If your budget is pinched, take half hour lessons or hour lessons less frequently. I have never heard of an experienced teacher who charges at the low end of the scale, or an inexperienced teacher who has charged at the high end. Generally, you get what you pay for. Resist going to a teacher whose only qualification is that he charges less than others. I am a beginner.
Teaching is about working with people.
Ask him if he really likes working with beginners, or just puts up with them. Use your intuition. If you think he would be just putting up with you while awaiting your advancement in guitar do not start lessons with him. As a beginner, the last thing you need is an impatient teacher. Perhaps you are a songwriter needing help writing lead sheets, or an actress who has to prepare a song for an audition, or a college student who needs to study for credit, or a nursery school teacher needing to learn guitar for your classroom.