Speakers and TT for NAD 3020 Micro-Budget System?


I am a complete stereo newbie and I was looking for some guidance on building my first micro-budget system. I recently picked up a NAD 3020 off CL for $40 in mint condition. I am looking to match speakers and a TT to this system. I have very little money but was looking for something that sounds musical and is tolerable - I'm not interested in a perfect sound experience, just to enjoy listening to records.

My budget is about $400 for the TT and Speakers. I could push it up to $500 if there is a real upgrade in performance. The room is a very small NYC basement apartment. Approx 10' x 10' with low ceilings. I primarily listen to rock with some jazz and no classical. This system will be used almost exclusively for listening to vinyl and that is the primary focus at this time.

I am very happy to purchase used. I know many of these threads conclude with "here are some good ones, you should listen to them" but this is simply not going to happen. There are no used hi-fi stores that I am aware of in my area and anything I buy will more than likely be shipped from far away. I would most like to hear something that you would personally be pleased with in this price range with these specifications.

For speakers there seems to be a consensus that Paradigm Atoms and Mordaunt-Short MS 10s are legends in this category. For TTs, I am thinking of a used Music Hall or Rega entry-level or a vintage Thorens (one of the less coveted older models like a 115) or Marantz that has been cleaned up.

Thanks in advance for reading this and for your help! This is a very intimidating new world and I appreciate all of your expert advice.
powersofi
For the TT, I would suggest doing a bit of research on what might be good on a used basis, then buying a TT at Goodwill, or off ebay. I would recommend asking on the Vinyl board at AudioAsylum.com for a list of good models which can be found at garage sales/thrift stores/Goodwill/ebay for $150 or less and then trolling. The easiest solution would be to find an old Dual TT. They are decent, sturdy, and ubiquitous.

For the speakers I will let someone else recommend.
Here's what I would buy:

http://www.audioadvisor.com/prodinfo.asp?number=1PBALB1 (these are demos in Black for 10% off)
http://www.audioadvisor.com/prodinfo.asp?number=PBALB1&variation=PSIE (same speaker at full price in Sienna)

http://www.dedicatedaudio.com/inc/sdetail/22366 (45% off)

These should work well with your NAD 3020 as they are reasonably sensitive and their impedance should present a relatively easy load to the amplifier.

Speaker Stands:
http://www.audioadvisor.com/prodinfo.asp?number=1SANF (also demo at 15% off)

I was having a hard time fitting the turntable in within your budget but the usual entry level suspects are Rega P1 and Project Debut III as well as Music Hall 2.2

You should be able to find some used in your price range.

Good luck
A mint NAD 3020 for $40 is a good find!

I recently picked up a pair of Polk Model 7s that I saw on CL. I have them paired with a NAD 3125 and I like the combination quite well, especially considering the price. In my opinion, the model 7s are sufficiently deep when playing music that I don't need a sub woofer. Then again, most of what I listen to is jazz and classical.

Good luck!