I currently have Def Tech BP6B speakers with a Denon DRA-395 stereo receiver and a Paradigm PDR10 subwoofer. What do you guys think the best upgrade path would be. I can't afford to upgrade the whole setup at one time so I have come up with two possible upgrade paths that eventually lead to the same setup but have very different intermediate results.

Option 1:
340's for left right and center in front, move BP6B's to the back for surrounds, get surround receiver. Keep same sub (not much output in my room) and get a better one in a year or two.

My analysis: In this scenario I upgrade to surround sound from stereo but my sub still is poor for my room.

Option 2: Stay in stereo. Get 340's for left and right front. Get HSU VTF3-II sub. Put BP6B in attic until upgrade to surround later. Sell Paradigm sub to someone with a smaller room. In a year or two get the 340 center channel and a surround receiver.

My ananlysis: In this scenario I get much better stereo sound (from what you guys tell me,) I get a real subwoofer , but I don't get surround and I put $600 worth of speakers in storage. (that's kind of painful for me)

I use the system for both music and movies. I know I am asking for opinions but please let me know what you think.