The small-frame S&W .32 revolvers were popular in the first half of the 20th century. The company produced nearly half a million of these over the 40 years before WW II. The gun you describe is called a .32 Hand Ejector Model of 1903, Second Change. About 44,000 of this particular variety were produced. Based on the serial number, it was probably shipped in 1907 or 1908.
These guns aren't exactly rare, but then you don't see them on every consignment shelf of every gun store, either. Value depends on condition. The best condition specimens of this model, if they have the original box, might bring close to $1000 at auction. Without the box and in just good condition, maybe $300.
Without photos or a hands-on inspection, it's hard to make an estimate of condition.
If the gun is shootable, don't use modern ammunition in it. [Ignore this sentence. I have no idea what I meant when I wrote it nearly four years ago. Of course you can use modern ammo in a prewar .32 HE.]
First post, I see. Welcome to the forum.