If you want the most cost effective swap imaginable... (and no swap is truly cheap) here's what I'd probably look into.
A 305 Chevy motor is dirt cheap used. You should be able to find a decent one for 200 or 300 running with good compression.
V8 frame motor mounts are also cheap. I'm thinking 40/probably shipped isn't impossible if you find someone scrapping a frame.
To keep exhaust cheap get a parts store 4 foot universal straight pipe for $15, and a flexible tailpipe for another $10. Then buy a old style glass pack for $20. Run the exhaust straight back from the factory y-pipe and manifolds that came with your 305, then into the glass pack where the cat converter is now, then run the pipe back along the floor board before turning it out the side before the tire.
Your existing wiring harness has all you need to run a non-ccc hei carb setup on that 305, look for a motor from a pre 1987 truck when buying.
Buy a summit $170 aluminum 2 core radiator. Best compromise of cooling and cost, and fits without hacking things up.
Get a th350 short tail transmission, it fits your driveshaft, and fits your crossmember. That's another $150-200 in running condition.
Figure another $100 for incidental's - fluids, hoses, belts, maybe valve cover gaskets and the like.
You now have a running/driving 170 or so HP v8. Save money for round two.
Next up, buy a pair of 350 vortec heads, it's a popular swap on a 305 to bump HP and go with a better cam. Get a carb intake at the same time, and switch to headers with a proper exhaust. This should bring you into the upper 200s nearly 300 for HP. Added bonus is the headers, exhaust, etc will work on a future 350. If you're not crazy that transmission and your rear end will still live just fine while you save for round three.
Shop around and save money to get your vortec 350 to build, a better trans rebuilt, and a better rear end than your 7.5. Your existing intake, headers, exhaust, radiator, etc will work that you already bought. Sky is the limit here, but, you've been enjoying a reliable car fairly cheap in the meantime