Because they use small Metal Halide lamps and the ability to project an image on any flat surface, LCD projectors tend to be smaller and more compact than some other types of projector systems. Even though it can be projected on any surface, the best image quality is found using a white, gray, or black surface, so dedicated projection screens or special paints are often used.
Viewed color in a projected image is a factor of both the surface and projector quality but the surface can make or break a picture. Since white is more of a neutral color, white surfaces are best suited for natural color tones but have the problem of reflecting way too much light.. They are also common in home theater projection systems where the home owner either projects onto an already white wall or paints a white "screen" onto an otherwise colored wall to give the appearance of a home theater screen without the cost of buying and installing one.
However, darkest black in a projected image is dependent on how dark the screen is. Because of this, some presenters and presentation space planners prefer gray screens, which create higher perceived contrast. The trade-off is that darker backgrounds can throw off color tones. Color problems can sometimes be adjusted through the projector settings, but may not be as accurate as they would on a white background.
Gray screens are considered the best option for a home theater however as dark blacks are very important to picture quality and a white painted wall would reflect too much light back at the viewer. There are two ways to achieve a gray screen for your home theater. One way is to purchase a projector screen from a store. (see next article for more detail about these screens) These are already adjusted to the best gray color for your picture. These screens come with many different options and should be chosen based on your setup and budget allowance. However if you are really budget minded there is an alternative to a pull down screen for your home theater. Rather then paint a wall white which would reflect too much like, you can purchase a gray paint specifically manufactured for home theaters. This is available at hardware stores but I know specifically of one at Home Depot for cheap ($20/gal should take care of the whole screen). This is the best bang for your buck for a home theater screen.