Home theater receivers these days are more about convenience and versatility than sound quality so figure out which features are important to you and go from there. Here is a list that fits your budget:
Yamaha 5.1 A/V Receiver RX-V377
Yamaha 5.1 A/V Receiver RX-V477
Yamaha 5.1 A/V Receiver RX-S600
Denon AVR-E200
Denon AVR-E300
Marantz NR 1403
I would start with the one that weighs the most. The amps in the majority of HTRs are under-performers so an HTR that has some heft to it indicates a stronger amp/transformer. I would then look to see if the HTR has pre-amp outs in order to hook-up an amp (or amps). If you want to listen to music from CD or whatever, then I recommend a separate amp to drive the mains.
I've read good reviews about the NR1403. It is on sale at FS and I noticed, too, that you can get refurb ones off ebay for $299.00 and free shipping out of Ontario. It has the amp pre out so I'd lean towards it. For 299.00, I may get one.
Also look for Audyssey MultiEq to correct room issues and balance speaker outputs.
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