Sounds like an ok price, depends on the condition of it.
Just sold my I/O. (For an inboard). What I was doing was putting my fat sac in the ski locker and another up towards the open bow area. From my research, I/O's like more weight in the front. I had a killer wake, but was limited to my length on the rope (55 feet).
Be careful not to add to much weight, my I/O was only a year or two old and after running that weight a few times (1000lbs or more), you could hear a change in the motor/stern drive thing.....
Another problem with too much weight was the amount of time it took to finally get going. 15 to 30 seconds sometimes, thats when I started to take some of the weight out.
Get a four blade prop too. If you get one with a different pitch (boat would be slower), but it'll handle more weight and get you out of the water quicker.....
Dave
(Heres a pic of the wake on my old I/O)