Many knock-off guitars play very well.
This Jimi Hendrix vintage Fender knock-off Strat only cost me about $300, but plays as well as some of my much more expensive guitars:
Take a good guitarist in with you when you shop, or find the best in-house pro to show you the potential of the individual guitar you are looking at.
I've purchased many guitars from the "Guitar Center" - check 'em out, at least for comparison
Musical instruments in general have a lot of price mark-up, so don't be afraid to haggle the price down.
Tax idea - use the guitar in a photo/video and then write it off as a prop (hehe).
ADG Webmaster