As you will see from my post on the dodgy S3, there are plenty of people selling S3s cheaply with hidden histories. However, prices do seem to be sliding a bit tho' partly due to time of year I guess - there are some genuine bargains about. I spent too long d*cking about deciding on a 2002'02 S3 in black with full leather, chrome mirrors, FASH, 1 owner, 68k miles for £10k recently. He just wanted to cover his p/ex price.
I didnt like the green look S3 initially, but I saw one a couple of weeks back and it actually looked quite good.