New build 1k-2k home entertainment system

Good evening! Newcomber here excited to build my 2nd system. I am putting together my list of parts needed for my new build. This will be my 2nd build(last one was in 2000, so I feel like a newb with all the new lingo).

APPROXIMATE PURCHASE DATE: By the end of the year.

SYSTEM USAGE FROM MOST TO LEAST IMPORTANT: Full home entertainment system(movies, web browsing, gaming). Would like full functionability in living room on 42 in lcd.

PARTS NOT REQUIRED: Keyboard, speakers, mouse.

PREFERRED WEBSITE(S) FOR PARTS: I have been looking on tigerdirect mostly, but am open to suggestions for best prices.

PARTS PREFERENCES: Intel processor(i7 is nice, or is that out of my league?), Asus mobo(used last time and loved it, open to suggestions for good pairing with intel). Still need help with better memory, hard drive, dvd(blu-ray), and video card brands.

OVERCLOCKING: Doubt it, SLI or crossfire?

MONITOR RESOLUTION: Not sure

ADDITIONAL COMMENTS: Once again, ultimate goal is to have a very nice, up to date computer system to watch movies, a little gaming, web browsing of course, listen to music. Plan to use this as a centralized entertainment system, I want movies, and music available at the click of a button.

All help is appreciated.

Thanks in advance.

Once I get the plan for the system, I will build it. I guess I should say "asap". Budget is 1,000 - 2,000 dollars.

I want to get a mid size case, need to have plenty of room, but dont want a giant tower. I wont be getting a TV tuner. I do plan to wait until windows 7 comes out. Is the Core i5 worth the wait? Will it be superior to the i7 enough to warrant paying the extra money for my needs?