Best Video Editing PC for $1000

My friend is big on making videos, but the computer he is using is outdated.  He knows nothing about computers and I'm not sure what you need for this particular build.  What would be a good build for video editing for around a grand?  Any tips you guys could give me about what goes into a good video editing PC would be greatly appreciated.

My friend was also originally wanted to buy my PC for a grand.  Do you thing it's worth it and are the components good enough for editing?  My specs:

Cooler Master HAF 932

AMD FX-8150

Asus Crosshair V Formula

G.SKILL Ripjaws X Series 8GB 1600

(2) Sapphire AMD Radeon HD 6970

Samsung 830 Series 128GB SSD

Western Digital Caviar Blue 500GB 7200RPM HHD

Corsair 850W 80 Plus Certified PSU

Cooler Master Hyper 212 Evo

Asus DVD Burner

an i7 is obviously a great processor but it's especially good for video editing because it has 8 full threads which make encoding go really fast.  Also, CUDA cores on Nvidia cards are great for encoding too.  something like a GTX 760 would be more than enough for editing.  Beyond that, have a large SSD would be nice too for working on files such as large videos/pictures that the editing software needs to reference.

Here's what I came up with http://pcpartpicker.com/p/1aBHa

My friend was also originally wanted to buy my PC for a grand.  Do you thing it's worth it and are the components good enough for editing?

Cooler Master HAF 932

AMD FX-8150

Asus Crosshair V Formula

G.SKILL Ripjaws X Series 8GB 1600

(2) Sapphire AMD Radeon HD 6970

Samsung 830 Series 128GB SSD

Western Digital Caviar Blue 500GB 7200RPM HHD

Corsair 850W 80 Plus Certified PSU

Cooler Master Hyper 212 Evo

Asus DVD Burner

well i would not go with the FX8150 bulldozer, if he wants to go for an amd setup then pickup the FX8350, which software is he using for video editing?

i made this: http://pcpartpicker.com/p/1aE4p

He is using Sony Vegas.

okay then he would also be fine with a Radeon card. 7950/7970

Memory-> 2 kits of 2X8Gb DDR3 1866 dual channel

video editing is memory hungry

and 1To HDD WD caviar blue 7200 won't kill your budget, for double the storage space