Buying first truck - guidance on price?

[Meagent]

Hi folks. New member here but have been reading on the forums for the past few weeks as I plan on buying a 67-72 stepside to do a resto-mod on. My dad was a mechanic and did engine work for 40+ years and passed away a few years ago. Finally settling up the estate and wanting to use some of the money to buy something to work on in memory of him.

I have a couple of trucks I am looking at here in NC, but having a hard type knowing if the "price is right". One I am interested in is a 68 C10 with a 350 bored to 355 with 882 heads and a Powerglide tranny. Truck also comes with a rebuilt TH350, a 350 from a 71 Monte Carlo that he was planning to rebuild, a 3.08 rear and a couple of other random bits. The 350 in the truck also makes a noise at operating temp, which he thinks could be a wrist pin or bearing...

He is asking $4950 with some wiggle room...pics are in the ad at the link:

http://greensboro.craigslist.org/cto/4565634564.html

No rust, but obviously in dire need of paint/some body work. Interior is okay (separate pics).

Price seems high to me but I honestly have no experience other than cruising Craigslist in the neighboring states. I was thinking of offering around 3-3500 but with the noise in the engine might be driving on borrowed time, making the rebuild a priority...I want to do the rebuild, but prefer not to have so much time pressure with a job and two kiddos.

Anyway, I appreciate everyone's thoughts and if this truck is not the one, hopefully I will find one soon so I can get more involved on the forums and drive my wife crazy with parts all over the garage to go with the golf clubs and fishing rods. Not a ton to choose from around here right now, many more fleetsides than stepsides.