Sounds like you just want a basic 5.1 receiver with no real need for HDMI audio, then? Don't know that part of the Yamaha line well, but the Panasonic XR55 is easily below $200 and is fantastic. If you did want to hear all the Blu-Ray audio the PS3 is capable of delivering, the Yamaha 661 is a great HDMI unit, ~$400.
I just sold a RX-V659 for $242 on ebay. It would be a good receiver for you. It has high ratings. Read the review on audioholics.com You'll have to do Audio via optical with the PS3 so you wont get lossless audio, but I don't think you'll be able to get HDMI audio for under $250, at least not with any quality product. I highly recommend this receiver if you can get by without HDMI capability. Running a PS3 with component and optical with cost you lossless audio and no upconverting standard def DVDs, but there aren't critical IMHO.
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