If buying used, you can usually get a name brand bike for a decent price. I would look further and find a Specialized, Trek, Giant, or some other known brand of some quality. Not that they are excellent quality at the entry levels, but they don't make pure crap either. Better to go back a few more years and get an older bike that shows some wear from a quality company, than get a shiny new looking bike made of crap.
But that bike is both old and crap, not a good combination. It might be worth $25, but I wouldn't pay anything for it.
(I take that back, it would be a good bike for areas with extreme amounts of theft. A bike that you can ride around with no worry about destroying the bike or having it stolen. But that is a specific situation I assume you are not in. But for some having a "throw away" bike is nice.)