Budget gaming PC

I think my old machine just broke, and maybe time I get something new, so I thought I'd get some feedback. I'm looking for a budget PC that will still allow me to play some newer games, even though I mostly play older ones like Morrowind, Enemy Territory, and Sniper Elite.

Old machine:

Asus M2N-MX SE Plus
AMD Athlon 64 X2 5200+
Kingston DDR2 800 MHz 2x1 GiB
Asus GeForce 9500 GT

New machine:

Asus M4A87TD
AMD Athlon 2 X2 255
Kingston DDR3 1333 MHz 1x4 GiB
Asus GeForce GT240

For comparison, let's take these games that I have tried on my old machine:

Fallout 3 -- runs perfectly on my old machine at native resolution (1440x900).
Borderlands -- doesn't run very well at all, lowest resolution (640x480) and still below 60 FPS.
Bad Company 2 -- plays bugger all, probably 10 FPS at lowest everything.

How well would the new machine perform against the older one, and is the setup good enough and worth its money?
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More about budget gaming
  1. Hit a cheap non SATA/USB 3.0 770/785g
    Rana 445/450
    2 x 2 DDR3
    At least a GTS 450/HD 5770

    BC2 in particular has dual cores for b'fast Use this as a guide for excellent low cost gaming solutions

    System Builder Marathon, December 2010: $500 PC
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