Sounds to me like you need to rethink your whole system. Yes, speakers are most important, but I think you should upgrade your system all at once.
I understand the hesitancy to go "all out" while living with your parents, so I would recommend active speakers, driven by CDP with variable outputs and be done with it. There's all sorts within your budget -- did you know that Wharfdale make monitors (active speakers)? Look at these prices! You could, of course, spend more, and get more, but the Wharfdales sound surprisingly good -- give them a listen if you can.
Did you want to be able to play anything besides CD's?