I had the same problem with my small air compressor a couple of months ago. It was a blown head gasket. As the air was compressed, it was leaking into the intake plenum instead of being forced into the tank, so the pressure never got above about 20 lbs. I unbolted the head, scraped off the old gasket, put on some Form-a-Gasket, reinstalled the head, and it works like new.
Just be aware that if you have reed valves, they fit in recesses in the head and cylinder - one fits in the head and one in the cylinder. To hold the one in the head while I lined up the bolts and got them started, I put some heavy wheel bearing grease on the valve and stuck it to the head. Once the compressor started, the valve has worked great.
Have a look before you buy another compressor. Good luck.
PS: Take off the intake air cleaner, start the compressor, and listen for the sound of air being pumped back into the intake.