@BulletGuy
Excuse the fact, I haven't read complete thread but only your initial requirement. In view therefore if you find somethings as redundant, pl bear with!
Broad steps in building HT Setup:
1. First & foremost is being clear about your requirement. That is, is it 100% purely meant for music, or, occasionally movies too? Likewise, in future is there a chance you may want to expand your system to full AV setup - say 5.1 or even 7.1 incl Atmos?
2. Once that's sorted, step 2 is defining your budget.
3. Audition: Reviews and recommendations go only that far. The final and only benchmark is what fits your taste, budget, space et al
Extending above broad steps, and focusing largely only current requirement, while keeping future scope of expansion in mind, here are few suggestions -
1. Floor Standers v/s Book-Shelf: No matter what brand or series, BS will never equate to sound reproduction capabilities of FS. Period. Besides, with BS you will require stands as well. In my view, it defeats both price and space advantages BS are 'supposed' to have over FS. Going purely sound-wise FS will ALWAYS outdo BS. Be clear about it. Concurrently, if one may want to expand it into full 5.1/7.1, again FS beats BS hands down. In view therefore, FS all the way!
2. AVR v/s Stereo: Unless you're serious audiophile and music is your forte, Stereo should be your partner. But if you consider functional scope of AVR, it stretches far more than Stereo at relatively less loss of musicality. So unless am extensively deep into music (with sensitive ears to pick every bit of nuances), AVR should be one's choice.
Logical Question is: What makes Marantz Stereo sound 'better' than Marantz AVR?
Well, say Marantz SR XXXX (7.1 channel) costs Rs 1.0 lac. If you break it down and assign cost of each components, eventually Amp section will cost around Rs 30K. This Rs 30K amp is driving 7 channels, ie, amplification cost is Rs 4.1K/channel. On other hand, Marantz PM XXXX (2 channel) costs say Rs 50K. The amplification cost here would be Rs 25K/channel. That's the cardinal difference.
Another key element is room size (space) its supposed to fill and volume at which one usually hears. Marantz SR XXXX should be able to fill a standard room size with ease at normal volumes. Unless of course room size is that of a hall, and/or, you hear at reference volumes, AVR is just fine. By getting good AVR, you have left ample room for future expansion. Stereo now, means AVR later. Simple.
3. Speakers: I have had used/heard from the likes of B&W, KEF, Dali, Monitor Audio, Jamo etc and then some more. Each has their own distinct advantages (too lengthy to type/discuss right now). Overall I liked Dali among the lot.
4. In your situation, I'd rather invest in a pair of FS (even if it calls for some extra stretching of budget). Cus with FS you have outdone 'immediate need' of Subwoofer. With BS, you would undoubtedly need a Sub. You can, at later stage, expand your setup at will and make it full HT setup. This step-by-step approach should not only take care of your current needs, but futuristic needs as well. Pl be crystal clear -YOU WILL BUY IN FUTURE. Happens to all of us, such is this Hi-Fi Bug,. highly contagious!
5. Concurrently, you may also hunt for deals at HifiMart and/or look for good used one.
By the way, am in Mumbai. If you happen to visit, you can come and have a look at my setups. I have 2 full 5.1 Setups, and going for 3rd one soon. (Did I mention about HT Bug? lol)
Cya & take care!