Phaze, if you spend closer to $950 you'll be in good company. There are so many excellent CD player/Dacs out there that fall within this price range. They may not have a DVD player's versatility but I know you will hear the difference. To name a few, Cambridge Audio's 640C v.2, 740C, Rega's Apollo, Consonance CD-120 linear and PS Audio's Digital link III. (Dac) The last one will play anything and everything. At about $300 Marantz's CD-5001 offers smooth and warm sound if you like that. It can compete with the lower tier 640C.
CD playback has come a long way in the last couple of years and I know you will hear a difference. Check out the used players on Audiogon.com.