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Best Virtualization Option?

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I'm building a hackintosh and will be doing a vanilla install of OSX 10.5.7 I'm thinking of installing either WinXP or Vista as well. From what I've heard (although I'm a noob to hackintoshing) is that setting up at dual boot is a pain if you don't have two hard drives. Since I only have one HD at the moment, I'm thinking of using Parallels 4.0 or VMware to run XP or Vista when I'll occasionally need it. That said, what do you guys think the best virtualization option is? Or is it better to set up a dual boot instead (if so, are there any good guides)?

 

Here's my setup:

 

Motherboard: GIGABYTE GA-G31M-ES2L

CPU: Intel Pentium E6300 Wolfdale 2.8GHz

Video Card: GIGABYTE GV-NX72G512E2 GeForce 7200GS 256MB 64-bit GDDR2 PCI Express x16 Video Card

RAM: OCZ SLI-Ready Edition 4GB (2 x 2GB) 240-Pin DDR2 PC2 6400 SDRAM

Hard Drive: Seagate ST3250310AS Barracuda 250gb SATA 7200rpm

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Someone like me but legally distinct from me is planning to build a MAC PC. I saw him running MAC OS X 10.6.2 in a VMware workstation 7. For real. Windows 7 is the host.

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