Ok, first thing. How tall are you? That bike is pretty small. 5'5 to 5'8?
The cost of "restoration"?? Don't go overboard.
- SOAP & Water... Good Cleaning.
- CHEAP... Oil & Grease throughout. Maybe some new bearings. Learn to take apart hubs & etc. Maybe start buying bike specific tools.
- $50 to $70... New tires
- $20 for cables and cable housing. If you have time to shop around, we can help you source good deals.
- $10... New handlebar tape if you wish.
- $50... New seat? What are the white spots on the seat? Better seats are available.
So, a bit of elbow grease, and somewhere around $100 to $150 and you could have it rolling again.
That is a CHEAP bike. It could be a good commuter, but it will never be tremendously valuable.
The process of rebuilding could be very valuable to you in the future.