I went through the same thing. I didn't have the money to buy spells. As a wizard I picked my damage spells and if I got gate or root those were essential. The rest were picked up at a later time when I had more pp.
As the guy above mentioned skeles wonder around with cracked staves farm those, get about 6 or 7 to sell and you got all the spells you need. It's rough starting out. Believe me I know first hand from not too long ago. Just have to make good decisions and get the spells that are the most bang for your buck.
Once you are level 5 or 6 you can go into CB and farm belts. Usually someone there willing to buy them if you auction them on a regular basis. I sold probably 50-100 of them leveling up in CB. And they are bad exp after level 8 anyhow.
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