Budget Video Render/Editor PC?

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So my friend some while back asked me if I would build him a PC for him, and that he would be video editing with some light gaming. They guy is perfectly satisfied with crappy performance in his games; he plays Divinity Original Sin on his old Mac Book Pro with a Intel Core 2 Duo (the chop is real).

So basically on a budget I immediately thought maybe an FX 8320 would be good but it seems like intel is usually the way to go for video editing (I am not really sure).  Only problem is Intel adds up really fast when on a budget and I wanted something with hyper-threading like an i7.  Come to find out the Xeon seems to solve just this issue where cost is low (namely $250ish) and it still has hyper-threading, and you would get that Intel advantage in your workload.

I just want maybe some other ideas for this possible build with keeping in a budget of $1200. I have one here:

http://pcpartpicker.com/p/MkQn99 

However, I feel like this can be brought down a bit more by skimping out on some parts.  And I also maybe want some extra room for a cheap monitor. My friend is not made of money and I am pretty sure $1200 dollars is his top about. As well as small form factor is preferable for easy transportation.

Any input or ideas would be nice towards what I have already, or for alternative perspectives. Thanks!

 

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I would suggest an 8350 for video editing, the more cores will make it much faster than a chip with less cores.

 

I would go something like an 8350, Hyper 212 EVO, 16GB RAM, 2x 2TB in RAID 0, R9 270x

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okay, this build agrees with Cathsy, the only difference is, a bump in RAM speed (1866) It also upgrades to a R9-280 (vs 270) It does not utilize an 8350, but rather an 8320, which is not a bad choice. I got rid of the smaller HDD in the original build and utilized a SSD which will increase speed. It uses a 600 watt power supply ( non modular) from corsair. The case will need an adapter for the 5.25 bay to hold the 2.5 SSD. This byuild is about the same price ($10 over) the original build. But will Perform VERY well....higher speed RAM will be quite important for Editing.     You can drop this price by switching back to a 270 and going back to the smaller HDD. 

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http://pcpartpicker.com/p/gjDV23

Xeon E3-1231, 16GB DDR3-2400, R9 280, Mini ITX.