heres a test to see if it has a blown head gasket. take the radiator cap off (make sure the car is totally cool). then start the car. once the engine starts running, if the water/coolant is bubling out or slowly overfiling then thats a sign that a water passage on the head gasket has blown and is letting the "reaction" occuring in one of the four cylinder enter into the water passage thru this broken section of head gasket. you can also check the oil dipstick and if the oil looks like diahreah,(sorry get gross) or a white sludge then its a sign that the water is getting into the oil. this may mean that the block or head has a crack in it possibly, and is letting water enter into the oil pan.(this is serious if this is the problem. instead of fixing i would just buy another motor for 450$[the 5efhe with under 70,000km=43,750miles] instead of fixing)
the 5efe engine is in your car, the 5efhe(found in japan) is literally the same as your engine but with some added goodies making it more powerful. and the best thing is that it can be used with all of your existing 5efe stuff(ecu computer, injectors, engine harness'...etc)
go here and talk to trevor.
http://www.back-yard-productions.com/
he got me my 5efhe...very good guy and can help you all the way. don't be afraid to ask questrions here. I and many others will try our best to help you.
Find out what the cost of the new headgaskt would be.(for me it was 600$...thats why i switched to the 5efhe)