Have you played it? Are all the pads new? I had a Wurlitzer Buescher stencil which I enjoyed, despite a few issues. I could not have gotten $700+ for it. But it was a stencil. I also had a King from the later 20s with better ergos and intonation. Not built like the Buescher however. I guess it depends if you are having a fling with the the C Mel or if this is serious. When I was following the C Mel dialogue on SOTW a few years ago it seemed the two camps were those who wanted gutsy tenorish Cmels (Buescher, King) and those who wanted the best horns, in terms of intonation and ergos (Conns). Many seemed to think Martins were the best (harder to find of course) but that were altoish. Holtons were a dark horse, unfairly maligned, and Couturier a whole terra incognita.
Sorry, more than you wanted I'm sure. C Mel's are fascinating and I'm glad for the time I spent with them. Those who think they are just a bizarre oddity miss a big piece of sax history, I think, when this instrument was in Everybody's parlor. It was cool to HAVE a sax, not just listen to one. Regarding the initial question, if it had had a real repad and is well set up it's not a bad price. At the same time you won't make money reselling it. Experts may correct me.
Lastly, remember that that NZ company that tried to revive the Cmel went out of business a few years ago. Not sure how the Cmel world is getting on now.