I bought my first car nearly a year ago. 11 months to be precise. I also had a budget of $5,000. Wanted something small, good looking - wasn't interesting it doing it up or anything. also had to be cheap on petrol. Me and my Dad searched for months at car yards and also some private sales. Dad finally found one on the internet - it was like 1.5hrs away from where we live but he went to have a look at it. as soon as he saw it he knew i would like it.
total cost was $4,000
Hyundai Excel Sprint - 98 model.
had just had $1,000 of repairs or something - i cant remember exactly.
came with 11 months rego.
however it has damage to the back bumper bar - a trolley was pushed into it at a shopping centre. and the back seat fabric is ripping. - things we could deal with.
I've only had to replace the driver's door handle for $55. (friend installed it)
about $20 a week for petrol (40min driving, 5 days a week average)
i'm happy with my car - its exactly what i wanted. havent bothered replacing the bumper bar - family friend can do it so wont cost much at all (few beers most probably).
just get what u are happy with and don't settle for second best. i saw heaps of 'ok' cars during my searching but i was never completely happy with them - until dad found my car and i got it straight away.