I have to say, horror is better on the big screen.
Which works out great when you have a huge soundsystem and a projector to have your own big screen cinema experience in your lounge :D.
To be honest, it's fairly cheap to do. I picked up the projector for £400, the sound system for about £500, the DVD player cost me £120 and then there are the cables which maybe cost me £80 lets say (yeah, I know, those are some expensive cables but stuff like VGA and speakon cables for the lengths you need are).
End cost, just over £1,000 which isn't too bad. You'll spend that on a big screen TV.