A running car is going to fetch more $$$ than one that doesn't. Does sound like a timing belt breakage. Remove/peel back the top timing cover to verify.
If you're digging into the timing belt, might as well change out the water pump while at it. You're going to need/fabricate a crank pulley holder, but otherwise a set of 3/8" and 1/2"-drive tools plus a breaker bar (18" or 25" 1/2"-drive at Harbor Freight is about $10 coupon sale) and extensions (you may or may not need a 1/2"-drive one for the crank pulley) you're in business. Cam/crank seals, the oil pump o-ring/shaft seal mentioned above. Valve cover gasket and spark plug tube seals, reseal the semi-circular plugs. You can check the prices of the parts on rockauto.com just to get an idea and use the 5% discount code: http://www.toyotanation.com/forum/1...4-rockauto-discount-code-18.html#post12823386
A Gates Krikit-II belt tension gauge can help you set the right drive belt tension as these engines don't have automatic tensioners.
The Aisin timing kit with the waterpump (one that includes pump housing) is fine. Here is another sample list of what you might want to consider replacing as a part of a compete timing belt job. Of course, check autotrader.com to see what it's worth first. We lost a lot of good pictures in the DIY section, but you can find timing belt changes on Youtube and decide from there.
GATES K030295 Micro-V AT Power Steering Belt
GATES K050435 Micro-V AT Alt/AC Belt
FEL-PRO TCS45920 Crankshaft Front Seal Set (includes the oil pump shaft seal and o-ring - aka ufo, fish, spaghetti etc)
FEL-PRO TCS45641 Camshaft Front Seal
GATES TCK199 (1 Belt, 1 Tensioner, 1 Idler) Timing Belt Component Kit
STANT 48278 180° w/Jiggle Pin OE Type Thermostat
AISIN WPT010A Water pump w/o housing (it's easier if you get one WITH housing)
FEL-PRO VS50304R1 Valve Cover Gasket Set w/Spark plug tube seals
not to mention NGK Iridium-IX spark plugs, NGK wires if you need them. And radiator hoses, among other things like filters, etc.