If you want 35s to fit, you need 5" of lift, no question about it.
This is commonly done with a 4" suspension lift and a 1" body lift.
Since you don't have much to spend, I would suggest piecing together your own lift using some 4" springs, Rancho shocks, adjustable track bars, and a 1" body lift. It's going to be very tight at $1000, especially when you factor in that you'll need adjustable control arms and ideally a SYE / DC driveshaft (especially if you want to take it off road and do mudding / rock crawling).
Really, $1000 isn't going to be enough to do it right. Sorry to say, but it's true. Once you start adding up the cost of things, it's going to be pushing it.
If you manage to get by without the SYE / DC driveshaft, your transfer case is going to be dropped so low that it's going to be a big hinderance off-road, particularly in the mud and rocks.
I'm not saying it can't be done, I'm just saying that you're probably going to need to look for a lot of used parts, and very cheap, low quality parts as well.
Because this is ideally what you'll need at a minimum:
- 4" springs
- 1" body lift
- Front adjustable track bar
- Rear adjustable track bar
- Slip yoke eliminator (SYE)
- Double cardan driveshaft
- Rear upper adjustable control arms (at a minimum)
- Extended brake lines
- Bump stop extensions
- Shocks
I may be forgetting something, but all of that stuff is going to be hard to do for $1000. My suggestion is to save your money until you have enough money to do it right.