the rear shock shouldnt be like that, no matter how you set it. It is probally blown, and the front forks will need new seals. Its a big risk with these 4 strokes, it could just be worn or out of adjustment valves, or the top end could be shot, which isnt rare. These damn 4 strokes are expensive to fix, so watch what you get yourself into, it may cost more than you would expect to fix.