Two years ago, I bought a projector that does 1080i, projector mount, 20' HDMI cable, screen, upscaling DVD player and some other misc stuff for less than $2K.

Looks great even with lights on in the room. I think the same projector today that now does 1080p is less than $2500.

If you have the room, the only downside of projectors is the bulbs go out after about 3,000 hours.