Please help me decide.

I currently have a Sony 36" XBR CRT. A neighbor is selling his 40" XBR for a 50" LCD/Plasma. What would be a fair offer on my part since he said he would sell it anywhere from $500-$700 including the stand which cost $500.
I wanted to aquire a 57" DLP, but would keep the 40" for about a year until I bought something else.
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Personally, I'd just stay put and wait... but if a couple more inches is important to you give the man what he is asking for or $600. That's exactly between 500 & 700.

Of course if the deal is for 500 just for the TV... and 700 for all, then I'd say depending on the man's nature and the age of the TV... give him 650.00.

He is a 'neighbor', afterall. It pays to keep relations with folks close to you in good order.

My first thought however is to wait and get what you want as just a couple inches wouldn't be enough for me to make the move.... unless the 40 is newer & or in better shape.
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I would save your money for a quality plasma. I had the Sony XBR and bought a Pioneer 50" plasma. Best money I ever spent. If you buy the 40" XBR you are only going to get a plasma or an alternative flat screen HDTV anyway. Be patien
I'd wait for 3-D TV!
I was about to make a purchase when the 120hz thing popped up. None of the set's I wanted had the feature. The set I have in the bedroom is 25 years old and the 36" would take it's place.
If I get the 40", I could sell the 36" in a year or two and put that money towards a 57" DLP(unless no one here thinks DLP's are competitive).
Take a look at Banyan Electronics:
I have the XBR WEGA 16X9 1080I unit thaat is 34in wide, its deep, heavy but it smokes any picture out there at this point in time, if it is a model like mine and hi def I would grab unit was $2500 almost 5 yrs ago and still as beautiful as ever, I watch movies on our Projector but everything else on the Sony as its that good.
It's the 40XBR800. I originally wanted this model, but was too big to fit through the door.
I didn't know Sony made 40" CRT TV. I had a 32" XBR CRT and it was just a huge pain in the butt when I was moving. I eventually sold it on craigslist, but it was not easy to sell due to the weight. One of my friend had 36" XBR, which I thought was the largest CRT Sony ever made until I saw this thread. He practially gave it away just last year as nobody wanted it. For $500 it may look like a good deal but it's going to be a major 200lbs+ pain in a couple of years when you want to get rid of it.
Tabl10s- 6th Ave. Electronics is selling the 56-inch, LED illumination, Samsung HLT56875 for $1199!!! Go for it; it will match up to any 50 - 52-inch LCD or plasma at two to three times the price. This is a steal.

Wait and get what you really want. The difference in the size at least between the two old sets, not that big of a deal. Prices are dropping all the more on the newer tech sets.
Russ, claiming that LCD will go head to head with a Plasma at 3 times the price is a bit of a wait, its a huge leap of misguided faith.