extensive HTML that includes the creation of style attributes HtmlTextWriter is probably the best way to go. However it can be a bit clunky to use and some developers like the markup itself to be easily read but perversly HtmlTextWriter's choices with regard indentation is a bit wierd.
In this example you can also use XmlTextWriter quite effectively:-
writer = new StringWriter();
XmlTextWriter xml = new XmlTextWriter(writer);
xml.Formatting = Formatting.Indented;
xml.WriteElementString("h1", "Heading Here");
xml.WriteString(String.Format("Dear {0}", userName));
xml.WriteStartElement("br");
xml.WriteEndElement();
xml.WriteElementString("p", "First part of the email body goes here");
xml.Flush();