suggestions for A/V Receiver ($350 or less), with these requirements

Hey i'm in a similar boat but really want the 7.1 instead of 5.1.

I think the best 5.1 for sub 350 would be a dennon 1713. Really considering disconnecting two of my speakers and just getting the 1713.

http://www.amazon.com/Denon-AVR-1713-Networking-Receiver-Outputs/dp/B007R8U5W6/ref=sr_1_1?ie=UTF8&qid=1353949992&sr=8-1&keywords=1713

Yamaha RX-V671 7.1-Channel Network AV Receiver http://www.amazon.com/gp/offer-listing/B004QR56SE/ref=dp_olp_refurbished?ie=UTF8&condition=refurbished

Refurb for $360.

I got the RX-V573 refurb as an open box for $150 off normal price and it was mint. I was hesitant at first but I saw the vendor had over 10,000 near perfect ratings so I felt safe giving it a shot. Couldn't be happier. The 573 doesn't have Pandora but has other internet streaming stations but like you said you can connect your iphone either direct or through your home network wirelessly and play pandora that way too. The 671, 673, and 773 all have Pandora built in now (673 and 773 added it via a software update). I don't have 7.1 hooked up currently but may in the future so I like you didn't need it but wanted networked features and auto-calibration. Pleased with my Yammy after having Onkyo for years.