Well, there are a lot of systems available in this Range:
Yamaha YHT-296 - Best For Music, but i personally felt it wasn't powerful enough for movies. Quoted at 30K, but could bring the price down to 29k.
Pioneer- HTP 071- Well, for the past years I have had a bad experience with it, and haven't seen much quality reviews.
Onkyo - HTS 3400/3500 - I found it to be amazing for its budget. I demo'ed almost every set, including JBL, Denon, Polk and Yamaha. But, found Onkyo to be the best on all points. It was perfect for my movies and sounded great for music.
Another correction the Onkyo-3400 does not have a USB Port, the 3500 Does(available at the same price as 3400 but without the BD Player)
I would strongly suggest to go for the Onkyo-3400 as:
1. In case you download better quality music(Flac etc.) or play 5.1 Videos of songs, the real difference would come out for music. I would give the YHT-296 a point above the Onkyo on this aspect.
2. The Onkyo-3400 pitches the other two down because of its Movie Performance. If you are a movie buff, and want an amazing experience out of your set for both movies and music. I would suggest you the 3400. You could save the money on 3500 and buy add-on's(BDP/ 14 Gauge Wire)
3. Considering the fact that I have also demo'ed the three sets together with the same quality files(mp3's) and a Blu Ray of the same movie.
The Onkyo 3400 seemed to be the versatile performer imho. The YHT-296/298 is pretty good for music but the Onkyo-3400 simply beats it on the movie front. Also, the real music sense would come off only with better files and not on downloaded music. Also, it does not only depend if speakers are of more watts or they are stylish, but yes the YHT-196 is outdated. Since you are looking for a budget Htib, The Onkyo -3400 is what you should buy right away.
Also about the ventilation problem -
http://www.hifivision.com/reviews/35...00-review.htm