I want to change from 2 channel to HT but what....


I have a very good Karan KAi180 integrated amp, a diy cd player and Merlin VSM-m speakers. I would like to sell the Karan and purchase a used or new HT receiver or separates. I want to spend around $2500.00 (the used price of my Karan). I am looking at, in this order, B&K 507, Sunfire receiver or separates like the Lexicon MC-1 with a good amp. I have also read some good info on Yamaha, Denon and a new Samsung digital receiver. I have also read that Sony has a digital amp in a receiver as well. The Samsung is out of my price. My plans for the near future is to buy a new Panasonic 50" plasma. I would like the hdmi switching, 7.1 and THX Ultra. I don't think the B&K 507 or the Sunfire has these. I am not realy keen on Sony, Yamaha, Denon, Onkyo or Samsung etc. receivers for the only reason that I would not buy one for a 2 channel set-up, but I am willing to consider everything. I do want at least 170wpc, THX Ultra, DTS, DD, 7.1 and a good video switch hopefully with HDMI. I do believe a good receiver can sound as good as separates. Mybe not in my $2500.00 price range. My Karan integrated was an upgrade from $7500 Melos separates.
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I recommended the Anthem because it a huge bang for the buck, will compete with gear costing twice as much -- and because I don't believe you will be happy with a home theater receiver -- I believe you will quickly wish you'd purchasd separates. So, factor in the cost of buying a receiver, shipping it, realizing you're not satisfied, selling it, and buying separates. Now, think of the time and money you'll save going directly to separates -- and you can still buy an Anthem AVM20 and a 5 channel amp [used] while staying under your budget of 3,000. Also, as Sailfish mentioned, they offer upgrades from time to time, which will help you stay current.
7.1 isn't going to happen. It's bad enough getting all the extra channels of amplification and finding, locating extra speakers 5.1 much less for the very minor improvement in surround performance in 7.1.
Likewise, bi-amping is a minor improvement for the $ involved. There's better places to put your $.
I decided on the Arcam AVR300. Thedautch is using the AVR300 with Merlins and recommends it as well as two dealers that carry both the Arcam and B&K. It should be here in 5 days. Can't wait. I looked at separates and found a review that compared the AVM20 to the Arcam AVR300 and the reviewer said he liked the AVR300 processor better. If I needed more power I could add an amp to the AVR300 analog outputs when I needed. This made the most sense.
As you said in your post, "I do belive a receiver can sound as good as separates." This makes logical sense why you'd go the Arcam route.
While I have no doubt the Arcam makes good sound for a receiver, and I used to sell that line, it can't compete with separates...good separates that is.
Do yourself a great favor sometime, and add an outboard amp the the receiver, and use the ARcam as a pre/pro. YOu'll be amazed how much better the sound quality is from even a lowely parasound 5 channel amp, and similar!!! The amp's in those receivers really can't hold a candle to a dedicated amp. It's always been that way...not to mention a good pre/pro's preamp section is better as well, especially dynamically.
For the record, and I've sold some good sounding receivers over the years including the original model 100 Arcam, I'd NEVER spend $2k on ANY RECEIVER, EVER! I've worked in this business to long to know better. The sound is just not there for that money. A used $1200-1500 pre/pro and $600-1000 multi channel amp punishes any receiver ever made from my experiences. But, it's fun finding out this stuff, I"ll conceed that.
Thank you Flrnlamb. That is the exact route I am planning to take. The AVM200 used is asking $1700.00 currently on this site. I am getting a new Arcam AVR300 for $1625.00 including shipping. From what I have read, the AVR300 has an exceptional pre-pro. If the 100wpc AVR300 integrated amp isn't enough then I will purchase a separate multi channel power amp to use with the AVR300's pre-outs.