Buying new stuff SandyBeach is the way to go (sandy bridge). You won't save significant money buying the older generations and you will have less performance. Now if you find a really good deal on an i7, much less than the newer generation, then it might be more interesting.
Something 'better' is always going to come out eventually. Currently your best bet is the Core i5 2500K/i7 2600K. As far as gaming performance goes, nothing beats them, and I can't see Bulldozer beating Sandy Bridge core to core
I think the best AMD can hope for is the Bulldozer being very close to the core i5/i7's and as you can see im an AMD fan, So I dont see you face palming anytime soon over a core i7 purchase other than the fact that the i5 for gaming is cheaper and is about the same performance .
This is kind of a dumb question but I plan on getting i7 950 or 870, and just taking a pre caution to not facepalm myself when something better comes out, like the bulldozer?
I would have to agree with everyone else. Get one of the 2500k/2600k, the smaller nm architecture and everything makes for one heck of a OC. You should easily be able to pull out 4.3Ghz Socket 1155 is the way to go if you're building a rig right now.
Get the new 2xxx series processors on 1155. They're faster than the older gen stuff, Intel just calls the old 9xx series high end due to more connectivity like more Pci-E lanes to connect graphics cards with, which doesn't make much of a difference.
You would facepalm yourself if you got the 9xx series over the 2xxx series after looking at a few benchmarks.