sounds like a regular mr2 ownership story. enjoy!

as what kam said earlier, sounds like lack of maintenance over years to me and probably was murdered by some previous owner(s) too. 
if it makes u feel any better.....my car had rust in the roof and behind the rear bumper, that I didn't know about till later :P

Is it the front sway bar mounts? There was a thread not too long ago about it ripping off due to aftermarket upgrades but even with stock. I'm about to install them soon as well. I found that researching a lot about this car (or any car you own I guess) has really paid off to avoid stuff like this but maybe no one else is as nerdy as me :/
Within the first few months I had alternator problems (common and inevitable), window reg fail, door won't open inside or outside so I had to crawl out from passenger side lol, dash lights as well, handbrake spring - others likely had worse problems. Selling would be the smart thing to do but just like the cars we own, we're probably too stubborn hehe

Adis, stick with it mate.  Once you get everything sorted, and do regular maintenance, the car can be become quite reliable.  Just  be prepared to spend some dosh...
 
Also, with regards to the sway bar, use these bad boys....
http://www.deltav.com.au/index.php?page=shop.product_details&flypage=flypage_images.tpl&product_id=1&category_id=3&option=com_virtuemart&Itemid=5&vmcchk=1&Itemid=5
 


Hehe ill definitely stick with it.

As far as i can tell its standard sway bar and it has ripped straight out of chassie, the bracket still there.

I still need to for RWC on the car so the repair on the chassie have to be spot on. Hopefully Barry from Edge motorwors is up for the task. :)

"I still need to for RWC on the car"
So yeh you can't complain too much. I did the same thing buying without a RWC. Never again lol

I have owned 5 cars made in the 1980's and haven't had much trouble at all apart from things that I known about when purchasing, I guess it comes down to luck. You don't usually know how the car has been treated in its past.

I noticed a lot of people have problems with the dash lights working, anyone find out the problem? Bit of a hijack but it could be helpful to you too haha.

Im guessing you don’t have the swaybar reo plates installed, the early model sw20s are known for breaking the mounts. Even with stock swaybars..
Afm – well it’s a 20 year old car, the afm ha probably seen better days or someone tampered with it. Get it recoed at perojet or go aftermarket ecu (No afm)
ABS sensors – the early model abs is ****house according to the gurus here, mines not working so im leaving it as is
Hub/wheel bearings – common problem, expect to replace them ever few years if you have wider wheels and are a spirited driver.
Gearbox – the synchros aren’t the best in the older boxes and is usually well fubared in a car that old.
The rest I dunno maybe bad luck.
Almost all the guys here who have owned their car for more than 4-5 years have spent quite a lot of money on them, specially the turbo models
 
Btw – you haven’t properly owned an MR2 until you have spun the car out , and have bled the cooling system from scratch.

"Btw – you haven’t properly owned an MR2 until you have spun the car out , and have bled the cooling system from scratch."
- i have already achieved both so i guess im officially the owner of an mr2 hehe

Ah and by the way, guess WHAT? More problems.

-CHIP ON WINDSCREEN TURN INTO A 30cm CRACK.
-WHILE INSPECTING THE SWAY BAR I LEARN THAT THE INNER TYRE ROD OR POSSIBLY STEERING RACK IS CACTUS. lucky me

yeah that cracked screen didnt look too good yesterday.
best to check everything properly and do it slowly..
btw that honda made 147 odd Kw. pretty good for an N/A
 
cheers