New Budget Gaming Build

I plan on building a new computer from scratch since my dad, not knowing about OEM machines, but a machine from BestBuy back in 2005 IIRC. I'm sure it was good at the time (Gateway 840GM), but Pentium D's are pretty much obsolete/slow now, and I don't want my graphics card being bottlenecked when I get one.

So I propose this build:
http://i40.tinypic.com/1195llh.jpg

Anything you would change? I'm trying to keep it rather inexpensive, so bear with me

EDIT: I forgot to include some of the game I want to be able to play at high/max setting with this build:
L4D/L4D2
Garry's Mod 10
CS:S
World of Warcraft
Starcraft II and Diablo III (when they are released)
TF2
Bioshock 1/2

Will this build accomplish this?

Yup, looks like a good build, but that Antec 300 + PSU is also in a combo deal, so you can save a few bucks by buying the combo instead of buying them seperately.

First, you have a solid build, i just didn't see a burner on the list. Just a couple ideas.

I'd get the Antec Earthwatts 500w with the combo deal, but the 430w would be fine for your build. I might consider going with this AM3 motherboard just to keep a future option of crossfire open for an extra $10
http://www.newegg.com/Product/Prod [...] 6813157161

If you could choose one, would you choose the motherboard($10) or the 70W+ upgrade and Antec case combo ($30)?

And does someone mind clarifying these questions?
1. And is the AMD CPU that I chose preferred over an Intel of the same $$$value at this price/performance range?

2. And lastly, I have heard that the CPU I chose generates more heat and uses up to 30-40~ more watts of power than its Intel competitor. Are these two things anything to worry about with the PSU/case in this build?

Oh wow, I didn't even see that combo, thanks for the link.

Alright, I'll keep that in mind. Do you think the SLI/Crossfire will be something I'm going to want to look into in the future? Or is it just icing on the cake to couple with a big monitor?

And one more thing; Will I need to buy/apply any thermal compound, or will I be okay out of the box?

The heatsink that comes supplied with the 720 comes with thermal compound on it already so it's not mandatory. A crossfire capable motherboard just opens up that option if it's ever wanted in the future.