MkIII N/A's aren't all that fast, though insurance is definately cheaper on them and they are still fun to drive in addition to looking sharp.
Engine swaps are generally expensive, as it's never just a case of pulling and swapping... there's always more involved when you get into it. If the N/A is an issue, I'd hold out until you find a GTE in your price range.
It could be a good deal, depends on the exact condition of the engine as well as the body, interior, tranny, differential, etc. Hard to say.
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