what is the best desktop computer for game development?

I have no idea what goes into development.

But in computing power, I'd say you need top of the line stuff if you are doing graphics. Top of the line CPU, at least 16GB ram, multiple high end video cards and to top it off a SSD.

But your budget is extremely reasonable although the range is high.

http://www.dell.com/us/p/alienware-aurora-r4/pd.aspx?~ck=anav
Choose the last configuration and add dual video cards. Along with maybe a bigger SSD if you need it. But 256GB SSD and 1TB HD back up is not bad at all.
 

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