What is a decent grunge/hard rock-style guitar for less than $700 dollars?

I am currently investing about $700 towards a new guitar. I have looked and looked at different models, anywhere from an Epiphone Les Paul to a Fender Mustang. What is the best guitar for that early 90's style music? I am looking for a guitar that is good for hard chords, but is also easy on picking notes. Right now I am leaning towards a Mustang because of its looks, and history as a grungy style guitar. Am I on track? Or should I get a cheaper Strat? And also if you can tell me the real difference between a Deluxe Strat and a Standard Strat, that would be welcome.