I get alot of screen tearing in all my games, from RTS to FPS, warcraft 3 to CS to BF3. This has always happened so I'm used to it but it would be nice to play games without that annoyance. My pc is in my sig, using an EVGA 670 FTW and Sony EX720 @ 1920x1080@60hz via HDMI and Win7 64 pro. I heard someone say to un-install the drivers completely and install the latest ones, so I'll do that soon. What else could it be? I use Vsync for RTS games but the input lag is too much for FPS games.
Secondly, I have an old MSI GTX 260 which works fine. I'm pretty sure that would be enough for physx? I'm just worried having it in my pc will use a fair amount of power (Australia is expensive), do these cards have "power saving" states? I checked the Physx list and the only game I would play is UT3. Should I even bother?
Definitely update your drivers to the 304.79's. They are the best in quite a while.
Never, ever again use regular VSync; always use Adaptive VSync. It is a key advancement in the technology, and specifically reduces input lag (mostly).
Your other option besides VSync is to turn up your settings as high as possible to try to hit that magic 60 FPS. Don't forget you have several levels of Transparency Supersampling and antialiasing that can be forced, which should remove some of those excess frames.
Lastly, the 260 would make a good PhysX card, but please do not install a dedicated card for UT3 when you are running a GTX 670 FTW. You should be getting 200+ FPS with every imaginable setting turned up to max, including PhysX enabled.