Best Complete HomeTheater USED for $5000.00

I'd say it's so close that is doesn't matter. Once you experience a 92 or 120 inch front projection system a 50 or 60 inch TV suddenly seems as small as a 19 inch. Front projection is such a better HT experience, that even 65 inches isn't enough. It's the whole gestalt thing. Sure a 1080i or 720p display might have more detail, but truthfully the two projectors I've cited (and I mentioned two VERY SPECIFIC models on purpose) do 480p so well that (to me) it simply does not matter.

BTW, everyone who's seen my set-up says they prefer it to any plasma (even the big 60 inchers). Take a moment to digest that comment. My friends (non-technical minded people) are saying this entry-level projector meets or beat the best that they have seen. It is simply that good. The PQ really is jaw dropping. People just do not know what is possible with $1.5k worth of front projection. Most said if they could deal with the install (you have to mount a projector and a screen, calibrate, focus, align, and manage some light control). But it really is worth it if you are technically inclined. Else just get a TV (RPTV or plasma) and "plop" it down in your living room, not installation needed - they're all-in-one units. This is one of the dividing lines. The front PJ install it a little more involved. But if you can level a TT and align a cartridge, I think you are qualified to do this.

As for ambient light, let me say this. If you can read a newspaper, then there is too much light. Plain and simple. These are for serious HTs. Any ambient light failing on the screen is going to kill your picture. This is one of the reasons why in addition to heavy drapes and blinds, most home theaters do not have white walls. White walls bounce around an aweful lot of ambient light. And some of this is going to fall on your screen. White walls are so 90's, anyway. ;-) So take your wife and use this as an excuse to go to Home Depot or Lowes and get some paint.

I would think long and hard about adding multi-channel. I, too, am a
confirmed two channel guy. I set up an ultimate two channel music and
multi-channel HT in one system. But, I found that very few films even use
rear surrounds and the ones that do -- Star Wars, Twister, etc -- aren't the
type I typically watch. And even those only use the full surround for part of
the film. Twister, for example, has a five minute surround sequence at the
beginning of the film and then never really uses surround again. But, this
brings up another point. You find yourself watching parts of crummy movies
over and over because they utilize surround and you want to use your
surround system. So, you end up watching the pod race sequence from Star
Wars or the beginning of Twister every time your friends or relatives come
over until you're sick of it. I finally took all of the surround stuff, put it in
another room so my kids could enjoy it, but I keep a 43" plasma in my
listening room and I watch movies in two-channel. With my system, the
voices image in the center, right in the center of my screen. I like this so
much better than having a center channel. If your two channel system
sounds great for music, chances are very good that it will sound great for
movies, too. Maybe add a sub-woofer for the occasional room shaking stuff.
You know, when you watch the pod race or the first five minutes of Twister.

Just offering another perspective.

I think it's all personal and relative here. I mean, everyone has different gear out there, everyone!..even the audiophile/reviewers for magazines have completely different setup's.
That all said, you could go a number of dirrections. You could do the 2 channel w/subwoofer and pre/pro setup, which many audiophiles do. This setup makes sense for 2 channels guys, or those who wish to keep things simple, but want to spend the bulk of their money on heigher end gear in a certain budget...which may be right up your alley!
All you'd need to do is keep it 2 channel (either full range or satalite fronts), add a MUST NEED subwoofer, AND a dedicated A/V pre-pro. This is a MUST for properly processing DD/DTS! You can't get the same results by simply processing in the DVD player or source, and going straight to your 2 channel preamp. This is never as good.
The next audio alternative is of course to invest in some high quality satalites that will do justice to movies and music both, IN YOUR ROOM/SETUP! The speaker selection is key/paramount here for best results, far more than the gear!
If your setup is such that you can sit closer to the speakers in relation to the ceiling and sidewalls, or you have very good acoustics and treatment in the room, then you can get away with higher end traditional music monitors(i.e., tweeter over mid/bass drivers) IF NEED BE. But I'd still like to see multiple driver arrays or horns and or more active designs to maximize the focus, dynamics, solidity of image, impact, speed, and pressence that you NEED for a properly potent home theater system! Most people fall short here, and don't know what they're doing.
If you sit back further from your setup, have low ceilings accordingly, and or have to have your speakers near the sidewalls to boot, you must consider the above mentioned Dappolito, THX, Horn loaded, or other more "controlled focused" designs. Otherwise, you need major acoustics in place to negate first order reflections from destroying your sound!...and they will do just that. You can thus look foreward to a soft, un-involving, smeared, dynamically wispy, faint, and generally confused sound if you don't take care here. (20 years and 6 high end audio stores worth of experience talking here).
All that considered, you have to ask yourself what you're room/setup would involve before you can properly adress your speaker choices in my experience...this is critical.
Your choices also depend on HOW BIG YOUR ROOM IS!
Narrow down your room considerations, and I'd recommend "no lose" choices for your needs, sure.

Scrap the 2 channel HT stuff...unless you are Amish, no 2 chanel can give you that theater feeling, dont drink the Kool-Aid! Get a good sub, (pay attention to Sub if you are going to use it for music) get a beefy center that has the same drivers as your fronts, and dont worry so much about matching the backs to the fronts, for serious SACD and DVD-A it is more critical though. Get 5.1 or 7.1 set-up with a good size screen and you will be in heaven, just remember to scrap the 2 channel theater idea. One more thing, for gods sake dont follow the 80HZ THX cross-over bullshit, that is a "standard" set for budget reasons, not performance.

"...unless you are Amish, no 2 chanel can give you that theater feeling" (Chadnliz)

I dissagree. I personally know that a QUALITY 2 channel setup is much better than 5 or more channels of mediocrity, ANY DAY!! Again, I speak from over 15 solid audiophile years, and from working in 6 audio chain stores, having done custom theater as well. Setup is key, but quaility is better than quantity when it gets down to it, if you ask me.
Yes, multichannel movies is better when done right for the effect. However, you can still maximize a great experience from 2.1. Things just must be done right.

"...One more thing, for gods sake dont follow the 80HZ THX cross-over bullshit, that is a "standard" set for budget reasons, not performance. (Chadnliz)

Once again, THX spent thousands of hours of research coming up with this setting, to know that Chadnliz is WRONG!!!
I've done more theaters than most any here will ever think of doing in their life time, for a living as well as for personal pleasure. And I find that the 80hz setting is a superb AND MOST OFTEN NECESSARY setting spot for a crossover!...given the nature of the gear selections, at the very least!
Even large comercial theaters, utilize 118 db horn drivers mated with 15" mid/bass woofers, that mate 18" active subs at the 80HZ CROSSOVER! Why? Because it works!
Most typical anemic, low sensitivity/efficiency passive crossover speakers for home use NEED ALL THE DYNAMIC HELP THEY CAN GET!...I promise. 80hz helps (especially receivers)even separates based speaker systems get the best dynamic range possible, leaving an active sub to handle the more demanding bass!
You can dink around all you want with either full range, 40,50,63,or whatever crossover points. But day in and day out, a properly integrated 80hz system will smack the hell out of a system if you do it right!
I garantee my systems set to 80hz will stomp most any typical audiophiles setup running "full range" from the mains! It works.
Bottom line, trust the people who do this for a living, get paid millions, earned "Oscars" for their contributions, and are used to mixed the biggest block busters around! THX is doing just fine if you ask me. And I own mostly audiophile stuff, but respect and know what THX can do in the right hands.
It's the "user error" on the other end that usually makes ANY SYSTEM fall short...Which is why you pay pro's to do it right in the first place...user error and lack of skill/experience.