I recently bought an 07 Avensis 2.2D estate (A progression from a Celica as a one-car to do it all to a family wagon plus toy car setup (MR2 roadster as the toy)).
My logic was that £7K is not enough to buy a car in warranty / new enough to be guaranteed reliable, but too much to risk on a car that may be a dog / costly to maintain (plus it's used to ferry around my 7 month old twins so reliability is top priority), ... hence the Avensis.
On the one hand, it's the kind of car that impresses more the more you drive it, surprisingly quick, super refined on the motorway, solid build well equipped etc etc, but my word it is dull - every possibly potential for interest seems to have been designed out of it, which as a family ferry is a good thing but if you're in any way interested in driving as a fun activity and this is your only car be warned!
My missus refuses to let me take the bike racks off the roof as it makes the car seem less dull
Oh, the boot is massive but that's true for all, and yes it folds flat.
In summary, buy an MR2 and a (small) tent...