Need help clarifying facts about CPU

I am in the process of putting together and new computer. My plan is to buy parts here and there when there's a good sale on them. I'm making this PC for gaming mostly, since I've had a crappy Alien Ware laptop which is total trash. I've been reading that an I5 is better than an I7 for gaming is this true?

I have been out of the computer building market for awhile and need help finding a CPU that is fast and I can overclock.

Thanks for your time
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More about need clarifying facts
  1. An i5 isn't necessarily better than an i7, but it offers basically identical performance for a significantly reduced price.
    Games don't utilize the extra threads from Hyperthreading really. On occasion they can actually reduce performance.
  2. For the price the I5 is the better choice for gaming, almost equal. I5 3570K matched with a Z77 board is the preferred choice at the moment.
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