$12,000 !, offer him $8000 and you have got a bargain**.
Be prepared to get an engine rebuild (judging by the oil!), general tart up and paint job....say $20,000 and you have a nice little aeroplane....
Believe it or not, even incredibly bad looking aeroplanes can be rebuilt reasonably easily. I bought one that had been crashed and had holes in it, but it is being repaired and will eventually look really good.
** I assume that it has a current annual, all AD's have been complied with? I'm not sure how it would get through an annual looking at some of the hinges and fittings though, so it would be worth checking out the logbooks and where the maintenance was carried out - perhaps it is "dodgey maintenance"?. What is the reg?