you can pick up the new Pioneer DV-45a (DVD, cd, DVD-Audio, SACD, mp3) player for less than $175 new!!
my personal recommendation is don't skimp on speakers. save your $ on the DVD player, wiring and the receiver, integrated amp or preamp/amp combo.
the best place to stay away from is your corporate chain stores. go to an independent hi-fi shop and spend your time actually listening to stereo gear rather than reading specs on the internet and/or reading someone else's reviews. while specs and other folks' reviews can be helpful, the most important thing is how the gear sounds to your ears.
once you're mind is set on a piece of gear, try the used market like Audiogon (
http://www.audiogon.com). this place is filled with audiophiles sometimes dumping their equipment to satisfy their addiction of perpetual upgrades. i've purchased 75% of my home stereo gear from folks on Audiogon and am 110% satified by my purchases.
also, your local dealers often run specials and demo sales which will save you major $$ over brand new equipment.
good luck,
marc