Congrats on your bike selection!
"the current owner says that it runs great once you get it started" Is he saying that it's hard to start? If so, it may be something as simple as needing to clean/replace sparkplugs and/or clean the carbs ( there are other reasons for that, most of which are usually fixed with a tuneup.
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If it starts, runs, drives well, and is in good shape, I think that price is fair with a clear title.
I would check the tank for rust, and check the forks for oil leaks(might need new seals), look at body (panels and engine casings) for signs that it may have been dropped. Check the BRAKES!!! See if the tires/fenders line up with the frame to make sure that the bike is straight.
Just give it a good once over to make sure that things are solid and nothing has been cut off or added that may effect the way the bike performs/drives.
I think you can get the general idea. (Just pretend that you are buying a used car. If something doesn't seem right, then it probably isn't.
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Good luck, Let us know if you get it...Ohh!!, BTW if you do get it post some PICS