rodilool

What does it mean it doesn't detect storage? 
Does the computer detect external storage Does it boot into windows Does it post Etc.

You can use a Xeon in a normal board, assuming it has BIOS support for it. Most should....
 
Also, you don't need to use ECC RAM, normal consumer RAM will work as well.
 
But, you can't overclock Xeon's.
 
Also, a 5650 is pretty old, I would really try and look for like a used 3770k or 4770k, being overclockable it will be a better bet for games. Obviously you would need a overclocking capable motherboard to go with. 

it will work on most x58 boards, but unless you can get it super cheap, your probably much better off buying a newer system than x58, as it won't be that big of aupgrade for you.

those x5650's overclock pretty well, just bump up the fsb. There was made in the days when locked cpus could be overcloked a good amount by raising fsb

x5650 is about as fast as a Ryzen 1200 you can buy for 50-65$ on eBay or aliexpress, and consumes about twice as much power. 
 
An A320 motherboard can cost as little as 55$ or so, and ddr4 memory can be cheap, and you can buy just one stick and buy a second one when you have more money.

Im currently with a AMD FX-6100 (6 core 6 threads) and really wanted to upgrade but money is a really big factor, found out that Intel Xeon X5650 its cheap while being possibly capable of matching an i7-2400 or possibly even more depending on the overclocking. Now I’ve been struggling to find cheap and good mobo for it, found one thats ecc compatible, do i have to run a ecc memory because of it or can i use the board like a “normal” one and use normal RAMs?