The price on the link is MSRP, so it is possible the vendor could do better. I've seen a few other stores offering the Legacy versions for around $1000, but in the end if it is a locomotive you really want (and is relatively hard to find new in box), the price can become secondary. A Legacy S2 for $650 is an incredible bargain though, but with all collectibles it depends on condition and how much someone is willing to pay for it.
-John