I paid $4000 for 86 Euro 500SE with Euro 420 engine ,then put another $1500 in tires, brakes, belts, hose , timing chain and rails plus some front end work.I did all the work except alinement myself.Engine burns no oil and has mucho power especialy in the upper RPM's range. The car is an absolute pleasure to drive and is not slow by any strecth of the imagination .

I would think haveing a new transmission that even if you had to have engine work or put a short or long block in it some where down the road that 4K is a good price for an 89.The 420's all have double row timing chains that needs to be checked and changed if strech exceeds specs if rails are worn and at recommended milage.Even though the 126's had a long run there are fewer of this wonderfull model every year, it will be interesting to see if you trade it after a year or so....
William Rogers.......