Best way to install postgres? RPM/Source Code Build

Hi All,
What is the best way to Install postgres database?

We have installed (2) versions of the postgres on th server using source
code (compiling and building) (/usr/local/pgsql/8.3.3/ and
/usr/local/pgsql/8.3.6/) and our data directory is (/mnt/data/pgsql/)
Our database size is more than 100GB. Currently we are running 8.3.6. When
we upgraded from 8.3.3 to 8.3.6, we pointed the data directory of 8.3.3 to
8.3.6.

Ops team want to install postgres as (usr/local/bin) using RPM, and want to
keep the data directory under (/var/lib/data/pgsql) and they say that we
cannot have two versions at the same time using RPM.
They say that red hat standard is to install all binaries of the database
under /usr/local/bin and by using RPM only.

What is the best way to install postgres? Is it by RPM or using Source code
(Build). Could postgres experts comment on this please.

Thanks
Deepak