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Question:

I am shopping for a new HDTV / home theater package for my apartment, for under $3,000. What are the “basics” that I need to have/consider in my purchase?

My particulars: I am in an apartment; total budget is less than $3,000. Considering a 42”-46” LCD HDTV. I have a DVR cable box thru Comcast, and a DVD player (not Blu-ray). What else do I need?

TV stand (not mounting on wall)
Surround sound/Speakers: Home theater in a box? 5.1 with speaker stands?
Not going to Blu-ray just yet
Do I need to change anything with my cable company (Comcast cable box/DVR)?
Cables/accessories? I read something about HDMI cables.
UPS… surge protection and protection against brownouts.

Anything else?

Answer:

This is a question that we receive quite a bit. Not only on the subject of how to get the best all-around home theater on a budget, but also people just wanting to know what they need to keep in mind when budgeting, so they don't miss anything or go over budget.

I'll begin by addressing the different items you have identified and briefly explaining some options. I will also highlight some things that many people overlook or don't consider. Lastly, I'll highlight a few key products you should consider given your budget.

HDTV
As you might guess, this is central to every home theater and quite often the most expensive item in a "budget" home theater. The biggest factor affecting price here is, of course, size. For the best home theater experience, you should size your TV so that it's neither too small, nor too big, for the space. The term for this is "Critical Viewing Distance", and is typically expressed as a ratio of screen height or diagonal size. The generally accepted viewing distance for HDTVs with a 16:9 aspect ratio is 2x the diagonal screen size. So working backward, if your viewing distance is 10 feet (120 inches), you would ideally want your screen to be half of that, or 55 inches. Having a properly sized television for your home theater space will allow you to have an immersive experience without being so close to the TV that you can see the artifacts (image abnormalities). Knowing what size best suits your home theater area, you can now start looking at various HDTV technologies in that screen size.

Audio / Speakers
For budget home theaters, I typically recommend Home Theater in a Box (HTIB) solutions. These are good all-in-one systems that are easy to configure and connect. You can get fairly decent performance without spending a large deal of money on separate components.

Most HTIB systems will come with a DVD or Blu-ray player that also has input connections for various other peripherals like Satellite/Cable receivers, Video Game consoles, etc. They will typically include all the speakers you need for 5.1 surround sound (front left/right, center, back left/right and a subwoofer).

You can get a decent HTIB system that supports Dolby Digital and DTS for $300 - $500 USD. If you want a Blu-ray player instead of just DVD, it would be $500 - $700 USD. Even though you said Blu-ray was not necessary, I would recommend it in this case since the cost is marginal relative to your budget. I would further recommend that you get an HTIB system that supports HDMI version 1.3.

Connectors
You will probably have all the basic connectors you need included with your TV and/or HTIB system. But in order to ensure you have a high definition connection, you'll want to connect your HTIB to your TV using an HDMI cable. And if your peripherals and HTIB support it, connect your Cable/Satellite and/or Video Game console to the HTIB using HDMI as well. If your peripherals don't support HDMI, then I would recommend connecting them via Component Video (red/blue/green cables) and Digital Optical Audio.

HDMI cables are relatively inexpensive. You can get 1 meter (3 foot) interconnects for $10 - $15 USD. You'll want one cable to connect your HTIB to your HDTV and an additional cable for each peripheral you will connect to the HTIB system (assuming those peripherals support HDMI). Three or four should do it; total cost $50.

Other Hardware
As you mention, you will most certainly want to protect your new investment with a surge suppressor. Take care when shopping for these though, as they can vary greatly in degree of protection from surges and lightning strikes. Make sure you are getting one that actually provides a warranty for your equipment in case of failure. It might also be a good idea to do some research on the various companies to ensure you are buying a quality product. American Power Conversion (APC) and TrippLite are two popular manufacturers of such units.

If you don't already have something on-hand, you will also want to consider home theater furniture. You most likely already have seating in place, but you may want to build the cost of a TV stand or mount into your budget. While the most popular stands are in the $200 - $500 range, you can spend much more depending on the size of your TV and your aesthetic and storage needs.

If you haven't already considered it, you might want to look into including a Gaming Console in your home theater budget. These can be had for $200 - $500 USD and these days can do much more than just video games. Today's modern consoles can be used to connect to the internet, browse websites, and watch internet video from several different providers such as Netflix, Microsoft Xbox Live Marketplace and Sony Playstation Store.

There are several other peripherals you might want to consider for your home theater:

VUDU - This is a small set top box that connects to the internet and gives you the ability to rent and purchase HD movies in a video-store fashion, all from the comfort of your home.
TiVo - If your current cable/satellite box does not provide DVR capabilities, or your provider doesn’t provide a cable/satellite DVR box option, TiVo can provide easy to use program recording capabilities.
Roku - This is a relatively low-profile and inexpensive ($99) box that allows you to connect directly to your Netflix rental queue and watch movies on demand. However, a new feature of Windows Media Center (currently found in Windows Vista Home Premium or Ultimate editions) will allow you to access Netflix without buying a separate component. All you have to do is have your Vista-based PC connected to your TV or home theater.

Programming
Programming is probably the most commonly overlooked area of home theater setup. All major cable/satellite companies now offer High Definition programming packages and services. There is usually no cost to upgrade to these packages for select basic channels in HD. Depending on your provider, you may be able to upgrade to their premium HD programming package for a nominal monthly free (ranging from $7-15 USD/month). Most companies will upgrade your equipment for free as well, provided you agree to maintain service with them for a specific timeframe (check with your local providers). Most also will offer DVR capabilities with these services. In some cases, there is free High Definition programming available as well. Check out all your options and see what’s available.

In addition to making sure you have HD service coming into your home, you should also check the settings on your HDTV and all peripherals to make sure they are set to output/display HDTV resolutions. Instructions for doing this vary by device, but most are included in a "Setup" menu of some sort. Make sure that you set both the output aspect ratio (16:8, widescreen) and the resolution (720p or 1080p, depending on your set capabilities). Matching the aspect ratio and output resolution will ensure you are getting the most from your new home theater.

Good luck!
- Shane Sturgeon
Co-Publisher, HDTV Magazine