I was looking at getting a new-er TDI defender, but the price range was too high for what I wanted one for. I don't drive too much, so I wasn't overly bothered about MPG and set myself a limit of £2000.
I came across a very honest ebay seller, went and had a look at it to see if it was falling apart or not.
Its a 90 1987 2.5 petrol, bidding reserve at £1500 and local for me, so it was perfect...
BUT
There was a lot of rust on it. I tapped it with a hammer all over the place, I bought my Dad along too who has some experience with this kind of stuff and we assesed it there and then. The rust was all on the "surface" and was pretty solid the rest of the way through. New rear member, welded bulkhead, waxoyld semi-regularly until 2011 (I think this was the last, looking at service records) and the engine has had part replacements here and there. It had a few knocks which had caused some some rust all over the place, and the back carpet was a state. It was kept in a shed and used for casual small holding use.
The real problem was that I fell in love with it there and then. No one else bid on it so I got it for the £1500 asking price!
That was all three weeks ago, and I was heading off for a trip to the US and have only got back (Driven it once so far), so nothing has been sorted yet.
But some wire brushing, waxoyl, paint and seat covers, and it will be fit for picking up the Cornish chicks.
A newer car will be less work, and it seems as if I was in a similar situation as yourself when I got it. Its a good way to learn about the Defender, and I know a few people who can help me out with some of the problems. For a commuting vehicle, it would be **** as it is atm, but I needed a project for myself now I have finished uni.
More experienced Landy men (and women) may disagree with me here, but I'd say get a cheaper car and keep it as an on-going project. I was planning on getting a broken defender, and fixing it up over a year or so but they were more expensive than the one I got. Whatever one you get, expect to be doing repairs yourself to keep the cost down.
Keep us updated though! I want to know what you get