I have a Brother Speedio but that's a whole different ballgame.
I did start out with a Grizzly (G1007 I believe) that I converted to CNC, then a Bridgeport that I upgraded to a new control, then through various machines until what I have now.
You're right - the machine will end up being the minority of the cost. Well, it depends... more correctly, you will spend a couple of thousand on tooling just to get started with the bare minimum, (vise, calipers, tool holders, micrometer, endmills, dial indicator, coaxial indicator, gauge blocks). And there's TONS of other stuff you will need/want in short order. Parallels, gauge pin sets, quality drill sets, drill chucks, tapping holders, boring head, inserted facemill, carbide inserts, granite surface plate, height gauge, set of quality taps. Not to mention cutting fluids (tapping fluid, way oil, coolant, a mister) and so much more. I bet I have spent well over $100k on all the accessories that go along with the machines, and I don't even have a very well equipped shop.
I think there is absolutely zero economy in converting a machine to CNC. It will always be more expensive than just buying an existing machine.
If you want to do "real" CNC work, you need to buy a real machine. I would forget anything from Grizzly because anything that's not designed to be a CNC machine just won't hold good tolerances, and CNC machining is all about rigidity, tolerances and repeatability. You're MUCH better off getting a used machine that was CNC from the start. Personally I think a machine without a tool changer and enclosure is *severely* limited in use, but others may disagree (they'd be wrong
). Not sure what's common in Oz, but there are plenty of machines that were CNC from the factory that are essentially Bridgeport clones. They are open machines though, without toolchangers. The next step up would be something like a Tormach or equivalent. The next step up from there (the level I would start at) would be a real VMC. You can get used mini VMC for perhaps $5k if you look around. Sure, it's a lot more than a $2k Grizzly that some guy slapped steppers on, but it's the difference between a JBC pencil soldering station and a cigarette lighter for soldering work.
Go to estate sales, machine tool auctions, look in the newspaper classifieds and so on. Tooling sells for a fraction of what it cost new. And any machine you buy should come with some.
EDIT:
Forgot to mention - if you don't have the space for a small VMC (they are smaller space needed than a Bridgeport, however - look at something like a Leadwell MCV-0)... then look at the CNC products from Sherline.