Thanks so much to everyone for your input!! If I could find a Honda Rebel around here for a decent price I would probably jump on that offer. I saw a white one online with barely 900 miles on it for $1200 not too far from where I am but it was sold to the husband of an amazingly lucky lady just in time for christmas.
So far the best contenders in my search are the following (mostly because they aren't TOO SMALL, are close enough to go test ride, and are in my limited price range):
1986 Kawasaki KZ550- $500 or best offer, needs carbs cleaned and a battery. The lady who offered me this bike says it sits nice and low.
1982 Yamaha Vision 550- $450 or best offer. Needs battery charged and lifters adjusted(?), might be more work than its worth but it seems this one is more of a cafe racer style bike
1982 Honda CX500- $500 firm. Possibly needs an alternator along with a new battery. Seat is also kinda torn up.
1979 Yamaha XS400- $400 or best offer. Needs points cleaned and an electric starter solenoid. Still kickstarts without one. This one looks nice, like it's been well cared for.
1981 Kawasaki 550 ltd- $750 or best offer. Has almost 24,000mi on it though and needs a little carb work. Runs good.
*So far my favorite is the 86 KZ550, I'm probably gonna go look at it and then arrange a day for our mechanic guy to come look at it too.