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Don't forget to look at used guitars. New guitars are crap. I hate them, even fenders and gibsons. A 70's knock-off will probably be better than a new guitar, and you can pick them up really cheap. The best guitars high end vintage though.
In my mind
expensive vintage > cheap vintage > high end new> middle price new > low price new
Of course, if an old guitar looks like shit it probably is shit. Remember that.
My first guitar was a Hondo II that I got for 200 dollars, sounds better than any other guitar I've played/heard my friends play, except for a vintage Gibson. The only new guitar that I've ever really dug the sound of is my friends Epiphone Casino.
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