In steps the ghetto Japanese car guy, representing Toyota.
Stay away from the AE86. 4A's are suppose to be reliable, but I've so many blow up now it's not even funny. If you want a small, fun RWD car, get a Miata.. or a low mileage (100k or so) MR2.
An interesting car that is OFTEN overlooked is this..
1990-1992 Geo Prism GSi. AE92 Toyota chassis with 4 wheel disc brakes, a 4A-GE, sway bars. Basically, a a four door version of the same year Corolla GT-S coupe. And you could probably find one for under 1500 dollars, in good shape.
Another neat choice would be the older Legacy GT models.
But stay away from all the "popular drift" cars, such as the turbo RX-7s, the 240SX, AE86
Oh, two other things that popped into my head - mid 80's Nissan 200SX (CA18 powered) or a B13 Nissan Sentra SE-R (SR20DE powered, LSD, so on)