Yes i7 is used for multi threading like video edit/encoding and not games. I was in this same situation about 1 month ago and decided to go with the i7-3770K because it comes out of the box 100mhz faster than the i5.
But maybe better to go i5 and overclock it if you really need to and maybe used that save money to get a solid state drive. That speeds up pc a lot.




