The most commonly accepted method of choosing a low cost electric guitar is to find an instrument with good quality wood, and at least reasonable workmanship. Guitar manufacturers tend to cut corners with cheaper guitars, by using cheaper pick-ups, and hardware, but these are all upgradeable parts. The following are some of the better low cost electric guitars available.
This are one of several Squier models available that offer a pretty good product for a reasonably low price. The pick-ups and hardware are sometimes suspect, and the workmanship varies from instrument to instrument, but for the price, these are a very good beginner guitar choice. The look of the instrument is appealling - Squier Fat Strats are similar in appearance to the much more expensive Fender Stratocasters.
Modelled after the much more expensive Gibson SG guitars, the Epiphone SG G310 keeps it's cost low by using cheaper hardware and lower quality humbucking pick-ups. The G-310 features an alder body, a mahogany neck, and a dot-inlayed rosewood fingerboard. The buzz on this guitar is it's a very good value for the money.
Here's another guitar many people feel is a great value. The Pacifica 112 features an alder body, maple neck, and rosewood fretboard, with two single coil pick-ups, and one humbucker. The consensus is the guitar is reasonably well made, and the quality of the wood tends to be high. Those who go on to become serious guitarists might want to consider upgrading the electronics of the Pacifica 112.
This is a quirky instrument - an almost exact re-issue of the 1956 Danelectro guitar. The U2 doesn't pretend to be anything other than a low cost, cheaply made instrument, but many guitarists find it's unusual look and sound to be quite appealling. The 56-U2 is an essentially hollow bodied guitar, and features lipstick pickups, dual stacked tone and volume controls.
The Les Paul is perhaps the most famous guitar in rock and roll. Epiphone has done a good job of visually re-creating the Les Paul in this lower-cost guitar marketed towards beginners. The Special II features a laminated alder/maple body, a magogany neck, rosewood fingerboard, and two open-coil humbucking pick-ups.
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