re: Xbox One Windows 10 streaming *Update*

Don't go shopping for new hardware just yet, unless you really want a new PC. Based on what I've read about it, streaming from Xbox is meant for any machine running Windows 10, not necessarily a well-spec'd machine.

In fact, from xbox's site (LINK ):

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For best performance, we recommend that your Windows 10 PC have:
At least 2 gigabytes of RAM
1.5-GHz CPU or faster
Network connection to your home network:
Best performance: Wired Ethernet connection
Good performance: Wireless – 5-GHz 802.11 N or 802.11 AC wireless access point
Limited performance: Wireless – 2.4-GHz 802.11 N or 802.11 AC wireless access point

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There's no way the PC end is handling the encoding. There are plenty of ways to monitor your PC's activity (CPU usage, RAM usage, network usage/connectivity, etc. etc.). Always, always use them in situations like this.

The requirements for streaming emphasize quality of connection in other places, too, like a discussion on setting the quality:

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After your PC is connected to your Xbox One console, you can select a quality level for the video. You can change the quality of your stream before you start streaming or while you are streaming. You should set the quality to the highest level that still gives you a good gameplay experience.

In the Xbox app, click Settings and then select Game streaming.
Under Video encoding level, select a streaming quality. We recommend:
High – If both your Xbox One and your Windows 10 PC are connected with a wired Ethernet connection, or if your console and the PC are in the same room as the wireless router with minimal wireless interference.
Medium – for 5-GHz wireless networked PCs and consoles that are in different rooms within your home.
Low – for low-end PCs and tablets, as well as 2.4-GHz wireless networks.
Note You can always start with a higher setting and reduce your quality level until you reach the best performance your home network will support based on your current configuration. To try to improve your Game Streaming experience, see Improve Xbox app for Windows 10 game streaming.

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LINK

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Improve Xbox app for Windows 10 Game Streaming performance
By making a few adjustments to your home network, you can improve your audio and video quality when streaming games. Try the suggestions on this page to improve your game streaming performance when using the Xbox app on Windows 10.

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You said the XBox was directly connected to your router (I think that's what you meant?), but you didn't specifically state whether the PC was connected via ethernet or not. If you're going wireless for either device, you have found your bottleneck. If your PC is wirelessly connected to the network, based on the old specs I imagine it's a single-antenna 802.11n adapter, perhaps not even dual band. Maybe not that bad, but you'll know better than I.