I'm what I would call a closet musician....as in I don't really plan on going anywhere fancy with it, I just want to make it and have fun while I'm at it and while I'm young. So maybe...the cheaper the better...no real budget and honestly I don't really know how high I would be willing to go...so really as cheap as possible BUT with decent quality. Just throwing it out there maybe up to 300-500 dollars...my USB mic was 200 soo....I think that is fair-ish...

  Thx Cactus! I produce instrumentals so the midi output is a good idea...drum machines are a must for me. As for the audio drivers....any brands I can find which are maybe in the mid range in price for drivers?

You might want to consider something like this: 

 

  is that an external audio drive?

It's an external USB interface which provides you with 2 Focusrite pre-amps, Midi IO, a fairly comprehensive set of monitoring options and comes with 4 plugins from their Scarlett range.

Setup is an absolute breeze, the latency isn't super low, like down in the 4ms range, but it's perfectly useable and you get those Focusrite pre-amps which at this price level are difficult to beat.

  Will it fix the problems I'm having? And no stores near me sell it :(

It's infinitely better than the Realtek.

Can you order online?

  is this it? http://www.musiciansfrien...-6-usb-audio-interface

Er.....yes