Hand me down gamer and power supply

I'm planning on building a new budget gaming build for a family member. It's time to retire his AMD and AGP setup.

I'm planning an Intel E5200 with 2GB ram (XP). I do have an EVGA 8800GT from my system that I can pass down. I will upgrade the 8800GT on my system to a GTX260.

I am looking for a low cost power supply that will power the 8800GT. How does this look?

CORSAIR CMPSU-400CX 400W ATX12V V2.2 80 PLUS Certified Compatible with Core i7 Power Supply
http://www.newegg.com/Product/Product.aspx?Item=N82E168...

$40 after rebate is within my budget. Or do you think I need to go higher up in the Corsair line to support the 8800GT?

I have the Corsair 520HX in my system and it has performed great.