basically agree with C.W. (ed: oops, i meant El Classico, too) that in early Marx you will get a fine running locomotive (just going by the typical Marx hugely rugged and reliable motor... even conservatively speaking, i would estimate that well over 90% of any Marx i've ever bought have run fine with little to no work) and for $200, you should be able to find something in excellent (C7) condition.
i'll be a bit more optimistic with Lionel. if your "good looking" requirement could be relaxed to C6 (considered VG or Very Good... maybe a bit rough and some paint loss on the finish), there are quite a few low-end models that could be had in the ~$200 range. in fact, right now the best auction deals are on the very common pieces, especially sets/ pieces without boxes.
off Live Auctioneers, here are a few sets that sold for ~$150...
an electric outline locomotive set with a #153 engine & #629/ #630 passenger cars (C6).
i have a similar set with a #150 loco and it's a fun set to run.
if you prefer steam...
this one is a #259 locomotive with 607/ 608 passenger cars. again in C6 condition.
both these sets are very common and typically don't attract many collectors who usually pick up sets like this very early on in their collections or are themselves selling lower quality sets in favor of better condition or sets which include individual/ set boxes.
one thing to remember... condition does not typically refer to operation, only the cosmetics. it's not hard to guess most of the time... C4-5 pieces are usually going to require some major work whereas C6-7 pieces have a good chance of running after some general cleaning up, but never assume the best. this is one good part about a show. anyone selling should be able to check the operation and if they can't, you can almost be guaranteed it's a display piece.
good luck...gary