Engine and Trans Help

I have a 66 Coupe that I have had for several years that is totally stock and im finally ready to give it some power. I have been reading on here about the V8 swaps because i currently have the 200. I was thinking about a 302 or 351 but have been discouraged about the 351 because it sounds like it will be a super tight squeeze. Can any one give me advice on which way i should go with this.....and like most people mine is on a budget. Also is it possible to use a 351 out of a 2-wheel drive truck or is that not possible or simply a bad idea.

Once I pick an engine I want to know what kind of manual trans people use is. I have an auto right now but am looking to change. I was just wondering what some suggestions would be on trans for either of those engines that is affordable. Im a little more fo a body guy so I dont know much about the tech part so thanks for any advice.
 
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A complete engine & T5 Trans from a '89-93 Mustang GT. These are getting hard to find it seems, but if you have some connections and keep your eye out maybe. There will be some fabrication work, but easier if you decide to keep it carburated.
 
thanks alot everyone. I hadnt really thought exactly how much horsepower i wanted but i figured some where around 350 for sure or more. Im not looking to make it a daily driver . I just wanna get that 200 outta there and switch out that
C4 for a manual. I have a close friend that can rebuild any engine for me so right now im just trying to find out which one to go with and how to track one down.
 
If you are going to do the work yourself and this is really your first major mechanic side experience I'd try to make it as simple as possible. Go with a 302/5.0. As already suguested, the mid to late 80s Mustangs would be great donnors for this project. Take a look at the V8 swap sticky at the top. Don't forget about the suspension and rear end.
 
Even better and easier to find donors are the late 80's Lincoln Mark VII LSC (same 5.0 HO as the Stang, but different alternator bracket) & the 94-97 Pickup/Van 5.0 (roller cammed with the same cam as the later Explorer/Mountaineer 5.0) And the 96-2001 Explorer/Mountaineer 5.0. And to round the list off, look for an 88-up T-Bird/Cougar 5.0, the 93 versions had the 93 Cobra Mustang's roller cam. Bottom of the roller list is the 92-93 pickup/van 5.0 (roller cammed with the smaller "base roller" from the 86-91 Crown Vic/Marquis/Lincoln Town car 5.0's but with E7TE heads) The 86-91 Crown Vic/Marquis/Town car 5.0's are good cores to rebuild, if you're looking to use just the block, crank and rods and going with new heads and pistons, these are all roller blocks.
 
The 351w swap into a 65, 66 mustang is a very common swap. There are tons of places to find info and parts. I am currently in the process of doing this swap myself into my 65 mustang. You won't need to modify anything to fit the 351w and, if you so choose, you can stroke to give you some real power. :D