Given your budget, stick with a 207 (2002 specification STI short block, 2.0L), its built to factory specifications and you know it'll last. 2.5L, dont waste your money, you'll spend your budget making one reliable for a start. 207 with ported heads, some cams, vf34 @ 1.6bar it will make horsepower, give you daily driveability and is noted as 'the' proven package.

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