In my experience, buying a car for that price, your best bet would probably be a private sale. I bought a truck for $500 from a co-worker once, they're typically honest with you and you tend to know what you're getting.
The auction isnt a bad place to look, but you cant get detailed mechanical info on those cars so you're really rolling the dice.
Auto trader is also a good place to look and dont be afraid to look at cars outside of your budget. You might see a car you like for $1500 and be able to get it for a grand.
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