go to local quilt shops (not craft/hobby chains) and buy fabrics from the sale bins. You can get all the fabric you need within your price range --- and you'll be getting good fabric. Then think about using good thread. Watch for packaging that has you paying more for "all purpose" thread than for thread made for quilting. What seems like a good deal sometimes isn't. Why sew on good fabric with poor thread? The thread needs to last as long as the fabric.