$500 budget LGA 1155 gaming computer CHALLENGE!

[NinjaSmoke]

Approximate Purchase Date: this week (weekend possibility)

Budget Range: $500 (most likely have to bump it up to $600 if I want that i52500k + a decent GFX card)

System Usage from Most to Least Important: SWTOR, gaming

Parts Not Required: Monitor

Preferred Website(s) for Parts: newegg, microcenter (in-store pickup), amazon, etc

Country: USA

Overclocking: most likely boosting cpu to 4.0.

SLI or Crossfire: No (or in very distant 3 year post-apocalyptic future)

Monitor Resolution: At least 1280x1024/1600x1200 please. I would prefer 1920x1080 but that is asking too much for this build.

Additional Comments: LGA 1155 - If there are better alternate components, please feel free to suggest them. Where am I bottle-necked at? Also PLEASE*** take a look at my PSU. Should I invest in an Antec PSU? I wouldn't want to risk frying all my computer parts over a $40 no named bran PSU.
I do not plan to crossfire/sli;I am only getting that motherboard because of the combo deal at Microcenter.
I will slightly raise the budget for a better GFX card if its justifiable.
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Possible Part Purchases: Subject to change upon responses

Case: Rosewill Challenger - $55
http://www.newegg.com/Product/Product.aspx?Item=N82E16811147153&nm_mc=AFC-C8Junction&cm_mmc=AFC-C8Junction-_-RSSDailyDeals-_-na-_-na&AID=10521304&PID=4176827&SID=r49g4pl7jikz

CPU + MOBO COMBO: $250
i5 2500k - $180
http://www.microcenter.com/single_product_results.phtml?product_id=0354589
P8Z68-V LX LGA 1155 Z68 ATX Intel Motherboard - $70 if bought with CPU
http://www.microcenter.com/single_product_results.phtml?product_id=0371775

CPU COOLER: Hyper 212+ - $25
http://www.amazon.com/Cooler-Master-Hyper-Sleeve-RR-B10-212P-G1/dp/B002G1YPH0

RAM: 4gb? 8gb? How much would I really need? and what brand..

HDD: Seagate 500gb 7200RPM (Laptop HDD) - $85
http://www.newegg.com/Product/Product.aspx?Item=N82E16822148375

GFX Card: Suggestions? ATI/Nvidia, whichever one offers better performance for the price. (I slightly secretly prefer ATI more though)

PSU***: Hec X-Power 650W - $40
http://www.newegg.com/Product/Product.aspx?Item=N82E16817339024&nm_mc=EMC-IGNEFL022312&cm_mmc=EMC-IGNEFL022312-_-EMC-022312-Index-_-PowerSupplies-_-17339024-L05A

 

[FinneousPJ]

I wouldn't buy that PSU. Try to squeeze in a proper 500W unit and a 6850, that's the best card in your budget.

 

[NinjaSmoke]

Yeah, the only reason I considered it was because of its low price to watt ratio..

I have seen many members suggest builders with an Antec 430watt PSU.
http://www.newegg.com/Product/Product.aspx?Item=N82E16817371034&nm_mc=AFC-C8Junction&cm_mmc=AFC-C8Junction-_-RSSDailyDeals-_-na-_-na&AID=10521304&PID=4176827&SID=19zls446p13fr

Would that be sufficient enough for the 6850?

 

[FinneousPJ]

Certainly.

 

[ali2837]

4gb will be fine for gaming, a full 3.5 inch hdd is cheaper and you need a dvd drive for games

 

[NinjaSmoke]

Are there any corners I can cut to save?
I could look around and find cheaper computer cases.

I've never used microcenter brand ram before.
http://www.microcenter.com/single_product_results.phtml?product_id=0361035
8gb for $30 + $5rebate. Deal?

I really like this setup but I only am wishing to spend $500. If I can't find deals to bring it closer to $500, I'll probably downgrade this whole system below my $500 budget, most likely I'd have to go for an i3 right? I do not wish for any of my parts to bottleneck each other so what GPU and MOBO would I get with an i3? And can you suggest an i3?

i3 can't overclock? That's the only thing pushing me to get the i5 setup.

 

[NinjaSmoke]

CPU: Intel Core i5-2500K 3.3GHz Quad-Core Processor ($179.99 @ Microcenter)
Motherboard8Z68-V LX LGA 1155 Z68 ATX Intel Motherboard - ($70 @ Microcenter)
Memory: Patriot Sector 5 4GB (2 x 2GB) DDR3-1333 Memory ($14.99 @ Microcenter)
Hard Drive: Seagate Momentus 5400.6 250GB 2.5" 5400RPM Internal Hard Drive ($74.99 @ SuperBiiz)
Video Card: Diamond Radeon HD 6770 1GB Video Card ($79.99 @ Microcenter)
Case: Rosewill R218-P-BK ATX Mid Tower Case ($39.98 @ Newegg)
Power Supply: Cooler Master 500W ATX12V Power Supply ($38.98 @ Newegg)

Seem like a solid build? It's roughly $500 after tax and with all the discounts.