first time potential mustang owner - what to look for when buying used?

PI = performance improved (came on the 99-04 Mustang GT's)
NPI = non-performance improved (came on the 96-98 Mustang GT's)

The PI heads were revised and flowed better in the midrange on the intake side, and flowed better overall on the exhaust side. These heads also support higher valve lift compared to the NPI heads. The PI intake received longer and better flowing runners with a large plenum that sat in the valley of the engine. The PI intake alone provided a 15 rwhp bump over the NPI intake. Finally, the PI cars received different cams with a higher and more aggressive intake and exhaust lift.

NPI cars were rated from the factory at 215 HP for 96-97, and 225 hp for 98
PI cars were rated from the factory at 260 HP for 99-04

Another thing I should mention, the combustion chamber size is smaller in the PI heads compared to the NPI heads, so if you install PI heads on a NPI short block you actually raise the comp ratio by nearly a point. Therefore if you install the PI stuff on a NPI shortblock you'll actually make more power than if you had started with a PI engine. Does that make sense?
 
My 00 has been the most reliable car I have ever owned. I have had it for 6 years and it currently has 110k on it. It stranded me once because the fuel pump went out. But once in 6 years is damn good compared to other friends' cars. If the car was maintained properly, the engines should go way past the dreaded 100k mark. But the plastic interior does start to develop squeaks. If I spend some time on it, I bet a little shim somewhere would fix it.

As with other sporty cars, now is the low price point where spring time is the higher price point. Some sellers seem to think they are sitting on a rare pot of gold and price it that way. I don't think they realize how many hundreds of thousands there are out there.

Find a mechanic ahead of time that you can take a prospective car to so it can be inspected. It will be the best $25-50 you will spend.
 
I stand corrected. I seem to remember a change in manual transmissions in mid 2001?

Yup, that's right. 1996-mid 2001 cars got the T45 transmission (basically a better version of the T5 found in 5.0 cars for simplicities sake), and mid-2001 on got a T3650, which is a stout transmission assuming it doesn't develop the TSB issues.
 
dump the clutch and see how the car takes it.. if you dont burn a straight line and its a little, it means its been abused. and do what everyone else says haha also look if the real main seal is wet. I have an 03, and its dry, but a friend has an 06 which is wett.