New Build or buy and upgrade refurbished PC?

I am weighing my options about getting a new PC and I've noticed that refurbished desktops can be bought at some low prices.

Specifically this Asus with an E5300, 6GB DDR2, 640GB HDD Etc.

All can be bought for $299.00. I know this is a little dated technology but I don't need to play the most modern games.

I do play games but mostly strategy games and very few FPS. I'm looking for advice on the downsides/upsides to buying refurbished desktops.
My idea was to buy this PC and then spend $150? on a new powers supply and video card...maybe a 4770? It seems that for less than $500 this would
be tough to beat.

Is this a good idea or should I spend a little extra and put together a new build with similar components?
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  1. In general, I'm not a fan of refurbished or used technology. I think you're spending good money on something that can go wrong very quickly and leave up the creek without a paddle.

    I would suggest this build as direct competition to that old POS system:

    CPU/Mobo: X3 440 and Gigabyte GA-770TA-UD3 $160 after rebate
    RAM: G.Skill Ripjaws 2x2 GB 1600 mhz CAS Latency 7 $115
    GPU: HD 5770 $150 after rebate
    HDD: Seagate 7200.12 500 GB $55
    Case/PSU: Antec 300 Illusion and Neo Eco 520W $120
    Optical: Cheap SATA DVD burner $23
    OS: Windows 7 Home OEM 64-bit $105

    Total: $728.

    While $230 more than that old one, this sytem is fully upgradeable. It features a high quality motherboard with USB 3/SATA III support, an excellent CPU that can easily be overclocked, a current generation GPU (can easily be subbed for a cheaper one), an excellent case and PSU, and a much faster HDD. This would be a much better choice even thought it's a tad more expensive. You also wouldn't have to deal with Vista...
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