I'm a little late to the conversation, but I'll chime in.
I've been bitten by the home recording bug over the last several years. I really like being able to record in my living room. I've invested in some good mics, preamps, and a few compressors. But I have no monitors - mainly because I have nowhere to put them.
I'm married to a musician. She has no problem using the living room as a makeshift studio, but it eventually has to be turned back into a living room. Therefore, permanent sound treatment is not an option, and as far as I can discern, studio monitors are useless in an untreated space. For that reason, I just use my stereo speakers in my untreated living room. And it works just fine for me.
Eventually, yes - I want to have a properly treated room for mixing with proper monitors. But as it stands, I'm getting fantastic results just shooting from the hip with my stereo speakers. And you know what? When I play my mixes on proper monitors in a professional studio, it still sounds the same to me as it does in my living room and my car stereo. The bass is still balanced, and there's no obvious EQ problems. Check the link in my signature to hear my honkytonk band's recordings, tracked live in my living room, and mixed on my stereo speakers in the same living room.
I certainly would not downplay the value of a good set of studio monitors, but if you don't have a properly treated mixing room, then monitors are a waste of money, and you'd be better off investing in mics, preamps, or actual sound treatment.
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