I have a budget of ~1000$ to go to a new desktop that will be used for a lot of school work, design, and moderate-heavy gaming. Now i'm not looking for 60 fps on Crysis at 1900x1200 but I'd like to play with no worries at 1680x1080 on a 22 inch moniter.  Budget is 1000$ but i'm a little flexible. i can probably go 100 bucks either way.

So without further ado, heres my list.

Case
Antec Nine Hundred Black Steel ATX Mid Tower Computer Case   $119.99

Mobo
GIGABYTE GA-P35-DS3L LGA 775 Intel P35 ATX All Solid Capacitor Intel Motherboard  $89.99

Gfx
EVGA 512-P3-N801-AR GeForce 8800GT 512MB 256-bit GDDR3 PCI Express 2.0 x16  194.99

PSU
OCZ GameXStream OCZ700GXSSLI ATX12V 700W Power Supply - Retail    $129.99

CPU
Intel Core 2 Duo E6750 Conroe 2.66GHz LGA 775 65W Dual-Core Processor Model BX80557E6750 - $179.99
EDIT: Possibility of going with OEM E8400 + Aftermarket cooler (Tuniq Tower 120?)
RAM
Patriot Extreme Performance 4GB(2 x 2GB) 240-Pin DDR2 SDRAM DDR2 800 (PC2 6400) Dual Channel   $87.99

HD
Western Digital Caviar SE16 WD3200AAKS 320GB 7200 RPM SATA 3.0Gb/s Hard Drive    $74.99

Drive
SAMSUNG 20X DVD±R DVD Burner with LightScribe Black SATA Model SH-S203N OEM    $29.99

OS
Microsoft Windows Vista 64-Bit Home Premium for System Builders Single Pack DVD OEM - $99
Final Cost $1007, $995 after MailRebates and Shipping

Couple things i was concerned about.

CPU: I was originally going to spring for a Q6600 to last a little longer but cash restrains me and i can't find a E8400 Anywhere.
GFX: Really tough choice between 3870 and 8800GT.  i found the 8800GT on sale for as much as the OC'd 3870 and decided to spring for it while it was cheap.
Mobo: Everyone says it's decent, i'll roll with the crowd, i'm aware it'll need to be updated soon.
PSU; No clue, reviews says its good. if anyoen can find a better cheaper option that'll work with what i chose and go well with the antec 900 , please share.
RAM: Good reviews
HD: I was going to spring for a 150gb Raptor but I've heard the Caviar is almost as fast and it's significantly cheaper. 320GB is enough space for me now until i can grab me a raptor.
OS: Wasn't sure Ultimate vs Home - Premium. Anyone wanna swing me in either direction? Also i know this is a system builders pack, will i have trouble upgrading in the future with this?

Your thoughts?

You don't need a 700w psu for this system.  I am building a very similar machine and i'm using the corsair vx550 power supply.  $65 on buy.com.
http://www.buy.com/prod/corsair-vx [...] 52646.html
 

Will the vx550 hold up for future upgrades, i'll be upgrading a lot. What about overclocking?
New thought, maby witht he 60$ savings i can spring for that raptor >.>

Unless you're going to upgrade the motherboaed and do Crossfire or SLI, that PSU will handle about anythying else you want to throw at it.
 
Get a CPU cooler too, it'll pay off when the OC bug bites;
http://www.mwave.com/mwave/skusear [...] ia=BA24691

 
 
Theres a strong chance i'll go with an OEM e8400 Since they were put back in stock at newegg for 200$ and go with an aftermarket cooler. Will i be better off with the Xigmatek cooler you listed or to go with say, a Zalman 9700 or a Tuniq Tower 120?

PSU:  CORSAIR CMPSU-520HX
 
CPU:  Intel Core 2 Quad Q6600 Kentsfield 2.4GHz
 
You can find both of these cheaper then NewEgg.  I've seen the PSU for $89.  I've seen the CPU for $219.
 
With that money saved you can get the eVGA 8800GTS 512MB.
 
Also if you're a student or you know one, you can get Vista Ultimate for $24.  

Do Share!!

 
 
I just had a look and the E8400 is NOT in stock @ newegg. The Xigmatek is giving the TRUE a run for it's money in most of the reviews and comes with a fan. To me, the weight of 600 grams w/fan seals the deal.

will i be alright if i get a Vista upgrade disc instead of buying the complete version? i have an XP disc but i think that too might be an upgrade. not sure what the correct course of action is. i wanna place the order on saturday or at latest sunday.

Wow.  My wife is a full time student and I usually buy software at academicsuperstore.com but they don't have Vista for $24.  How do?

 
I think you actually have to go through the school, I can get vista ultimate through my school computer store for $18.87, but it's a student license so no upgrading to 64 bit for cheap is allowed.  

Yeah, if you or someone you know is taking classes at a local university they just need to take a class list and a photo ID to the bookstore.  Vista Ultimate for < $25, just like that.
 
Also there is a way to upgrade to Ultimate 64 bit for free from the 32 bit version.  I've seen it work but I didn't fully understand how it was done.  Google it if you want.
 
I run the 32bit version so I don't care, and yes I paid $25 for it.

Im just curious why so much money is put into chassis and power supply for gaming systems.  This is by no means a shot at anyone, but why a $119 case and then more money for a PS. In this system there is only 1 HDD so multiple HDD mounts are not needed. Why would a $60-$70 case, or less,  with a "good" 380 - 450 watt PS (meaning it really does put out that much power) not work?  
 
PS like this one
http://www.antec.com/us/productDet [...] odID=27380
 
Again this is not a shot at anyone, im just wondering why all the overkill on case and power supply?  Plus I almost never see anyone actually do a power budget.  I have a feeling most of this comes from Nvidia telling us system requirements and not just straight out how many watts (or amps @ 12v) a card can draw at maximum. Plus the fact that there are some really crappy power supplies out there that cant do what they are rated.  
 
my 2 cents.............