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A TV Tuner card would allow you to use the PC as a DVR. MythTV is a highly regarded free DVR software, though I have no personal experience with it so can't vouch.
As for the PC, really, as long as you aren't gaming, just about any PC these days is plenty powerful for simple video stuff. You can get one and add a low cost HD video card. That's what we did.
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'He who receives an idea from me, receives instruction himself without lessening mine; as he who lights his taper at mine, receives light without darkening me.'
-TJ
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