Another PC build question

[the grip]

I had a PC crash and had to reformat my hard drive since I was low on HD space so I figured I would upgrade to a Hard drive I was going to use for backups but didn't.

Hard Drive: WD Caviar Blue WD5000AAKB - 500gb 7200rpm IDE/EIDE 3.5" internal drive

I installed Window 7 and when I look at the performance it seems very poor. I'm debating whether to upgrade my Video/Graphics card and memory or to upgrade the whole system. I hate to just upgrade two things and then end up needing more in a few months.

Here's what I have:
Motherboard: ECS GF7050VT-M
Processor: Intel Pentium E2200 2.20ghz
Core Speed: 1198.5mhz
Graphics: NVIDIA GeForce 7050/NVIDIA nForce 610i
Memory: 1GB DDR2 266mhz PC2-4300
Power Supply: ATX 500w SATA 20+4pin
Optical Drive: LG #GH22NP20 (22xDVDR DVD+RW 16xDVD+R)

I would like to keep what I can but understand if it would be better to start from scratch. My budget is around $500.00 give or take, and I use the PC for converting and downloading videos and my son uses it for his WOW obsession. I tried to add all the needed information, but if I'm missing something let me know.
Thanks in advance for the advice and recommendations.

 

[Ritwik7]

Here's what I would suggest at your budget:

AMD Athlon II X2 240 Regor 2.8GHz - $56.99
ASRock M3A770DE AM3 - $59.99
BFG Tech GS-550 550W - $49.99
A-DATA Gaming Series 2 x 2GB DDR3 1333 - $91.99
XFX Radeon HD 4770 512MB - $114.99
Antec Three Hundred Illusion - $61.99
HITACHI Deskstar 7200RPM 1TB - $79.99
Sony Optiarc AD-7241S-0B - $26.99

Total - $542.92

 

[the grip]

Thanks, you talked me into the upgrade but I tweeked your suggestions since I don't care for AMD. I'm planning on getting the following:

Motherboard: AsRock P55 Pro
Processor: Intel Core i5 750
Graphics: XFX GS250XZDFU
Memory: Corsair 2x(2GB) XMS3 DDR3 (PC3-12800)
Hard Drive: WD1001FALS 1TB 7200rpm SATA 3.0GB
PS: AZZA Dynamo 650w
Case: AZZA Helios 910

It's a little over the budget that I quoted you, but my birthday coming so I figured what the heck. Thanks again I think I'll be much happier with the total overhaul rather that just upgrading a piece at a time.

 

[Ritwik7]

For about $10 more you can get the Radeon HD 5770. It's a much better GPU than the GTS 250.

The rest looks fine.

 

[the grip]

Thanks. That was on the advice from my techie son. He says he doesn't like Radeon, but I've never been steered wrong in this forum so I will follow your advice. Thanks again. I can't wait to put it together.

 

[Ritwik7]

At that price point the Radeons are much better performers. You could look into the GTX 260 if your son absolutely does not want to get an ATI card.

 

[the grip]

I think he had a bad experience with ATI before. I started researching the Radeons and there is a lot of forums with problems running Windows 7 64bit. Is this common or has this been corrected? Also if I'm looking into these what manufacturer do you suggest? There are so many with the same card, and I don't know who is reliable. Thanks

 

[Ritwik7]

I am running Windows 7 64 Bit with a Radeon HD 4890. No issues at all. Most manufacturers such as XFX, Sapphire, Powercolor, etc. are reliable enough.

However, like I said before, if you don't want an ATI then don't get one. It's a matter of personal preference. The nVidia GTX 260 is a good choice though it will cost slightly more than ATI products that perform at the same level.