Here is 25 of them for sale on RV Trader for you to look thru for comparison.
https://www.rvtrader.com/MELBOURNE-29D-Jayco-RVs/rvs-for-sale?make=Jayco%7C2272274&model=MELBOURNE%7C764842113&trim=29D%7C12781&sort=distance%3AascWhether the guy was upside down or not and why they are selling IMHO, JMHO is irrelevant, that's his problem not the buyers. Albiet if you are going to get a loan on it call your bank and ask what they are able to give you on that MH. 'That' is what will be the determining factor on it's worth for a loan.
It looks like a real nice MH. Just make sure that 2 year extended warranty that is offered is totally transferable. And keep in mind that not all used MH's will have an extended warranty like they are offering on this one.
And again IMHO never buy a MH with slides without first seeing what it blocks when the "slides are all pulled in". I've seen horrors of not being able to get to the fridge, sink, bedroom closets and I've seen some you can't even access the bathroom with the slides in!!
If the price is within your budget, coach is clean, low mileage, everything works on it and you LIKE it?....Make an offer a little bit lower and see where it goes.
The offer isn't going to cost you anything.:C
New the MSRP was $95,000
http://www.rvguide.com/specs/jayco/class-c/2008/melbourne/29d.html