Christchurch, NZ, would fit your requirements and there are lots of cheap houses at the moment.
Lots of bungalows with small gardens, FOLK CLUBs/ music venues/local shops/doctors etc.
Public transport, lovely views from the Port hills, friendly people, everything you're looking for.
The only minor problem is - ongoing aftershocks. That's why the houses are so cheap. People are trying to sell up and get out of there. Many of the gardens have been flooded with sewerage - on three or four occasions.
I wouldn't go there if you paid me.
Personally, I like Cornwall. If I could win the LOTTO, I'd consider moving there, especially for the music.
Robyn