Depending upon mechanical condition and barrel length, it's a decent to fair deal I would say, considering tax, etc., and also depending upon barrel length. For a 4" gun it's a pretty dang good, for a 6" it's a decent deal, and for a 8 3/8" I would say it's about market price. Each one tends to pull about $50 more than the next larger size if you look at enough transactions ( I have one 629-1, and I'd like another one in 4", so I watch the market carefully). Regardless of length, it would be hard to go wrong at that price unless there's a hidden problem somewhere.
Even though it's stainless, check out the bore carefully, remove the grips and look under them, and DO check the b/c gap for size, but more importantly even measurement top/bottom and side-to-side. Check the hammer for step-off at the SA cock. S&W production was pretty consistent at the time these were made (this one is late '80s - probably '87 or '88 if I had to guess); my biggest concern would be checking the action has not been "Bubba'd" and the simplest test for that is step-off. As I said, even though it's stainless, it's about 21 years old, and can you think of a 21 year old out there that hasn't got into at least a little trouble somewhere along the way?
The factory wood target grips have the right shape, the problem is the checkering with full-power magnum loads. A nice trick is to track down factory "smooth" or "plain" targets w/o the checkering - problem gone and the look good. Kim Ahrends sells grips like this as do a few others in addition to the hard-to-find factory smooth/plain targets.
