i think its a good deal for a complete engine, specially if you get all the accessories with it, high quality parts add up very very quick.
There is a service station here in town that collects and rebuils old washer machine engines. The owner has one or two running in the garage ALL THE TIME!! Seriously....everytime I stop by there....they are sitting on his work bench running.
Just replaced our Maytag washer and dryer in the past year. Wifes parents bought new in 74. Washer had never been serviced and the drier one element. Wish my Mav was a Maytag.
It's really hard to say without knowing the details on engine. He should hook you up with the builder an talk to him face to face for best answers. Also, find out how much engine was ran! If it was a pro built engine,,,, I can not see how you can get the machining and parts for less than this. Easy to find out, call local shop and ask what they charge. Again, hard to compare without knowing what exactly was done. The work on heads is a toss up,,, If I don't know the porter or his work with numbers on a flow bench, I don't count it as a guaranteed plus! I have to know who is doing my machine work an have a relationship with them. Not always the cheapest but great work! If you talk to the builder, ask who else's engine he's done and talk to them! Pro-builder oughta have some engines on the track. $1500 is an isn't a lot of money. You got some homework an it may just be a good pay off! Another plus in talking to these people, you will get a feel for this an meet contacts for when you wanna do another engine! GOOD LUCK !
8.7 in an 1/8,that's not much better than a stock roller motor in a car properly set up.But,if it's got all new stuff in it,that's probably a good starting point.