Thanks for the responses. I subsequently talked to my mechanic. He said the transmission fluid didn't look too bad, and guessed that it had been changed at some point. So it looks like that issue won't be a deal breaker. He did tell me a couple things which give me concern, however:

1) I don't know what units of measurement they use in a compression test (psi???), but apparently 2 of the cylinders are running at 145, one at 135, one at 130, and one at 125. He was fairly concerned with the last figure--said it might not impact the car's performance for a while, but that the disparity between 145 and 125 was pretty significant.

2) The output of the alternator was 13.6 v when it should be 14.3-14.5.

Along with the fact that the timing belt would have to be replaced immediately, the above issues are making me pause.

Maybe I'll make a separate post about the compressor and alternator issues!