There is one glaring problem with the Asus K3E which tends to be the case with every Intel-based laptop under $700. They all have that albatross around their necks known as Intel Graphics. Intel Graphics are so bad that I'd take a VIA Chrome GPU over an Intel. They are by far the absolute WORST manufacturer of VGA hardware on the planet. Their drivers are spotty and their chips are weak which means they're ok for office applications and running windows but any laptop that will be using graphics-intensive for under $700 should be an AMD-based laptop because they all come with ATi Radeon Graphics which are vastly superior to the Intel "equivalents". I would definitely recommend the MSI CR650-016US because it has an ATi Mobility Radeon HD 6310 which isn't powerful by any means but gives fantastic colour clarity and low power use in addition to being a rock-solid ATi design. At $469 including shipping it's a great deal at newegg. I would DEFINITELY look at that. You need not take my word for it though, just look around the forums (not just tomshardware) and see how many people are crying because they have shoddy Intel graphics and have no way to upgrade them.
The laptop I recommend is here:http://www.newegg.com/Product/Product.aspx?Item=N82E16834152249
For more information, check my thread at:http://www.tomshardware.com/forum/60098-35-general-laptop-advice