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I bought my car about 2 years ago for $7500 and other than the usual repairs for a high mileage Boxster, I've had no problems and the car runs and looks like a champ. So I would never pay $5500 for a car that neads a new motor when I could pay a couple of thousand more for a car that needs nothing.
Even if you got the car for $1000, a used motor is around $5k, which already has you at about what the car is worth.
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Current car
2000 Boxster 2.7l red/black
Previous cars
1973 Opel Manta
1969(?) Fiat 850 Convertible
1979 Lancia Beta Coupe
1981 Alfa Romeo GTV 6
1985 Alfa Romeo Graduate
1985 Porsche 944
1989 Porsche 944
1981 Triumph TR7
1989 (?) Alfa Romeo Milano
1993 Saab 9000
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