Relax - all that you decsribe is perfectly normal with any editing package.
Trust me it could be worse - my first editng pc was a XP1700 with vegas 4.0 - I well remember my tiny preview window and endless renders.
If you check out the pc specs of regular posters you are likely to see many dual cores and a few quad core systems. Video editing takes power and almost any editor on any system will regualrly find themselves wanting more power. Everytime i upgrade I am all smiles for a month then I start planning the next upgrade.
I see you are editing on highly compressed footage. For techincal reasons editing anything like xvid / divx / wmv will be much slower than less compressed footage such as DV.
At the risk of repeating hints the following can help.
IMPORTANT - always set the properties of the project to the same as the media you are editing for max editing performance.
Motion blur - Use will make renders up to 10 times longer and make the timeline very unresponsive - turn off untill final renders if used.
Use 2 or more drives - Haveing the media on a seperate drive (not too full and regularly defragged) is helpfull.
Run a lean well maintained system - Just have the bare minimum of stuff running.
Hope that helps or at least puts your mind at rest.
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I have two prejudices - I am anti HDV for consumer camcorders, and I eat mooks who claim to be pro wedding vidders and ask dumb questions. www.zaskarfilms.com You tube channel 'zaskarfilms'
JVC DV5001e (big cam), Sony PC6E (tiny cam), Vinten pro5, PAG light, SM58, Sony ECM50, Sony C-76, 0.5x convertors for sony, Rode video mic, Vegas 7.
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