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Buying 1981 DL with bad tranny 200 1981

Ok, as a follow up to yesterday's posting, this is a 1981 DL 4 door sedan with a BW55 automatic transmission. The seller wants $400 and won't provide a smog (I live in the German Democratic Republic of Kalifornia). On test-driving the car, there's a klunk, klunk, klunk in the left rear. The tranny shifts ok, fluid is normal level and red w/o gunk. However, it hesitates for 1/2 second when put into reverse and goes "thump, thump, thump" before moving in reverse. What does that mean?

Other problems: torn rack and pinion boots, low power steering fluid level, no engine/gravel cover, torn driver's seat on butt and lumbar areas, odometer stopped at 144k miles, possible very slow leak directly under transmission cross member (looks more like oil, but maybe from another car?), mild rust of mid-tail pipe.


What's a good price, if any, to pay?

TIA!






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