This is a hand Tufted rug (not hand knotted - not "machine made") and most likely wool.
Such rugs can be found in the general price range you paid to well above that with several other factors being in play. (Some wools are a little more expensive, some textures may be a little more, etc.)
Such a rug won't be a family heirloom but you should be able to get 15 - 20 years of good usage from it so $25 or $30 a year seems like a reasonable investment.