Mule - are you about to take the plunge into surround sound processing?
Here's my .02...
A lot depends on the receiver, and how you've set it up. In most cases, you're not exactly equal distance from all 5 (and especially 7) speakers. So if the front and rear(s) all play in stereo, you'll still receive the signal at different times. If you've properly set the speaker distances, it won't be as noticable - it's not a perfect science
Many times, speakers have different spl ratings even though they come from the same line. Fronts are sometimes higher than rears, and centers could also be different. Driver size changes from towers to surrounds to centers. Crossovers change as well. That's when auto calibration comes into play. A simple measuring tape won't do justice compared to a well placed mic. It will get close, but not exact.
I've got 7.1 channel stereo set up throught the 3805, and it sounds incredible. It took weeks - probably months to properly calibrate. You'll notice that switching from 2.0 or 2.1 to 7.1 will add 3-6dB (possibly more depending on the number of speakers). When I'm in the sweet spot, you can't beat it. It's like an orchestra playing in the living room. I have my 2.0 system in the lower level, but it's a struggle to get me to leave my 7.1.
I never experienced that sound from my older Yamaha or Sony in 5.1 surround. I still enjoy 2.0 and 2.1, but if you can manage to tweak 7.1 correctly - look out.
On the fip side, I can't stand DPLIIx Music or DTS Neo 6 Music. The matrix processing seems to throw a blanket over the music.
Unless you have SACD, DVD-A, or DTS Audio encoded discs with a proper player, forget trying to matrix two channel music to surround. IMO it's terrible (and it could just be the Denon, but I doubt it).