S-Chassis.com - Advice on a 1990 240SX Coupe for $1350

Today I stopped to look at a 1990 240SX coupe that I spotted in a front yard with a for sale sign.
The milage is 94,000 which I belive to be true as the interior is in absolutely perfect condition, it's a five speed and the clutch feels strong, it has heads up display and a power moonroof.
The body is straight and it is still original paint, or a really good, but old re-paint. No tapelines or fading blends. there is a rust spot about the size of a quarter behind the one rear wheel and some rust along the roof behind the sunroof. The black paint is faded as expected for a 16 year old car. The bumpers are in great shape and 4 new generic tires.

The asking price is $1350 which I found reasonable at first. There is a noticable 'tic' at even at idle, sounds like coming from the top of the motor, i would geuss it's valve lash.

One spot of rust about 1.5cm in the top front seam of the passenger side shock tower. The underneith is very rusty with very rust suspension components. I am not a mechanic, but it looks like where the rear a-arm bolts to the chassis, the mounts are severly rusted. Not very familair with these cars, is there a sub-frame that mounts to the chassis that can be changed in the rear.

I offered the guy $1100 for the car and he didn't bite. I'm glad he didn't, I am debating going back and looking at it again. It seems like a good car, but I'm afraid that this rust is a fatal flaw. The rusty mount that I saw was in front of the right rear wheel. It is 2 ears that come down with a torsion bar / sway bar bolted between the two ears with a bushing. Any suggestions will be appreciated.

The exhaust, catalytic converter, and muffler are all rusted severely.

The last inspection sticker on the car is 10/03, this was a big red flag, but the guy said it was owned by a state trooper who didn't care and just drove it anyway. It appears to be cosmetically in great shape and runs great.

The seller is in his 60's and bought the car for his grandaughter who he says didn't want the car because she needs more cargo room.