You know how haggling works. If he says $400 and you come back at $200, you will settle around $300.
I think purchasing used gym equipment is great. It's like buying a used car. You save yourself a lot of money by buying something slightly used.
Home gyms are great for building the upper body but it's really hard to properly train legs with them. You won't be able to squat, leg press etc.
I personally would still buy a gym membership so I could train legs at 1-2 times per week.