I suggest trying Wander which allows you to search for travel destinations according to your budget, availability and other preferences you might have.
Check out Wanderfly which you can plan trips based on your budget and interests.
Flyertalk.com has forums regarding many countries and regions around the world – might be a good start for you, based on your two-hour requirement (by flight?). Although you have to become a member to post a question, you don’t need to become one just to read through the threads.
The HappyTellus destination finder comes very close to what you are looking for.
It has no option for the budget. I think it used to have one, but I never found it very useful. Budget is something very stretchy. It depends a lot on what you want to spend. Or put differently, you can control it, at least partially, by appropriately choosing mode for travel, accommodation, catering, etc.
Depending on the type of traveler you are, you can also try sites like ltur.com. There you specify a point of departure, and you can search according to regions and budget.
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