Reddit mentions of Classic Guitar Technique, Vol 1: Book & CD (Shearer Series)

Congrats on picking the less standard classical guitar! Not sure what your ambitions are, but being good at one style of guitar really translates well into others if you ever decide to try them out.

Anyways, Yamaha does have some good budget guitars(I started on and still use my c40 a lot), but at your price range if you're not shy of a different brand I can't recommend a Cordoba C5 enough. It has the option of having an amp input with cutaway, or just a true classical at nearly the same price point. You can find one used at around $250 pretty easily.

In either case, you should try to get a listen of what the guitars you're considering sound like in person before buying one. If you know someone that plays classical, ask them if they'd be willing to demo a few guitars at guitar center or your local music store for you so you can hear the difference and make a better decision. Even if you don't, you can still ask the employees at a store if they have someone on staff that plays classical well enough to demo it for you since you're a beginner and most places would be happy to do so for you. If none of the floor staff can do this, don't be afraid to ask the lessons center if any of their instructors could help you out with this too.

As far as guitar tutorial books go, you can get pretty far by going through the first Aaron Shearer technique book and following it up with the 60 short pieces by Sor(1-38 in vol1, 39-60 in vol2). That said, it is really beneficial and totally worth the money to get a qualified instructor for classical guitar, and you should use the materials they recommend if you go that route since that's how they build their curriculum. You can find more information on the different learning methods over at /r/classicalguitar too, including a link to a forum in the sidebar that has a free online course that is ongoing, hosted by a very qualified instructor and a community that is very open toward players of all caliber.

Good luck and hope you find what you're looking for through guitar :)

+1 for Aaron Shearer's method books.
My go-to method book for my classical guitar students.

https://www.amazon.com/Classic-Guitar-Technique-Book-Shearer/dp/0739057103

The Aaron Shearer Classic Guitar Technique books are the best in my opinion. They'll help you not only not only learn fingerstyle technique, but also how to read standard fingerstyle notation. You can find them at just about any music store since they are a staple for classical guitar education.

http://www.amazon.com/Classic-Guitar-Technique-Book-Shearer/dp/0739057103/

Save yourself a lot of time and find a good classical guitar teacher. makes all the difference. Even for just 6 months or so, they will get your hand technique going and have you playing in no time.

Also start to read music if you don't already. This will really help. just simple stuff (15 min/day)the pumping nylon book/video is great as well.

This was my first book and it worked, Its very well laid out and a great teacher of the guitar

https://www.amazon.com/Classic-Guitar-Technique-Vol-Shearer/dp/0739057103

work through the original Aaron Shearer books (I linked book 1, there are 3, you should at least go through the first two and maybe some of the supplemental ones) . If your classical technique is decent then you will breeze through them pretty quickly but you might pick up a few subtle things like playing rest-stroke with your thumb at the same time as free-stroke with your fingers and vice-versa. Once you are good there there are two books you should buy: Pumping Nylon for the various exercises it has. They are very good if you play them regularly. Then buy The Library of Guitar Classics. It is a big spiral bound book of repertoire that looks like a lot of those piano-rep books. It has music ranging from easy to very hard and from the renaissance period all the way through the romantic era with pieces by Tarrega and Albeniz. There is a lot of really good rep in there. There is also a second volume of the book that is almost as good. When it comes to more modern music buy the Villa-Lobos book and work through some of that stuff. It is a great book that was edited by - if I remember correctly - Frederick Noad. There are also some really good books with the complete Bach cello/lute suites (although some of that can be found in the books I already mentioned).

If you REALLY want to kick your ass, see if you can dig up a copy of the Abel Carlevaro right hand book. It is like the Giuliani 120 studies on steroids. I have never struggled that hard to play an arpeggio in my life! I think it is this book but I am not sure. I had a really old photo-copy of it and I don't know where it came from.

As mentioned, Scott Tennant's Pumping Nylon is great. I would highly recommend Aaron Shearer's Classic Guitar Technique. Take your time to learn proper, classical guitar is not the same as steel string. Go volume by volume and don't skip.

I can't stress this enough, take lessons. At least a few to get a good foundation. Classical guitar is all about technique, there is no real way to teach yourself proper technique as no one is there to point out your mistakes and flaws.