Don't condemn the engine before you do some diagnostics. Set the valve clearances, check compression, replace the spark plugs, and go into the carbs and install one size bigger pilot jets (available from a good Mikuni dealer e.g. Winners Circle in Markham).
These engines are getting quite hard to find in good order. Anything you find could very well have its own problems (there's a reason why it's being sold). "Reconditioned" means about $700 just in parts to do it properly (all new gaskets, piston rings if you can find them, deglaze cylinders, all new main and rod bearings, and fix the assembled-in flaw with the oil restrictor jets at two of the crank journals) and that's if it doesn't have other problems. A cheap used engine for a few hundred bucks needs to be disassembled and gone through ... see above.
Further note on something I touched on above. Yamaha built every single one of these engines with a mistake inside it. At the center main journal on each side (group of 3 left, group of 3 right) that journal is the one that does not supply a con-rod bearing, so there is a screwed-in restrictor jet in the oil supply to it. Their thinking was probably that the journal is covering it, so the jet can't escape, so they just screwed it in a few turns and left it loose in there. Problem is, when it unscrews, it goes loose in the threads and allows extra oil to bypass which in turn starves one of the rod bearings. I always take these jets out, put a tiny drop of loctite on the threads, then screw them all the way in until they are bottomed in the threads. Takes 2 minutes. Getting to those jets ... requires splitting the crankcases. Splitting the crankcases ... requires disassembling the top end because there are two crankcase bolts that you can't get to without removing the cylinder block. That means new rings and new gaskets.
See my overhaul thread linked to earlier in this thread.