Thanks for comments and "pep talk". My goal for the bike was good-running, presentable looking cafe racer, not OEM-spec restoration, so I guess the older engine isn't THAT big of a deal.
However, I was really hoping to get this thing running and roadworthy for under a grand. It needs a lot of work...had been rotting in the guys backyard for the past 15 years! And now that I have no idea how many miles are on the engine, I don't know if a full rebuild is going to be necessary. All I know is it turns over using the kickstart (it isn't seized up). Also, the carbs are from '78 like the rest of the bike.
Please keep the comments coming! What would you do?!?!