Okay guys, this is what I've done so far.
Checked the mobo. It's rev1.3. Is that good or bad?
Added in the other two sticks of RAM so I'm back to 8GB (4x2GB).
Went into BIOS, here is what I changed based on what I found here and another forum to hopefully stabilize the system...
Reset to Fail-Safe Defaults (which changed a few things, then I changed things on top of it)
CPU Host Clock Control = [Enable]
CPU Host Frequency(MHz) = 333
PCI Express Frequency(MHz) = 100
Performance Enhance = [Standard]
Extreme Memory Profile (X.M.P.) = [Disable]
(G)MCH Frequency Latch = 333
System Memory Multiplier = 2.40B (I had to set this to 2.40B to get it down to 800MHz as it calculates the frequency based on this setting, is that right?)
Memory Frequency(MHz) = 1066 800
CAS Latency Time = 6
tRCD = 6
tRP = 6
tRAS = 18
MCH Core Voltage (NB voltage) = 1.20V
DRAM Voltage = 1.90V
I was a bit worried it wouldn't boot with so much changed, but it did boot up. I'm back in now. I'm still experiencing the laggy keyboard/mouse when the system is being taxed, which wasn't the case with 8GB and the old settings, but then again that setup wasn't stable. I'm unsure if this setup is stable or not, but I'm going to start working on my photography stuff, which always puts the system through it's paces, and see what happens.
How do those settings look guys?
I changed the CPU Host Frequency and PCI Express Frequency, are those values okay?
I disabled the Extreme Memory Profile setting, is that okay? Seems that would bring more stability and I've noticed it off on other BIOS from people having similar problems.
I changed (G)MCH Frequency Latch to 333MHz, and System Memory Multiplier (SPD) to 2.40B to get to 800MHz. Is that correct?
Changing the timing to 6-6-6-18 okay or should I tighten it back up to 5-5-5-18?
Changed NB voltage from 1.10V to 1.20V, seems to be common when using 4 sticks of RAM. We know it's unstable at any higher voltage. Is that setting okay or should I drop back down to 1.10V?
DRAM Voltage is up from the stock 1.80V and down from the rated 2.10V to 1.90V. Is that okay, or should I go higher or lower?
I've attached the SpeedFan results under this setup. CPU seems unusually high considering I'm just sitting here typing this post in my web browser with nothing else running. I'm also attaching some CPUZ snips in case it matters.
As long as everything is stable I don't think I'll mind the difference between 800 and 1066, my main concern is that I'm not getting this lag that I'm experiencing with my keyboard and mouse (moreso the mouse as I use it a lot in photo editing and when it gets jumpy it kills the precision I need to accomplish what I need to in the editing process).