This all the way. I also have a 27" Sony Wega with a switcher that has component/svideo/composite. I'm sure you can pick one up for next to nothing now. They look great. I think you're making the right decision.
Also, I might suggest searching for a good switcher on CL also. I picked mine up for $15 bucks. It has space for 7 consoles, etc. It also has a remote to switch between the inputs and a programmable LCD screen that says what system you've switched to.