After much research and listening I need to make a few changes to the plans one being looking into a bit higher end(sonically, reasonable cost) DAC. The e30 is great for a budget DAC but there seem to be others in the price range that are better, my budget will be around $300-500 for a good used DAC which should be more than enough. I might try an upgraded power supply for the e30, I tested several different phone chargers and USB ports on laptops and the HTPC, there were some differences.
I am going to get a Panasonic BD player as they seem to have the best upscaling of all and optical as well as digital audio on a HDMI port. The one I am getting is pretty cheap but has the same video processing as their most expensive one.
Looks like I will end up having no need for the HTPC, glad I did not spend much on it.
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I know some spend more on a set of interconnects than I will have in my whole system, whatever makes you happy or at least I hope it does. If audio was my primary hobby I would spend whatever it takes but I will be more than happy once the whole system is setup and in balance with each area doing the best it can to match the rest.