The Tea Racer is designed for 28mm 'can' motors which push straight into the nose. Brushed or brushless depends on how fast you want to fly, how long you want to fly and possibly even how well you can fly.
Any hard impacts can cause damage to the motor which is located in the nose and will probably be the first thing to hit the ground. If you have any doubts about your flying abilities then cheaper brushed motors such as a speed 400 will give you fair speed but without a big investment.
If you want a model that protects your motor then we recommend our Mugi Evo. The pusher configuration makes it very unlikely that you will damage an expensive motor in a crash.
For a brushed setup we recommend a 6V Speed 400 with at least an eight cell NiCd or NimH battery, preferably a 3S LiPo.
For the brushless route a 28mm diameter inrunner motor with at least 2000 rpm/v and a suitable ESC capable of handling >20A.
Hand in hand with a brushless motor we recommend a slimline Lithium Polymer battery such as our 3S 20C 1800mA battery available from our online shop.
An alternative to the LiPo route would be an eight cell NiMh pack but flight times will be reduced and your performance will probably be lower. This is more of a 'legacy' powerplant, using components that lots of us have lying around from pre-LiPo days.
We've had a lot of fun flying the Tea Racer on the microspeed carbon prop (130x125) we sell here at Mugi. It's cheap, durable and rigid enough to take the twisting moments of a high power motor setup. Thrust and speed can probably be tweaked using higher performance props but for a benchmark it makes a good, economical starting point.