Peanut,
Not the bike that is crying out. It's me. I struggle with the concept of preservation and enjoyment. What is the sense owning something just to look at it? (and I say this having done both before). Yes, if a museum offered to buy it or trade me a 'rider' I would be open to it. But not a lot of bike museums with stock xs650's in them. Maybe a few bobbers or trackers as that was part of the history. Anyway I will do period correct mods (mostly). Steerer bearings, swing arm bushings, rear shock, ignition, pods, pipes. The things that were done by most everyone who bought these in the 70s/80s. These were the shortcomings then. So this will essential be stock bike with the 'should have come from factory' mods. The seat will be clip in, and I will have the stock one still, and I'll just swap the pipes rather than chop up a mint set, etc. Most things will not be noticeable to people other than a trained eye, and those people should give a nod of approval. hopefully. cheers mate, will keep you posted.
You have a super nice bike there. I see no need to do anything to it, other than a different seat, if that suits you better. Looks like the stock rototiller bars have been changed, and that's a good thing.
With such low miles, the steering bearings, swing arm bushings, and rear shocks should all be in great condition. The TCI ignition is an excellent ignition, why change that??
Pods and pipes...................everybody changes those, why not be different from the crowd and keep the stock air box and exhaust.
Blueing of the right exhaust.....................running too lean perhaps.
.