Help! Big problems with car

[Mr Lazy]

My MR2 is off the road and could be for a while so, not wanting to spend the warmer months without one, I decided to buy another. It didn't seem like too bad an idea at the time - buy now and sell again at the end of the summer. My current one is SORN and uninsured in my garage so it didn't seem like I'd be wasting any money.
I bought the second MR2 about a month ago I think. However, a week or so back I noticed that there is a big patch of rust bubbling its way through the paint by the front off side sill. How could I have missed that?? I'm not sure if it is the sill itself because it seems solid underneath. This evening, in the dark, I took it for a spin. When I got back and manoeuvred it into place, the brakes suddenly failed and I could hear a hiss of air as I depressed the pedal. After the shock that it could have happened while I was driving, I got out and saw what is probably brake fluid all over the concrete (it was dark), centered around the rust spot. It occurred to me that the brake master cylinder/reservoir and brake lines aren't far from this rust patch. I know that brake fluid is corrosive, but could it really have rusted through the bodywork in such a short period of time?
I should also say that the car is parked tilted towards the rusty side due to limited space.
What should I do? Pour money into getting it fixed (I'm not cash rich), if it is even fixable? Sell it on at a loss (obviously making the seller aware of the problems)? Breaking it for parts has even crossed my mind, but I have nowhere to store it and no means of actually disassembling it. Any advice would be much appreciated because I'm really starting to worry about the mess I've got myself into.

[MrChris]

Hi @Mr Lazy don't fret too much, these cars are starting to get on a bit now and a lot of us are finding them rusting in places where they might not have done previously.

If you've got a rusty panel then you can generally source replacements fairly cheaply and they are bolt-off bolt-on.

If it's something more structural, get a wire brush on it, take it back to bare metal and see what the damage is. You could get someone out to weld any patches needed  on your driveway. If there are no holes then: rust converter it, then zinc primer it, then paint/rust preventor it.

As for the brakes, you'll have to track the issue down. Could be anything from a bad brake line to the master cylinder (as you say), though recently I thought my master cylinder was at fault and it wasn't. I learned recently that the brake system on these cars is not complicated, but you may need to be prepared to replace parts of it.

All of this is assuming you don't mind getting your hands dirty of course. If you don't or don't have the means then find a friendly MR2 specialist if you can and get a quote. Only you can decide what is affordable.

[shnazzle]

Agreed. First a case of finding what failed. Catastrophic brake failure like that is rare, usually indicating some poor DIY work or use of incorrect fluids that have corroded the lines.

Rusty parts is, as said, part and parcel of a 20+ year old car. The good news is that each part is easily replaceable. The MR2 is a bit of an IKEA car in that respect. You can get every part cheaply and fitted relatively easily.

[Mr Lazy]

Thank you both for the replies and suggestions. I had a quick look today in the light. The brake fluid reservoir is obviously empty but there are no signs of leaks up there, so it must be the hose by the front wheel. The car is parked on a small, angled ramp up to a garage, so I'll only be able to get the wheel off and have a look if I move the car on to the flat, shared access road. That will have to be at a more convenient time. Regarding the rust, I could replace the front wing, but the outer sill doesn't look replaceable. Photos attached (hopefully).

[shnazzle]

Thank you both for the replies and suggestions. I had a quick look today in the light. The brake fluid reservoir is obviously empty but there are no signs of leaks up there, so it must be the hose by the front wheel. The car is parked on a small, angled ramp up to a garage, so I'll only be able to get the wheel off and have a look if I move the car on to the flat, shared access road. That will have to be at a more convenient time. Regarding the rust, I could replace the front wing, but the outer sill doesn't look replaceable. Photos attached (hopefully).

That's not an uncommon rust spot. Usually from stuff getting in from the wheel arch and getting trapped behind the liner. 

The hard brake lines do like a bit rust. 
If it's just the rubber lines, then it's easily fixed.
A decent set of aftermarket hoses for the whole car for as little as 80gbp. A branded performance set of braided for about 200.
Pattern OEM replacement generally around the 120 mark.
A few new copper brake banjo connector washers, the correct flared spanners, a fresh bottle of Dot3 or Dot4 fluid and you're good to go

[Iain]

If the rust doesnt bother you and you dont want to spend much money on the car, leave it alone. Thats a can of worms there.

Concertrate on getting the brakes fixed.