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basically a metal ring that goes between the hub and the wheel to make your wheels to sit further out of the arches/fill the arches better.. theyre available off the shelf as small as 3mm all the way up to wheel bearing eating 45mm and custom ones larger than that...
thats exactly what you should do. you don't gain any value (usually lose) by modding. Just keep the car standard then as you say all the money you saved put towards an upgrade car.
lower gearbox mount to subframe?.... i fixed it for somoene on here few weeks back.... the nut had fallen off so the mount was moving around in the hole in the subframe...
tbh unless you were going to track it i would spend some more.... depends if you ever want to sell it... if you could get it for 2k it wouldn't matter to me imo.. worth the risk.... the fact its not had an oil change for 20k isn't the end of the world imo.... just test drive it.. and tell him...
to be fare though, surely nobody can think it looks any good... just looks like what your p reg corsas and saxo's have on them... looks like a chav has been let loose on a decent car... if you put it up for sale it would be worth considerably less than in standard form..
how cheap is it? worst case scenario you will have to spend 700 having another engine fitted. Worth the risk if it runs sweet atm imo........ i would recommend having the cambelt done as well so bugdet for that.