Seems a bit high with all those issues.. esp if it has no compression in one of the cylinders..
I paid 1600 for my 89 2wd 5spd idi w/186k. It came with new glow plugs, new starter, new batteries, and a new front tank which was given to me (not installed).
I put about 1000 worth of work/parts into it including new wheels, new a/c compressor, air filter, fuel sending unit, and window sealing trim.
My motor seems to run extremely well for such high mileage, it doesnt smoke at all.. but I imagine thats because of the lack of timing I'm running