Reddit mentions of M-Audio Audiophile 2496 MIDI Digital Recording Interface

The parts you picked are solid choices (I f*cking love this case), and come in at around ~$320, so I'll leave them out of the build. For the sound card, M-audio audiophile 2496 seems to be your best bet around the $100 price range. M-audio is a reputable brand in the DAW world, and features really good DAC/ADCs; I don't have any specifics about its ASIO latency (other than the fact that it does fully support ASIO drivers), so maybe you know some better ressources than me to find this kind of specific info.

So we have about $1180 left for the rest. I went with a Xeon E3 1241, basically a locked i7 with no integrated graphics (but you have a graphics card, so who cares). You will not be able to overclock it. 8GB of RAM will be enough to play music, unless you use a lot of high-quality samples, in multiple instruments at the same time. In this case, 16GB may be needed, we can probably adjust your build a bit for that if you need. The Mobo and RAM are black and blue, should go well with your leds. The GPU is indeed the GTX 970, really good card all around, and the Windforce has a good cooler, allowing it to run slightly faster and quieter than most. Make sure to plug the wi-fi adapter on the slot above the video card, and the sound card as low as you can, to optimize cooling. The monitor is only 60hz, but it is an IPS one, meaning you'll have good colors and viewing angles. 120hz+ monitors would add a good $100 to your total.

The build comes at $1190 before rebates, $1150 after. (so total of around $1570 after rebates)

PCPartPicker part list / Price breakdown by merchant

Type|Item|Price

----|:----|:----
CPU | Intel Xeon E3-1241 V3 3.5GHz Quad-Core Processor | $271.00 @ Amazon
Motherboard | MSI Z97 U3 Plus ATX LGA1150 Motherboard | $69.99 @ Newegg
Memory | Patriot Viper 3 Low Profile Blue 8GB (2 x 4GB) DDR3-1600 Memory | $67.99 @ Newegg
Storage | Crucial MX100 256GB 2.5" Solid State Drive | $109.97 @ SuperBiiz
Storage | Seagate Barracuda 3TB 3.5" 7200RPM Internal Hard Drive | $104.99 @ Newegg
Video Card | Gigabyte GeForce GTX 970 4GB WINDFORCE 3X Video Card | $349.89 @ Amazon
Power Supply | Rosewill 550W 80+ Gold Certified Fully-Modular ATX Power Supply | $54.99 @ Newegg
Monitor | Acer B236HLymdr 60Hz 23.0" Monitor | $126.00 @ Newegg
Wireless Network Adapter | Rosewill RNX-N150PCe 802.11b/g/n PCI-Express x1 Wi-Fi Adapter | $9.99 @ Amazon
| | Total
| Prices include shipping, taxes, and discounts when available | $1149.81
| Generated by PCPartPicker 2014-11-20 17:02 EST-0500 |

Edit Switched you to a Xeon because I suck at math and went $100 over budget.
Edit again, if you're sure you're using 802.11ac, and not b/g or n, you'll have to go for a USB adapter like this one instead.

I gotta say, this was a significant challenge to keep the power and price it under $1000 with two monitors.

Ok, here we go:

Part list permalink / Part price breakdown by merchant

Type|Item|Price

----|:----|:----
CPU | AMD Phenom II X6 1090T 3.2GHz 6-Core Processor | $199.99 @ Newegg
Motherboard | MSI 880GM-E43 Micro ATX AM3 Motherboard | $79.99 @ Newegg
Memory | Corsair XMS3 8GB (2 x 4GB) DDR3-1333 Memory | $74.99 @ Newegg
Hard Drive | Western Digital Caviar Blue 500GB 3.5" 7200RPM Internal Hard Drive | $41.98 @ Newegg
Hard Drive | Samsung Spinpoint F3 1TB 3.5" 7200RPM Internal Hard Drive | $54.99 @ Newegg
Case | Rosewill R101-P-BK MicroATX Mid Tower Case | $39.98 @ Newegg
Power Supply | Antec 500W ATX12V / EPS12V Power Supply | $49.99 @ Newegg
|| Total
| (Prices include shipping and discounts when available.) | $541.91
Additional Items | --Items not available in parts picker-- | ---
Video Card | PNY VCGGT4301XPB GeForce GT 430 (Fermi) 1GB | $49.99 @ Newegg
Sound Card | M-Audio Audiophile 2496 MIDI Digital Recording Interface | $86.56 @ Amazon
Monitor | ASUS VH236H Black 23" 2ms | $168.98 @ Newegg
Monitor | ASUS VH236H Black 23" 2ms | $168.98 @ Newegg
|| Grand Total
| (Prices include shipping and discounts when available.) | $1016.42

If you really, truly, want it under $1000 then use this EVGA 01G-P3-1312-LR GeForce 210 1GB for your video card which after mail-in rebate and shipping comes to $31.98 which saves you $18.01 bringing your total to $998.41. The machine would still be able to handle 1080p playback and two monitors. However, you would not want to use Mercury playback with that card (even if the hack in works which it may not). The GT430 costs less then $20 more so I definitely recommend it.

Brief:

dropped the IPS panels: they were a bit out of the price range but these monitors are still great options.

dropped to a GT430: if you won't be doing a ton of video editing then this is less important. However, this model should still work with the Mercury playback hack in Adobe Premier.

dropped to a lower tier M-Audio card: still one of the highly recommended cards for audio recording. However, it is highly advised you get the computer running, install the drivers from their website AND THEN install the card. DO NOT follow in box directions or use in box CDs, apparently they're all shit in windows 7.

kept the important parts: Small case, big CPU and RAM power.

* EDITED TWICE: I did not include OS in the pricing because some college campuses provide it for free or at a significant discount. If you need a $100 hole you can drop the Western Digital 500gb hard drive (save $41.98) and drop to a lower tier CPU AMD Phenom II x6 1055T (save $20) and drop the graphics card down to the alternative option above (save $18.01) which in total saves you an oddly round $79.99. It's pretty damn close and should cover the price of a school discounted Windows 7. If you need more money off there are some other options to look at which I can help you with any time; just PM me :)

Here's a Windows 7 OEM pack link for convenience if you were to buy retail

-- EDIT 2 - IMPORTANT!!! --

Do not get the GT430 i listed in this post. It is not worth it because it's underpowered and may not actually work with Mercury.

A better option would to either get the GT210 or drop the 500gb hard drive and get this ASUS GT240

Couldn't be happier. In order to get the bass drum to feel acoustic I had to put a kevlar patch on it and use my speed cobra felt beaters (you're not supposed to use felt beaters on a mesh head, too much friction).

I have 5 toms, 2 snares, 3 crashes, a ride, hats, and one aux cymbal (usually used as a china). I'm running everything through Superior Drummer and its various addons running in either Reaper or Cantabile. The extra drums that can't be plugged in to the TD-12 module I have going through a trigger to midi converter which then plugs in to the midi in on the TD-12 module. The midi out on the TD-12 module then goes to my computer where I have an Audiophile 2496. If you go with a setup similar to mine (running midi through a drum sampler) make sure you use a really good sound card. If you don't, you're going to be dealing with massive latency.

Edit: Keep in mind that I am happy with my electric kit, but I got it because I'm moving into an apartment soon. But once I get out of there (after college) I plan on getting myself a nice Starclassic Birch / Bubinga Kit.

Get this.

And this.