No you won't, as long as the CAD works on the front axle. A properly welded diff is very strong.

And lockers won't cost you $1500-$2000. A set of lunchbox lockers will be around $600 and you don't need a pro to install thim.

 

Running the equivalent of a spool in the rear is a very bad plan for a street driven vehicle.......

 

It just chews tires is all. OP, if you want to do mud and slow stuff, go with a Heep. If you want to go fast in the dirt build a truck. There are exceptions to both rules of course, but that is traditionally how it goes.

 

You won't be able to do it for a grand. Period. Not with lockers and even a used lift. I'm not sure I'd trust my truck to used parts over 10 years old. 3:92's and 35's aren't gonna get it for trail crawling
I suppose you could do a hack job. Others have. Stack some add a leafs, put some one ton cummins front springs on and weld the rear spider gears together. Maybe you don't need the sway bar, but even the vaunted power wagon came with one. I'm not sure I'd want to put others at risk in a loaded truck with a bed full of crap going down the interstate in a crosswind. Myself, no biggie. At least buy new shocks. Anything else can be adjusted with a sawzall and a ball pein hammer. You'll even have some cash left for spare parts...
But lets be honest, that's not even close to a gen 3 power wagon. Not even an early 40's through 50's one. A gen 1 yeah.
I'd say about 4500 would get you into some shiny new parts you could break or wear out yourself. But you'd have a nice reliable rig you'd be a bit nervous about tearing up. Well maybe. At least you might get out of what you get into.

I used to take my truck lots of places Jeep owners went, but some stuff is just a bit too narrow.

 

While I do not personally care for spooled/welded diffs on the street, there aren't really any strength concerns, you'll just eat up your tires faster and handling will be a little different, thousands of people drive welded/spooled rigs on the street every day. My next wheeler build will probably be welded in the rear since it'll only see street to and from the trail. I woulnd't want a welded/spooled diff in the front, I'm very happy with how my locker steers on the trail however, I also don't have any problems with lockers front and rear in the snow.

 

Really now? You have piqued my interest. That is something I was concerned about, but, wanted to do.... Does the front locker stay disengaged when in 2wd? so that you aren't spinning everything all the time up front?

 

Well for whats it worth I have a friend who I laughed at when he said he was going to weld his rearend, now going on 5 years and its still on the road(yes its his daily driver, he dont drive to much about a half mile to school and out on the trails).

Now he doesnt drive hard when on pavement, but the second it gets muddy he tears it up, the biggest problem I have seen is from not welding it right or not cleaning up the welds and having little pieces cause problems.

But a cheap build
1. spacer- $100
2. body lift- $250
3. tires craigslist ypu can usually find a decent set around here for $300
4. weld diff in rear- $50
5. dana 44 powertrax locker- $300

Got it at 1k

not pretty but it will hang

 

Well in my B2 I have hubs that unlock so in 2wd it isn't doing anything, even with the hubs locked and the t-case in 2wd the locker still can't lock since there isn't any power going to it. I was actually refering to driving in 4wd in the snow. I kept hearing people say a front locker will put you in the ditch and you can't steer, blah blah blah. So when I actually started using my rig in the snow I was pleasantly surprised at how well it drives.

I made this video to demonstrate that it handles just fine.

 

Well thanks guys for the suggestions, I think I'll just stick to a Rubicon or buying someone else's project.

 

I think I'd buy a Cherokee or a Blazer if my budget was that low.