unfortunately it looks to me like some SERIOUS artifacting going on. it would indicate to me that your GPU is really biting the dust. sometimes, you can hold yourself off a little longer by underclocking your GPU just to make it last longer without artifacting, but you'll lose performance like this. But judging by your screenshot, that may not help you as you're not dealing with just a few artifacts but instead a shopping mall full of them.
anyway, you could upgrade your GPU to something much more modern and your gaming experience would be much better. That Phenom may not allow something like a GTX 970 or a 290x to completely stretch its legs, but you'll certainly still get fantastic framerates. unfortunately, your Motherboard is an AM3 and not an AM3+, to do any worthwhile CPU upgrades youll need a motherboard also. If you do upgrade your GPU, upgrading your CPU will probably net you up to another 10 fps. Not much, and maybe not even a problem for you if your GPU is already cranking out some serious power.
If you DO upgrade your CPU/MB, in the current state of gaming I would say something like a basic i5 would be perfect. BUT, with DX12 around the corner an 8-core FX (e.g. FX8350) would be a much better bet for the same $$, especially with the extra cores. In the current state of gaming, thread-sharing is very poorly managed and usually the load gets placed unevenly on a CPU, giving more/most/all of the load to one thread or a few constantly changing threads(ex. core 1&2 100%, 6 thru 8 have ~10% usage and these loaded cores change constantly) . Because of this reason, the Intel CPUs always take the win for their raw per-thread power. DX12 will allow developers to manage core load-sharing much more efficiently, actually allowing them to utilize and assign threads individually(ex. 1 thru 8 have ~30% or some number like that). This will bridge the current (TINY) gap in performance between FX8350 gaming rigs and i5/i7 gaming rigs.
What I'm saying in all this technical jargon is that if you go with AMD processors for upgrading your rig, there will be a long life ahead for it as well.