There is a 2005 S40 for sale in my area for $1100.  The catch is that the bike was exposed to the salt air in the Florida Keys and never washed.  Most of the painted metal is fine, but the clearcoated and raw metal has some pretty bad salt corrosion.  Also, the bike was dropped on it's right side so there is a golfball sized dent/scratch in the gas tank and the front fender.  I tried to start it but it just didn't want to turn over.  It was pretty cold outside and the guy said that he hadn't started it for over 2 months.  It cranked and cranked, but just wouldn't fire.  I'm sure it was flooded because there was a puddle of gas on the floor after our attempts.  Should I buy this bike because it is cheap / repairable, or should I pass and look for something better?
Odometer said it only has about 2500 miles on it.  The most corrosion is on the spokes, rear brake anchor, crankcase and generator panels. The forks are pretty good.  Please let me know what you think.

Thanks.

I'll try to attach all of the photos I have.

I wouldnt want to drop the $$$ on it if I couldnt get it going. If you can go back & get it running, maybe change oil & run a magnet thru it, check the fork tubes. if they are messed up, the seals wont last & tubes would be the cost of repair. No small job & no smal cost.
If its just cosmetics, then its what will you be happy with? That money for that year bike, low miles, not bad, but if its really rough, then, maybe a bit much. If $300.00 would pay for parts & materials to fix it up, maybe the guy would take $800.00??

You have to load them into either bike pics.com or Photo bucket.com to get them to work. The main photo server is jammed full already.

I would want a Big Crank, new cables, fresh oil & filter, aircleaner checked, maybe swap out the braKE fluid. Otherwise, as long as the fiorktubes are slick, OHH yea, there might be some wiring somewhat affected, but maybe not too bad. The ending & tranny would be fine, right?  I dont know, kinda iffy, but generally a go. Depends a lot on your budget. If you can swing the $$ & dont want to rub & polish to have anice looking ride, then maybe this isnt for you?

Personally, I tend to avoid anything that has been exposed to "salt air". That said, it's a crap shoot. For $1000 you might be OK, provided you're comfortable with a bike that could become an ongoing project with lots of little things to tinker with and fix. If you want to ride, I'd say keep looking.

The bike would be for my girlfriend, as a learner bike.  I'm mostly interested in it because it is so inexpensive.  If it turns out that she doesn't like it, then I could always sell it off later in the summer.  Looks aside, is there anything fundamentally wrong with a bike in this condition?

How much would it cost to replace all the cables?  I found a rear wheel complete with hub for about $70 on evilbay.  Besides that, it's pretty much cosmetic.

I agree with T Mack.  As a modder, I'd love to find a bike like that.