Need suggestions for a good XM ready receiver

I would second the Polk suggestion. This is an excellent tuner, and offers a few features you might like: video output which allows you to see info. on your TV (I send mine throughout the house in a whole-house B&K system, and find myself reflexively looking towards the TV in whatever room I'm in to see who's playing); also, with a decent on-board DAC, it's a bit more flexible as a stand-alone unit, for example you could send the digital coax to your A/V receiver and the analogue outputs to a 2-channel system; it's not relegated to the plug-n-play style antenna/tuner systems like the receivers, which means that you can run a Terk XM antenna via standard coax for better reception; also,it has fully discrete codes, at least through the URC database.
Anyway, it's an all-around good unit if you don't have to go the receiver route.
Good luck,
Charlie

I have the Polk Audio XRt12 separate XM tuner and am very pleased with it. The XM signal is compressed and is not close to CD quality but, I picked up a little Scott Nixon tube DAC for a couple of hundred dollars and it made a very noticeable improvement to the sound. I would recommend this approach. Then you would open up the choice of a receiver to a much larger group. In that price range they are many quality choices if you take the XM out of the search.

Dennon and Yamaha I believe are both XM ready and have several models in your price range, go to Crutchfield.com if for nothing more than to see and read features.