Little bit above the budget yet it will handle gaming as a charm
PCPartPicker part list:
http://pcpartpicker.com/p/rym8xr
Price breakdown by merchant: http://pcpartpicker.com/p/rym8xr/by_merchant/
CPU: Intel Core i3-4150 3.5GHz Dual-Core Processor ($109.99 @ Amazon)
Motherboard: Gigabyte GA-B85M-D2V Micro ATX LGA1150 Motherboard ($59.79 @ Amazon)
Memory: G.Skill Sniper Series 8GB (2 x 4GB) DDR3-2133 Memory ($74.99 @ Newegg)
Storage: Seagate Barracuda 1TB 3.5" 7200RPM Internal Hard Drive ($53.99 @ Amazon)
Video Card: XFX Radeon R9 270X 2GB Double Dissipation Video Card ($164.99 @ NCIX US)
Case: Rosewill Galaxy-01 ATX Mid Tower Case ($39.99 @ Amazon)
Power Supply: EVGA 500W 80+ Certified ATX Power Supply ($34.99 @ Newegg)
Total: $538.73
Prices include shipping, taxes, and discounts when available
Generated by PCPartPicker 2014-10-05 21:47 EDT-0400
Benchmarks :
Borderlands 2 :
130 FPS
I used to have the Same GPU and it plays around 110 FPS on full Ultra settings 1080p no problems
Arma 3 ( CPU dependent ) :