AVS Special Member
Join Date: Dec 2007
Location: Southern California
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I would suggest that you consider a set of KEF speakers.
I have owned them and they are hard to beat in that price range.
At KEF Direct they have the C3 speakers for $329; those could be your front speakers.
The C1, at $279, would be the rear speakers, and a C6 LCR center speaker runs $270.
KEF has been one or Britain's top speaker manufacturers for over 50 years; they make very good speakers.
A subwoofer would be additional, of course. Amazon has the Polk Audio PSW505 for only $189 at present, which is a heck of a deal.
For your room you definitely want a 12-inch sub with over 200 watts RMS, and most good ones are over $500. The PSW505 is probably the best you can get at this time with your budget, and it's not too bad.