I have that same lathe, although mine might be a slightly newer model. Bought mine new in the mid 90's. Generally, it is a well made, heavy machine. I built a different stand for mine w/ 100 lb. of sand in the base to absorb vibration. The biggest downside for this lathe, in my opinion, is that it is NOT variable speed. You have to take the cover off the pulleys and manually move the drive belt from one pulley to the other, on both the lathe and the motor, to change speed.
Here are a couple of things I would check before buying:
Inspect the steel bed to make sure there are no cracks or visible warping. This could be a deal breaker.
Reach under the lathe and pull on the drive belt to make sure the spindle turns freely.
Make sure the drive spindle turns "true". Any variation from dead center will render the lathe useless, in my opinion.
Take the cover off the pulleys and make sure they are in good shape: not warped, chipped, cracked, etc.
Slide the tailstock up and down the beds to make sure it moves freely, AND locks firmly in place.
Do the same thing w/ the banjo, which holds the tool rest.
Turn the wheel on the tailstock and make sure the cylinder moves in and out freely
It looks like both the long and short tool rest are there. Just make sure they are in good condition, although these can be replaced.
Ask if there are any other parts laying around somewhere. They may have a "live center" for the tailstock. If not, I would get one very soon.
Once you've checked all these features, turn it on and see how smooth it runs. Expect some vibration. But if it starts to "walk" all over the place, see if you can figure out why. It may or may not be a major issue.
Final thought: I'm not sure I would pay that price for it. I'd be more comfortable in the $200 - 250 range. Hopefully, Bob Vaughn will respond to this thread. He is far more knowledgeable on old machinery than I am.
