I had issues with blurry text as well.
First off all the screen was a bit cropped. Turns out all TV's do this and switching to fit screen instead of 16:9 mode fixed this.
This made the text slightly less fuzzy because it doesn't zoom in the picture.
The second step was checking if my ATI driver was not using any overscan. it was not.
I almost decided this was as good as it was going to get until I opened one more website to see how to enhance the image.
Jackpot.
I have 2 HDMI ports on the side of the TV AND a third one at the back. It's labelled HDMI DVI.
I already had it hooked up to the third one.
But I read you could rename this channel/connection (it's called HDMI3 something in my TV menu) to PC.
BAM. Screen went dark and when it came back all my settings were gone BUT the text was much clearer.
Turns out changing the name to PC (you can't type this manually but have to select the name from a list) changed all kind of settings you can't do manually. (believe my I tried all settings)