i seen some smaller seagulls but not in your price range i think fret is right about the yamahas think it would be a great beginner guitar.there are lots of inexpensive acoustic guitars but im kinda in same boat as you im looking for one for my 5 year old to play.but im thinking about just ripping his arms out of sockets so he can reach.(kidding) id do like blues asked and ask a sales person try a few different shops out and get different opinons.and try each one out.
RIP Dimebag
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