I have three Apple Watches (Gen 1, if the nomenclature isn't clear) and one Apple Watch Series 2. I wear them based on color and switch the bands to suit my particular mood. I have one AW and the AWS2 in gold aluminum so I wear the AW as I haven't had need of having GPS on the Watch.
There are no issues for me using the AWs with watchOS 3 (a proverbial game changer). Apps that reside on the Watch and not on the phone open reasonably quickly, but not fast. My S2 is faster, but still not quick.
Right now I need a silver aluminum Watch, so it'll be an S1, not S2. If I ran across a deal for an AW in great shape (pristine!) for $100 I wouldn't hesitate.
Target currently has AWS1s on sale for $199 for 38mm and $229 for 42mm. (Oddly enough, is selling Apple Watches for $279!)