How old is too old?

I have a newer LO206 JC Kart my son uses for racing but have been looking for an inexpensive 2 stroke play kart for him also. Locally there is a 2002 DFM Kart with a fairly fresh Rotax FR 125 Max on it for $1500. The kart is actually in very nice shape and runs very well. Am I crazy to consider anything of this age even just for fun?

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That’s the answer right there. If it’s in good shape and not bent, go for it. Be mindful that the brake system might need attention including seals.

One thing to consider is how strict your track might be about rear bumpers and sidepods.