You could buy our place! :-) ... we have a 3BR 2.5 bath condo that is 7 miles from Duke, 7 miles from UNC, and 2 miles from RTP. Newer unit/neighborhood, built in 2000, very hot southwest Durham location--convenient to both Chapel Hill and Duke. We're planning to put our condo on the market in 2009, summer or spring. We'd likely list in the $150 range. The condo is on Crimson Drive in Auburn Square, southwest Durham, near Southpoint. Nice neighborhood with pool, nearby tennis, park, and walking trails. Let me know if you would be interested in us contacting you when it goes up for sale. I'd be glad to send you an email when we list it. chelle dot warren at gmail dot com. I'd also be glad to send you photos via email, etc.
PS-- I just saw your post below about the older houses along Old Chapel Hill Rd. First off, this is a busy road. The nice houses on this road (anything you'd want to live in ) will be well over $200K. The ones under $200K, you don't want to bother looking at. Believe me. We lived in Chapel Hill and looked for over a year before we bought our condo.
There are some cool neighborhoods closer to Duke, and some beautiful older homes, but these also will be well over $200K, even for a smaller one, and I wouldn't rate ANY neighborhood very near Duke as "safe." You'd think that there would be some safe neighborhoods around such a prestigious school.... but you'd be wrong. Your best bet if you are interested in safety is Chapel Hill or Southwest Durham.
Even if you aren't interested in our place in particular, I would tell you to look around Southpoint. Woodlake, Hope Valley Farms, that area. Lots of newer developments off Fayetteville Rd near Southpoint, including ours. Also there are some older condos in that price range closer to Chapel Hill, like Five Oaks, etc. They're a little overpriced for their age and condition, in my opinion, but they have a great location.
There are also some places around Duke that are older warehouse buildings that have been remodeled into nicer condos and lofts, but I doubt you'd get something the size you want for under $200K. And then there's the whole "safe neighborhood" issue. If you want safe, look in Chapel Hill or Southwest Durham, or around RTP.