For 7-10 grand, you have a few options. Option one, is rat rod style. It's VERY easy to spend 10K+ into an engine and drivtrain. Get it to go as fast as you can afford, which usually stops just after forced injection (Turbo or supercharger). Going this route, the car won't look like anything special, however it'll go like no tomorrow (So you can burn Hondas and Beemers.)
Option 2 is the most common seen on street drivin vehicles. All show, no go. Restoring a car could take a lot of money. Rust issues, interior rot, etc. Do it the wrong way, it may look good for a while, but it won't last. Do it the right way (As little body filler as possible, more metal panel replacements), it could last for years.
Option three, a little of both. Get the car looking decent (Not show car quality, but not junker look either) and get it running decent. (Not race car quality, but not "So old and run down a Geo Metro could beat it").
Now with that being said, it's your call which way you want to go with it. It's very easy to go through 10K. When we see some pics we could give better opinions on which way we would go with it. Ultimately like I said, it's up to you to choose.
1999 Chevrolet Camaro SS (PC'd)
1994 Chevrolet Beretta Z26 Q4 (W41 M90'd)
2004 Chevrolet Silverado 2500 (4WD)
My wife's cars:
1971 Dodge Charger SE (stock and original 383 auto)
2004 Subaru Impreza WRX (kid-hauler)