OK, I realize I'm late to this thread since the OP already bought tools, but my few cents in here for anyone going through this themselves:
Go cheap on things you may use infrequently, quality on things that see more use. The only Harbor Freight power tool I own is a grinder, and it's still in the box. I recently picked up a 20v DeWalt Impact (ok, my work picked it up for me...) and I totally love it. It sucks to have an expensive tool that won't do a job, drills/impacts without enough power, things that break, etc. I bought the HF grinder on sale for cheap, if it fails, I can buy another easily.
Air Compressor from HF was a no brainer, definitely useful for multiple projects. Agree with getting a larger tank if you can afford it and have the space. You can also read up on converting various sized propane tanks to expand capacity later if you've got space to keep those. Read up on keeping moisture out of the tanks, relieve the pressure and drain when you won't be using it for a while. For me, that's basically any time I fire it up, when I'm done I pull the plug underneath since it will be months till the next use.
For Harbor Freight, watch those sale ads! Sign up for their mailing list, and if you search online you can even find links to their Inside Track coupons even if you aren't a member. All you need is the code at checkout.
Others have already said watch Craigslist for tool sales, shops clear stuff out often, people have garage sales, etc. You'll end up with lots of mismatched brands, but you pay pennies on the dollar. Engine hoists are a great thing to find on Craigslist, usually half the price of one from Harbor Freight, which is already a good deal with a coupon/sale ad.
Eventually, you'll want to have a complete set of tools for the garage, and another set that you take to the track or maybe the local salvage yard. This other set should be tools you won't cry over if they break or go missing (not your high dollar SnapOn set). Again, watch the HF ads for basic wrench/socket sets, extensions, etc. Sears also has a low cost line of tools I've picked up a few of as well. I've only left a handful of things at the salvage yards over the years, but I learned quickly not to take my best stuff (which at the time was my only stuff). I don't worry about lending someone a tool at the salvage yard or at the track for this reason. If it comes back, I've made a friend, if it doesn't, I'm not out that much.
