Fixed that last line for ya.
Without seeing pics of the rust, it's hard to say, but that doesn't sound good.
Their mechanical inspection is pretty lax, t seems. The rest of the report is pretty detailed, I think.
An oil leak sufficient to smoke from the wheel wells is not normal for a 100. That's concerning, but it could be something simple.
I stand by my initial judgement here. Too many risk factors for that price. If you want a project to wrench on, try to get them down to $6k. If you want a car you won't spend $3k to baseline immediately, I'd pass on this... and perhaps most 100 series for that matter.

These aren't cheap cars to keep in decent shape.