The bike itself looks to be in about 6 or 7/10 condition if I estimate. It has enough surface rust to be suspicious of more serious rust, but the components are all there, and only lightly worn. It hasn't been cleaned in twenty years either, so the dirt that was on it back then, still hangs on it today. It's pretty rough around the edges. Mechanically, from what little I looked at, it would appear to just need to be completely torn down and re-greased. Wheels and pedals are not frozen, and the rear derailleur still swings when it is manually pushed. There's even significant life left in the brake pads.
Thankfully I have a good relationship with the future in-laws, I guess I'm just a little tentative to tear into this one with it needing a significant amount of work, and me being possibly unable to finish the work.
And possibly the larger question, with the Raleigh, we both agreed it needed a paint job. The job I did on that bike was the first time I had painted ANYTHING steel, and it turned out great with a rustoleum rattle-can job. I'm making people shudder with that on this forum, I know I am, but what about this frame. Is it worth significantly more left alone? I don't think he's looking to sell, but I'm interested in making the bike nice enough to make you WANT to ride the thing, not just look at. Remember, however, that the budget is limited as always.