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hey...normally dont talk on these type of places...but im in a similar situation, only as an american missionary kid in kenya.  where we live is in the bush, 3 hours from a real town...but studio prices there are really cheap... 10 bucks an hour, 20 for the mixing/mastering... however i also believe home recording is good when starting, because running a bill in the studio is easy.  if your just looking to make demos, and be putting your music down i recommend home recording.  one time cost, always there, no hidden fees...for me its good because i just want to get recordings, make the songs mine, you know? so heres what i suggest:

***drumroll*** the behringer u-control uca202... two inputs...perfect for guitar and voice... simple no-hassle gets the job done.

audacity is good...but magix music maker takes you a step better.  you can get version 11 (there are 12) off of amazon for about 20-25 bucks... you can also do an edownload of version 12 from the magix website for 30 dollars...but version 12 doesnt seem like it has huge new features.

also for mics.  if your playing acoustic, buying a guitar pickup is a good option, you can get them for $20-30 on musicians friend... give you good sound, without alot of tinkering, just plug it into your uca-202 and go.  and the behringer xm8500 microphone is a good mic for vocals... never tried one for micing a guitar...but theyre supposed to be good. thats really all you should need with mics.  dont blow your money on shure mics...there are other options.

there you go... thats a really good setup for about 80 dollars...im like you. cheap, without a lot of money to burn. ive put in some research, and this is the best ive come up with.  magix music maker deluxe (i have version 11).  behringer uca-202, and behringer xm5800 mics. look around for cheapo guitar pickups...theres my system.
tiptoi,
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