He has a lot of good beginner to intermediate lessons. Learn your basic chords, and start learning songs. Once you are comfortable with most chord changes and whatnot move onto practicing your scales and modes. Pentatonic first, then the 7 modes. All of this is easily accessible on the internet. There are a plethora of free resources. You just have to know what you are looking for.
Well this totally flips your for cheap idea on its head. My first tip would be to not skimp on a guitar. Spend more then youre planning. buy from a reputable store like long and mcquade, here you will get great advice from good employees. Now, for one, you will have a nice guitar for when you get better. It will feel more solid, comfy and just better when you're learning how to play it. Also, you'll feel worse if you start to give up because you spent so much money on a guitar.
Source: bought a really nice drum kit and i played for 8 years before going to university and leaving it behind. Having a really good quality set kept me playing for a lot longer then i thought i would be. Then later when i got a lot better, the sound improved.
I go back to university tomorrow and will rip up my dusty old kit once more tomorrow before my flight. Thanks OP
I would definitely look into getting a book. Learn your basic chords (majors and minors), and play them until you can easily switch between them. I also would suggest borrowing a guitar from a friend. If its not for you, you wont have to worry about the cost. Youtube videos help a ton, but I would say the most important thing is to practice every day.