Okay I found a mobo now help me with the CPU

Have you bought that motherboard already? If you haven't purchased that already I'd look into spending a little more on your motherboard and slightly less on your CPU, so that you can use DDR2 800 memory.
 
How much of an improvement will I notice if I go from 3.06Ghz Celeron D to the 2nd one in ur link, stock clock?
 
Massive mistake! A Celeron D is crap compared to a C2d. And just because a dual core Pentium D has a higher Ghz speed doesn't mean it's faster, you have to bring pipeline length, Core efficiency (architecture), IPC, etc into play. The processors I listed are the best for your price range. :)

Edit: Oh crap i did it again. I need to learn to read better.. :( Going from a celeron d to a C2d is like night and day. Most definitely recommended.
 
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