$7000 preamp vs $700 receiver - Is the difference THAT significant?

I doubt you would notice any difference. Since you have always wanted a McIntosh I’m sure it would be lightyears better in a sighted listening test but in a blind one I doubt you could tell one from the other. So get the McIntosh and fulfill your blue meter dream or get the pre processor that integrates with your HT and quit worrying about it. Or get a McIntosh pre processor. 

@djones51 Yes... this is the "thing" that I'm afraid of.  While I have no doubt that I'll enjoy it (and the future updates to my stack), it's that little voice that is going: "Are you REALLY gonna notice a $5K difference in sound?"

@hilde45 I've always been a proponent of "buy it once", "don't go in half-way".  And I kinda made that compromise with the outboard Amp I added last year... knowing that if I got to a point, it was going to be pushed to the corner, in favor of a "pretty blue" meter'd piece of metal.

@markusthenaimnut Exactly my mentality.  I just wanted to hear some folks go: "Yeah, there is SOME audible difference..."  And thusly, I'm truly in no hurry.  The first bump in that Amp500 was eye-opening, and the speaker upgrade (with some new cables) really gave me a hunger.  I'm gonna be cooped up here in the winter with very little else to do... may as well make these upgrades.  :)

@rabbottmke - too bad you have a dealer who's a jerk. One good thing about buying a used McIntosh -- If in good condition, they hold their value very well. So you'd be able to resell without getting killed. Good luck making the decision!

@rabbottmke

to be totally blunt... how much difference you hear will be a function of how good/experienced your listening skills are

your system has the ability to resolve the difference - the peachtree is the next sq bottleneck i would say ...to unleashing your system’s full potential (and of course, your room... but we are talking gear here)

in standard, experienced audiophile circles we would say the sound quality improvement would be quite substantial... whether you will perceive it as such is an open question

but as others have rightfully said - 700 to 7000 is really not the right quantum... you will get serious sq improvement with a good 2 channel preamp for 1500-2000 - above that you are buying the mac w meters cuz that is what you are drooling over

Don't sell that Peachtree Amp 500 short. It is fantastic with the newest Ice Edge AS1200 cards. Going to a better preamp will let that amp sing!