what about athlon 64 x2?
I personally went with an Athlon 64 X2 3800+, and I think you would do better with a lower video card (saves money for...) paired with a dual-core AMD 64x2. The X2 3800+ goes for around $340. Of course, the 3700+ is clocked faster, but the advantages of X2 seem worth the trade-off.
The HP A1250N I got the other day has great specs for $900, it just needs an upgraded video card and I am all set...to go with the HP 17" LCD I got for $100 bundled!
A64 X2 3800+
1 GB PC3200
250 GB 7200 rpm SATA HD
Light Scribe DVD-RW Combo
(Added a SB Live card)
UGH Radeon XPRESS 200 (needs at LEAST x700 or 6600!)
Otherwise, sounds like a speedy system for under $1000.