Disregarding the better overall appearance of the red '68, I still think the '68 wood grain layout is better.
I prefer the 69's wood, not only because I like the look better but as DD the 68's wood, would constantly be getting slammed with road grime/stones etc so I could see it not lasting anywhere as long
I don't follow the pricing on these, so I can't speak to an exact value, but it didn't sell at the minimum bid last time it was listed. That should give you some idea of what its worth to others. Lots of work to do. There is rust in both quarters, looks like the lock is missing off of the tailgate which could mean bigger issues, possibly rust in the spare well, interior is on the rough side, and it looks like the front end is fitting together correctly, but that could be perspective. But, it looks pretty complete to me which is a big plus in my book. Also looks like, besides the 455, that its a pretty much untouched. Another bonus in my book. Without knowing how rare these are and how ofter a clean one comes along, it makes it more difficult to suggest what its worth to you. If this is THE wagon you wanted (year and make) and you were OK with the engine swap, to me, a $3,500 price tag is shouldn't make a huge difference in the decision to buy say vs. $3,000, if you plan to restore it. At that point, you will be spending several times the purchase price to get it back in nice shape. That being said, the price seems a bit high to me, but if its exactly what you wanted, maybe not. It didn't sell once already. If you are serious about it, throw the guy a number and see what they say. Good luck!