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1984 Audi 500s

I just bought a 1984 Audi GT to replace my dependable 1984 Audi 5000s.  the
5000 overheated when the water pump went out then the expansion tank
overflowed and burned out my fan.  I had the water pump replaced then found
out that the fan was gone, and the head gasket was blown.  I didn't thing it
was worth fixing, the mechanic said at least $500 and then my rings might
blow due to a increased compression ratio.  If this is wrong please let me
know.  If not anyone want to by it? It is in Utah and it has some other
problems, but is generally in good condition.  I'm thinking $500 obo

Thanks as you can see I'm new, I don't use 5ks etc.
Jeremiah Curry