I just picked up a Harbor Freight hanging rotary tool (1/4 HP 5/32 in. Grinder/Carver Rotary Tool with Flexible Shaft and Foot Pedal
) using the 20% off Father's Day coupon posted on their website. My friend has one for quite a few years now and it's worked well for him. I just couldn't justify spending hundreds of dollars on better quality rotary tools right now.
I needed a way to hang it high off the work bench.
I looked around and found an old ratcheting spreading bar clamp. They run around $9 at Harbor Freight: (36 in. Ratcheting Bar Clamp/Spreader
It even has a hole at the end of the rod to which one could hang the rotary tool...works great.