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So here's my $.02 -

I always like to see what the same bike sells for around the country or local area, and use SearchTempest. It'll search all Craigslist ads within any distance you want. Here is a link to a search I just did for that exact bike (and there is at least one of the same year);

https://www.searchtempest.com/search?search_string=klr 250&category=8&subcat=mcy&hasPic=1&srchType=T&minAsk=&maxAsk=&autoMake=&autoModel=&minYear=&maxYear=&cityselect=zip&location=85138&maxDist=2000&region_us=1&region_can=1&region_mex=1&Region=combined&addCities=&subCities=&q=intitle:klr+intitle:250+"image"++inurl%3A%28mcy%29

Electrical problems on old bikes can be, well...problematic. Are you sure its just the lights that are affected? Can you still get parts if its something else? eBay is a valuable resource for bikes that old.

These are some things to keep in mind.

Look at the link I provided and see if dude is in the ballpark. Maybe he'll let it go for 700-800???

But go look at it, bring the wife with. It's probably a good bike for her size and ability. If it runs good and she likes it, buy it.

$1000.00 is about the minimum price you will find a running bike of that size in my area, and I look every day.

Good luck!