ok, this is what i have come up with as a good budget build for my car.

i have been looking at that ignition, looks like a pretty sweet deal, at least to start with. the custom grind is from a guy on the site, who has really helped me along with coming up with my current plan. helped me focus my thoughts, throw out bad ideas, and just go for the basics.
OC, should have mentioned i want to get a pinion snubber, and i am planning on reinforcing the area that it hits.
you guys think it would handle like a pig if i had /6 bars in it? this is going to be a street/strip machine, so i don't want to be all over the place driving around and cruising with friends.
today i found a core! it's from a machine shop. they get their cores from a guy, and he told me that the 360 core with cranks and rods comes with a rebuildable guarantee, so if something is bad i can take it back. under $100! exactly what i needed.

i'm glad i'm getting recommendations, it's really awesome that you guys are agreeing with my setup. i've put a lot of time in deciding what's going to get me the best bang for the buck, and i think this is it! keep em coming folks!

EDIT: I also want to go with a deeper oil pan and windage tray. i'm wondering about the 904 though, what all am i going to need to make it stand up to the abuse i'll be putting it through? i REALLY need advice on that. i am confident that me and my friend can put the trans together ourselves, i just need to know what i need to put into it.