I have two suggestions for you. Either look for the Onkyo HT-650/660 on sale often for $299 and add a DVD player like the Onkyo CP-301 or 701 for $150 to $180 or look at the Yamaha HT-440. I really like this receiver/dvd player package for around $450. You can also go to pricegrabber.com and look under electronics/audio/full size systems. They show about 225 htib systems. But be leary of the sub $300 one's and the one's with an integrated receiver-dvd player. Seperates are usually better. Gene
The onkyo HTIB deals are usually the best bang for your buck. If you can go just above $500. The onkyo ht-760 system is great for a starter set. Go to your local Circuit City to take a look at the system. Usually it runs $499 It comes with a real nice starter receiver and decent bookshelf speakers. The sub is also a nice starter one that give plenty of bass for a small to mid-sized room This system comes highly recommended on this site if a home theater in a box is the way you want to go. It does not come with a DVD player, but you can pick one of those up for pretty cheap. The DVD players that come with the HTIB systems are no better than the cheap ones that you buy anyways. Hope this helps.
Please ask for specific advice about specific HTiB sets here in A/V Sources. And please read the top of the page in the Basics area: It's for general discussion at the beginner level, not for asking for specific recommendations about models. Thanks.
I have the Onkyo HT-S760 and I am very happy with it. I couldn't find anything better until I got into the $2000 range. If you get it, you will need to replace the speaker wire that is included. It is awful. Get so good 16 gague stuff. The sub is good enough to shake my couch. It sounds very good for music and movies. The biggest drawbacks are the size of the speakers, the lack of on-screen set-up and a cheesey remote. Ther rears are not small speakers. They are big black boxes. I got mine for 468 with a rebate at Circuit City. This doesn't include a DVD player, but you can pick one up for $40 or $50 that is as good or better than what is usually included in the typical HTiB. I got an Onkyo SP-301 for $88.00 and I am very happy with that.
When you get a chance pick up a Radio Shack SPL meter and calibrate your system.