I have found a 1/1000th shutter speed limiting. I got up an Olympus OM2 Spot Program recently that has the same top shutter speed & with ASA 200 film I have struggled in bright light shoot to wide open & have had to sacrifice the shallow depth of field that I was after.

I imagine that you would be able to get pretty much most of what you paid for an FM2 back if you chose to sell it at the end of the course. If you are really worried about spending on the camera then look at the F301 that I suggested. There is one on ebay at the moment for 15 on buy it now. At that price it borders on a disposable camera.

Others have answered the question on the differences between the FE & FM I think. Apart from the mechanical differences with the shutter & the viewfinder display, you won't notice difference with the FE in manual than you would with the FM.

I echo what Maderik has said. If you have a K1000 already why not use the money to get some better glass & stick with it? Other than faster shutter speeds, what will an FM2 give you that it doesn't? Unless you want to switch to Nikon of course?