If you can get that lathe for $500 - $550, it might be ok .... depends on what comes with it .... it seems to be a rather old model and it definitely does not have a cam-lock tailstock which is highly advisable and makes your life quite a bit easier. . I do not see a headstock chuck in the picture .... very important. . The stuff that I see in the cardboard box does not look all that interesting or useful. . There is a set of toolbits (red things) but they are just a cheap set and will not serve you terribly well ... those ones often break under quite light use on metals ... they would be ok for wood/acrylic ... and certainly not the best toolbits for pen making.
But you have to check on what headstock chuck comes with it. . I don't even see a chuck. . Maybe there is none, but you need it.
That large faceplate is virtually useless for pen work .... you need a 3- or, preferably, 4-jaw scroll chuck (all jaws move together) ... also pref. 4" diam
Seriously consider John's advice to go with the new LMS lathe for $850. . Check out ....
www.littlemachineshop.com ....
That lathe will come with a 3" 3-jaw scroll chuck ( and no large faceplate ) and it does have a cam-lock tailstock for sure.
I'd advise upgrading to a 4" chuck in order to have more room to insert up to 0.85" diam blanks into it.