At £2K level your highest cost of ownership is going to maintainance/repair bills rather than tax & fuel so buy the best condition car from the most reliable manufacturer.
I'm going to have to disagree on this. If you spend £1000 on a car without trying to greedy, it will probably work. Everything works on my car-and it's worth less than the tax disc!
A £2000 car only has a marginally smaller chance of developing a major fault within, say, a year of motoring than a £1000 car. The problem is that you have a £2000 liability, but £0 left over to pay for any repairs. If you buy a £1000 car, you only have £1000 liability (so it's easier to cut your losses if something catastrophic goes wrong), and you have £1000 in reserve to fix it.
It is silly to think that a £2000 car is going to be twice as reliable as a £1000 car.
The key to buying a cheap car is to avoid the trap of trying to get a good deal. If sellers misprice their cars, it is invariably on the high side. If you see a car that appears to be worth more than the asking price-there is usually a good reason!
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