I would be most concerned/interested in the fundamental shape the car is in - corrosion, paint, suspension bushings, brakes, interior trim condition, etc. Anything associated with the swap can be "fixed".
The motor is about the worst choice for a swap there is. The 86's had flat top pistons with no valve clearance notches. It doesn't have the E7 (HO) heads on it nor the HO cam. Upgrades in those areas must be modest because of minimal valve to piston clearance. A fox body Mustang or Explorer/Mountaineer engine is a much better starting point.
Gauges are pretty straightforward - you just adapt the Volvo sender to the Ford block --- usually a matter of finding the correct bushing.
Mine was converted with a 91 Mustang engine/tranny back in 96. Just pulled out the 5.0L and am installing an LS3. http://i937.photobucket.com/albums/ad214/MichaelYount/LS3%20Engine%20swap/newcovers_zpsweidhvjf.jpg
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82 242 6.2L coming...; '15 Honda Fit
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