the t4 diesels are harder to find and fairly pricey still as you knw, I don't think you'll find anything reasonable for the amount you want to spend.... i.e if you find one for that much it'll probably have much more than 300,000km on it.
the 1.9 is a great engine, very tough and reliable. not a lot to go wrong and quite efficient. The 2.5 TDI's are much faster but are more work maintenance wise, but are certainly great engines.
there is the 2.4 5 cyl non-turbo diesel aswell... these are also dependable and long lived but again, you wont find one with low km's.
the transporter gearbox always has a short first on the low powered models, so you shouldnt have too much trouble getting it moving.
if you can stretch to 10k, you'll find a much nicer one, but you can probably find an alright petrol 2L for the price your talking.
'07 Touareg V6 TDI with air suspension
'98 Mk3 Cabriolet 2.0 8V
'99 A4 Quattro 1.8T
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