I just bought a 1991 LS 400 with 163k miles yesterday for $2500.
Everything works, needs nothing that I can tell so far. The guy that owned it loved the car so much but is moving to Florida in a few days.
My main baby is a BMW 740i, and I was looking for something nice that I can drive around during the winter, my eyez was on a Benz 300E or something like that, since the Lexus cars tend to be very highly priced due to their reliabiity. I have always wished for one, cuz I know they are reliable, and have kept my eyes out for the rare 1st gen GS, but I ended up with the LS, and can't complain. He replaced the headunit with 2nd gen headunit and added a 6CD changer and a new subwoofer.
It drives nice, the quietness is nicer than my BMW 740i, that's for sure. But frankly, when I drive the BMW, I do it for the driving, I throw it around like the "sports" car that it is. :D
So is $2500 a good deal? The guy was asking $3500.