i have the KLIPSCH 5800 in-wall and in-ceiling speakers on my main theater zone. i highly recommend these speakers. they are flush mount with the wall and the grills are paintable.
you won't find these speakers for sale at best buy or frys. they are a higher end REFERENCE level klipsch speaker. they retail for $400 each. i think they've been discontinued, but don't let that alarm you. you can pick them up on ebay for around $300 each brand new in the box. i actually got mine for $400 a pair and they were brand new in the factory sealed box.
for the money you aren't going to beat these speakers. a couple things about them. i believe they are 95db speakers so that right there should tell you something. they are more efficient than most regular cabinet loud speakers. the sound is awesome! they feature an 8" woofer and a tactrix horn. if you like loud music you won't believe the performance you'll get out of these. i believe they are rated at 50 watt rms continuous and 200 watts peak. here's the thing though. they don't distort. really man, you'll love these. at any volume the sound is crisp and clear.
remember something about speakers and this is something i think a lot of people seem to forget. the quality of sound you get out of any speaker is not only dependent on the speaker, but the speaker wire, and the processor and amplifier (or receiver) pushing those speakers. more important than the equipment is the actual prerecorded source material. if you don't have a good recording you aren't going to get good sound no matter what kind of equipment you are running. try to keep that in mind.
go on ebay and shop for the following
KLIPSCH 5800 speakers
12 gauge speaker wire
twist on banana tips
the speaker wire i'm using is awesome stuff. its 259 strand oxygen free copper wire by SEWELL. you can get it in rolls. i think i got a 250' roll for under 200 bucks. each of my speakers is almost a 50 foot wire run. i am of course using power amplifiers to push my speakers, but the amps aren't over heating and there's no sign of any weakness of any kind. the sound is effortless no matter how hard i push my speakers.
the banana tips i'm using are the MONSTER TIPS twist lock banana tips. they are expensive though. 2 pair for 25 bucks at best buy. i got some of mine used on ebay. later i found that sewel actually sells the same ones though. in fact, from the pictures i saw on their website it almost looked like they might actually make the banana tips that MONSTER is selling. they look identical. the nice thing about the twist on banana tips is you can reuse them where as the crimp on ones that's it. once crimped that's all you get out of them. the screw set type banana tips that are cheaper i'm no fan of at all. there's much better connectivity with the twist on type.
hope this helps.
check out the klipsch 5800's. you'll be impressed. most in wall speakers don't sound that impressive. they sound weak. these klipsch? oh yeah!!!