@soix @charles1dad
I was inclined to agree from the beginning with essentially starting over. And in a post above i mentioned the probability of buying a different set of speakers and an amp. Adding a matching preamp to the setup will be just fine.
As far as the preouts and loop in/loop outs go I have a fairly good understanding of it and that won't be an issue.
The other thing I've thought about, which @2psyop mentioned, is, speakers for different purposes.
The Yamaha Adventage 3070A has so many various decoding modes for home theater and surround type setups its ridiculous. small/large center presence for L/R. small/large surround presence for L/R. Ref SUBw presence for L/R, that I really dont need a full surround system with the Polk 707s. The Ref SUBw presence is enough to shake my house with the 707s. and the small surround and center on the polk 707s also do the job. They actually do make it sound like most of the surround coded audio is coming directly from the left or right of me. So overall, I'm happy with this for home theater. I'd add the 706 center or the 703s for surround but this would obviously sap too much power and strain the receiver and probably just weaken the bass and overall system and I would need to get it it's own 5 channel amp. Which I don't want to do.
I may keep the 707s and AVR for this home theater setup.
When I want to listen to music, simply move some a few interconnects and banana plugs around and hello new music 2.0 setup!
I really appreciate everyone's input and posts on this. And I think I've learned there is no need to try and cheat or cheapen my way around it like @soix mentioned with an AVR preamp setup baha.
I will be trialing new speakers, and then looking into pairing a pre amp/amp after finding a pair of speakers that sing to me. Maybe it'll be harbeths, maybe it'll be EMTs, who knows. Let the fun begin!