What would I do for a Small System for a Small Space??
Definitely...... Large Components and Large Speakers are OUT..... FOR SURE!!!!!
With up to $2K to play with, I would do:
Speaker System: Dynaudio DM 2/7 -- $1,000.00 (New)
Integrated Amplifier: NAD D3020 (DAC is Built-In and supports up to 24/192, 30 Watts Per Channel) -- $500.00 (New)
Front-End: Apple iPad Air (First Generation -- 64GB with Wi-Fi -- I would shop for a model that's about two years old) -- $300.00 - $400.00 (Used)
OR
Use Your Existing PC/Laptop Computer -- Free
Dock: (For Apple iPad Air): iHome -- $100.00 (New)
OR
I/C + "Y" Jack (For PC/Laptop Computer): Audioquest or Kimber Kable -- $100.00 (New)
S/C: Audioquest or Kimber Kable -- $100.00 (New)
System Total: $2,000.00.
Suggested Upgrades (when finances allow) would be:
(01). Subwoofer For Dynaudio DM 2/7: Dynaudio Sub 250 II -- $1,000.00
(02). External NAS Hard Drive: G-Technology G-Drive (3TB) -- $250.00
Good Luck and Happy Listening.....
--Charles--