About the same symptoms as mine Don. I assume this unit has the fan mounted such that the motor is vertical and mounted at the top. On mine, (in the attic) it sounded like it was running but noisy and smelled hot. Actually just barely turning and growling as it turned. Failed thrust bearing on the shaft end, allowing about 3/8" axial movement in the blower wheel. Would turn with some resistance, and didn't coast like it should.
Changing the motor is easy as long as you don't run into the problem I described above (a rare thing). Most aggravating part is sliding the fan assembly out of the little rails where it mounts as there's a lack of clearance between the assembly and the evaporator coil. Cover the coil face with a couple layers of cardboard to protect it as you remove and replace the fan assy. About a 2 hr job overall including re-wire, etc. Adding an hour for travel, parts plus markup, etc, about half of their quote would be a fair and profitable price.
The residential HVAC repair business is polluted with a bunch of characters who'd make used car peddlers look like bastions of honesty. A couple months ago I fixed a unit for a friend. Gas furnace plus a/c. He'd called the original installer for service (new house bought in 98). They charged him $300 for 2# of R-22 (current cost $10/lb) plus $250 labor for 1.5 hrs on site and about 15 miles total travel.
They told him the evaporator coil had several leaks and was at the end of its life. Also said the heat exchanger in the furnace was bad, and dangerous, so the entire system should be replaced. So they send a sales dork by later that day who quotes $10,000 to replace the system. Took me less than 5 minutes to find the actual leak. Dirty joint made with soft solder on a refrigerant line where silphos should have been used. Since it was already soft soldered, I cleaned it and repaired with Sta Brite #8 silver bearing soft solder. Pumped the condensing unit down prior to taking the refrigerant line loose to clean, so we didn't lose any gas to speak of. Had to add about 2# of gas to account for what had leaked since the prior "service". Checked the furnace, and the heat exchanger looks like new. Took about 2 hours total.
Obviously, the whole attempt to sell a new system was a lie. But, if it did need replacement, I can buy the furnace and outdoor unit for about $2200. Add another $300 for miscellaneous materials, truck expense, etc, and, based on their $10,000 quote, I could clear $7500 in a day and a half tops, with a helper who knows nothing more than how to carry stuff and pick up after me as I work. Totally warped pricing that seemed to come about during the housing bubble, and has not abated since.