For cheap and reliable towing vehicle I believe you cant beat the 4.9/300 CID Ford inline 6. It has really good torque at a low RPM like a diesel and is ultra reliable. They get good gas mileage (around 20 mpg). They are not fast at all but do tow just fine. The engine is available in F100s-F350 so you can get a nice 3/4 ton with it. I used to drive one and tow with it, really one of the most reliable and easy to work on engines in the modern era. Notice the low rpm the torque peaks are at. Do not let the numbers fool you, the engine will just pull nice and smoothly. They are also found in some vans I believe.
1965 - 1972
170 hp @ 3,800 rpm
283 lb-ft @ 1,600 rpm
Brake horsepower rating
1973 - 1974
101 hp @ 3,000 rpm
223 lb-ft @ 1,600 rpm
Net horsepower rating system introduced. Compression lowered from 8.9 to 8.0 : 1
1975 - 1977
• 101 hp @ 3,400 rpm
• 120 hp @ 3,400 rpm
223 lb-ft @ 1,600 rpm
2 different horsepower ratings produced during these model years
1978 - 1986
• 101 hp @ 3,400 rpm
• 115 hp @ 3,400 rpm
• 117 hp @ 3,400 rpm
• 120 hp @ 3,400 rpm
223 lb-ft @ 1,600 rpm
4 different horsepower ratings produced during these model years, all with the same torque output
1987 - 1993
145 hp @ 3,400 rpm
265 lb-ft @ 2,000 rpm
EFI introduced, compression ratio increased to 8.8 : 1
1994 - 1996
150 hp @ 3,400 rpm
260 lb-ft @ 2,000 rpm
1996 was last model year of production