I am looking for a cheap way to increase hp on my 97 mustang and suggestions?
Is your stang an automatic or stick ? if it's an automatic the stock torque converter isn't getting as much pwr to the rear wheels as a performance torque converter will. A quality one, and I don't recommend getting a cheap one when it comes to torque converters. it's going to be in there for a long time. A quality torque converter will have a 3yr warranty, a quality billet cover, be lighter, etc.. and will get you up to 40% more pwr to the rear wheels, you can get a single disc up to 3. Plus if you have a good tuner, it will allow you to adjust the valve body duties of the tranny like shift firmness, shift points, gear changes so you won't have to worry about buying a speedo gear to correct the speedometer, torque modulation in all the different gears etc...etc...the list is huge. You'll think you've bought a new transmission.
If it's a stick, get a short throw shifter, and a performance clutch, pressure plate kit etc... Just pick up a clutch alignment tool at the same time, if you've never changed your clutch or don't have one. Bottom line, is that you want to get all that pwr that's sitting at the flywheel back to the rear wheels.
Then you'll want to go with gears and traklok rear end. Most manual trans folks go with 3.73 or automatics go with 4.10's.
If you're planning on going with a supercharger, don't bother with a lower pulley, it will not work well with the supercharger. If you're shooting for naturally aspirated pwr, then the pulley set is a good thing. If you have Supercharger on your mind, visit supersixmotorsports.com or moranav6racing.com and get some better heads with stronger valve springs before you go with boost beyond 9psi. They of course have better flow as well and will give you more hp than stock. You can even go with some harlandsharp billet 1.8:1 rockers. Just make sure you get some hardened push rods at the same time unless you by his heads.
If you want to stay with a naturally aspirated engine, which is the most reliable, then go with a pwr pak from one of the above which will include a Cam, Heads and intake. Stage 2, stage 2+ or stage 3. from supersixmotorsports.com. Tom Yentzer is a really good man and will instruct you and inform you well. So will Tom at moranav6racing though too. Supersix just makes it a little easier with the matched pwr paks. Shoot they even short blocks, long blocks, complete stroker engines, it's like a toy heaven for 3.8L engines.