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I imagine that the 325's would be closer to the 700, right? What's the difference in the two really? Are you hinting that the 320-z may be oudated now?
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The AVR-320 is a 7.1 receiver, but only has "5" amplified channels. Should you ever desire to run speakers #6 and #7 in the future, you would need to connect a separate 2-channel power amp to do so. The AVR-325 is a 7.1 receiver, with 7 channels of amplified power. Additionally, there are some other differences, too.
The AVR-325 should be nowhere near $700 at this point in time. It should only be $50 - $75 more than the AVR-320.
Yes, I'd be willing to stick my neck out and indicate that the AVR-320 is getting a little out-dated at this point in time.
[Edit]: I found an AVR-325 on eBay for a "buy it now" price of $300 - and the seller is throwing in some Sony speakers, too. Also, I found refurbed AVR-325s for $344 and $359.