I have had my '86 560SEL for about 2-1/2 years. I really love it but it is a love-hate relationship. We have good days and bad days together...
Mine is the same as yours - dark drey on lite grey interior. A good look. I bought mine with 125 K - it now has 160 K.
I agree with the others with regards to the timing chain. Had mine done only after my mechanic talked me in to it and another one of his customers didn't do it - and paid the price of a rebuild!
I think you'll find that the tranny will be near the end of its life unless its been gone through already. Depends how it has been driven and serviced. I suggest getting it checked closely.
I replaced my accumulators also - part of hydraulic self leveling suspension. Expect it to be a $500 bill or so. Also did the radiator - only because the plastic on the top shroud got brittle and broke off. I've heard they just age this way.
My motor is strong and powerful. Does not leak and does not burn oil. It is a sweet motor. If you like a bit of power, you will like this motor - over the smaller ones. Gas mileage is OK. I have owner P/U trucks and Ford Explorers. I figure it to be about the same milage. However it does idel rough, even after new plug wires and distributor cpa/rotor, which I am trying to sort out.
Top quality factory recommended V rated tires will make it ride nicely. I just put new Michelin XVGA4+ tires on and it made a big difference.
Check to make sure the cruise control works. They usually don't in cars this old. Not a big deal if you don't care.
Keep in touch if you like. Would be interested to hear how you make out. Good luck!
$4800 sounds reasonable if the car has a good pedigree and is sweet. I keep driving new Acruras and Infinitis thinking of trading it in - but the old 560 is better in many ways - not to mention price of a new car!