That's total B.S a good rebuild will do another 5000 miles. If the sled has different pipes , porting then jetting would have to be addressed.
The one problem they were having in them years was delamaniting intake manifolds. The intakes were cracking and causing a air leak [ lean condition] burning the motor down.
If this is a standard rebuild with new pistons your looking at around $1000.00 total cost. High end number with you doing the labor.
A 98 sled is a good machine and your not going to buy that new of a machine for $1000.00.
If it is busted up then it probably isn't worth it.
Look on E-bay at values.
The Rotax motors are great and will go along ways.
I still own my 98 Mach-Z that i bought brand new. Grant you it's not trail friendly , drag sled.
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