I'm the owner of a 42W650 and I can tell you I'm quite satisfied with the overall experience. Don't be afraid to go bigger than 32" since the 42" version really offers a much more solid PQ, black levels and unnoticeable input lag.
You must be aware however of some issues that are almost universal to any mid-to-low budget LCD screen: Sound quality is shit, but I already knew this from dozens of reviews and opinions I gathered from the internet. I don't mind the sound quality at all since the TV features 2 audio outputs: Optical and Analog (headphones-in). It is "ok" for casual watchers but for serious gaming you have to remember to always output your console's sound directly into a Home Theater.
Standing front to it, right in the middle of the screen you get crisp, gorgeous colors and a great range of blacks (which I still haven't calibrated, but they look really good). When playing during the day on a well lit room you can definitely notice solid blacks, but at night you'll find the darkest black is actually a very dark shade of gray.
Since it's a VA display the viewing angles are really poor. You'll notice a drop in blacks as soon as you move 20° horizontally off-screen, and they fade into a light-dark grey at 45° and above. Vertically it is much worse. 15° off and you'll notice a huge dropout from black to light grey.
Standing right at the center you won't notice any light bleeding from the corners or edges. Actually, you won't notice anything at all. If you stand up while your TV is on and look at it from several angles you will (of course) find some bleeding, but this is something I've seen in almost every single LCD display. I repeat: Looking at the screen at the right viewing angle delivers a
crystal clear Full HD gorgeous image without any imperfections.
PC gaming is fantastic. 1080p looks amazing and as I already told you I haven't even bothered to calibrate this set.
I've read you can reach RGB levels from 17 black up to 255 white upon further tweaking.
In a nutshell: If you're going to use this mainly for gaming, you're under a tight budget AND can't find any Plasmas then yes, look no further, this is your TV.
You can read this for more info.