That auger probably spins at a low speed, less than 100 rpm. You could pull the drive chain off and spin the auger by hand to check for any binding or twisting of the bearing in their mounts. If it looks good I'd try using it as-is before investing much into repairing it. Write down the bearing numbers and know where to get some replacements if they go bad.
How will you be using the machine? Most consumer snow blowers are not used many hours per year, between 5 and 25 hours per year is about all. You could probably buy a different snow blower for less cost than making extensive repairs on one.