After being in much the same situation when I started uni, I would suggest getting a completely rebuilt exchange engine, if you are about to start uni, you don't want to keep fixing things by doing a half assed engine job.
That price is crazy high though, we got a completely rebuilt engine from RPM fitted in one day for $2.2k with 3yrs unlimited warranty. The thing was bulletproof and not a problem, and rebuilt back to new specs with new parts in it.
I did much the same with another car, and no issue. My brother has twice put a 2nd hand engine in and both times they were such a hassle that he has had to sell the car, the money and pain he spent ended up being a lot more than if he had just exchanged it for a rebuilt one.
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