DRF aka Thrifty Bill
Join Date: Jan 2008
Location: The NC Mountains
Bikes: 86 Katakura Silk, 87 Prologue, 87 Cimarron, 14 frame school custom, 73 Paramount
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This is a bottom end Trek bike (but even the bottom end Treks back then were pretty good). $350 plus shipping is pretty high for this bike. I sold a sweet, clean, ready to ride 87 330 for $165, and I thought I got full value out of it. But since you traded a bottom end fixed gear bike for it, sounds like you did quite well on it. And of course, my 87 330 did not have Dura Ace components on it.
And the good news is with the Dura Ace components, you should be able to recoup much or at least a large portion of what he paid for it. For pricing, search completed items on ebay. Then I would pick up some traditional midrange Suntour components, or better yet, a donor bike, and swap out components.
As far as deals, bidding at the last second is typical, and all it takes is one other person to bid an item up, often beyond its value. With its stock components, this is a $150 to $200 bike, delivered to your door. So the "deal" he got is dependent on what you can get out of the Dura Ace pieces, versus what you pay to put something else back onto it.