Thanks Teletech - the above was very useful!
I am adding a couple of closer pictures of the long barrel. It definitely has some rust issues on the high points - my hypothesis is that the long barrel may have sat in a leather holster for while and this has caused cosmetic issues. This is no better than Fair.
In your (an any others) view, is this a useful barrel (shooting wise), or do you see any potential compromises to it?
The shorter barrel and the frame / slide look in much better VG condition which I do not mind, as I do intent on shooting it.
I do NOT have have a model 41, I have model 422 and 2213 (very different guns - I know they are not comparable due to very different designs), but I also have two High Standards (S101 Supermatic and 107 Trophy) and two Belgium made Brownings, in addition to a handful of K-22s / 17s / 617s / DWAs, Colt Woodsman 1st Series, and a Ruger MK II heavy barrel. I LOVE shooting them all, and was thinking of using the long barrel of the 46 as the 'shooter' (even put a red dot on it since it has the rails already) while preserving the 5 inch barrel as 'the collectible' barrel - this way I get to 'shoot it and collect it' in one gun. Otherwise I will have to get two (as I do with many other S&Ws) - an excellent condition 'collector' and a nice (G-VG) shooter.
I will still like to get a very nice early 41 as a collector piece when the right one comes closeby (so I can inspect in person)...
Thanks again everyone for weighing in!
I love the field barrel for a field gun, but it's also true the 7" guns are usually more accurate and reliable. You could mount a dot and if your discipline benefits from faster sight acquisition then it's a win, but with a gun that might shoot .3" groups at 25yds, a magnified optic isn't a bad thing to have to help you put a smile on your face.
Having two barrels means double the chance to get one that really shoots. I've been keeping the most accurate barrels for a while now and my very best is also cosmetically-challenged from some flux or something getting on the finish. Would I like it to be prettier, well sure, but not at the expense of the lovely accuracy this particular barrel provides. With irons the 7" does give some additional sight radius and also the extra mass out front helps with rapid fire and steadying the weapon. The bottom line is the 5" is very cool and handy, but the 7" will almost surely outshoot it every day of the week.
I was spoiled early and didn't know it. An old marine Captain (RIP Gunny) sold me his personal 46 when I was too young to know just how good a gun it was, I then proceeded to try perhaps a dozen other .22 target pistols, including some rather more expensive guns, before ending up right where I began with the 41/46.
Some were more reliable and a few were even more accurate (with expensive ammo, my 41 loves Federal Automatch), but none made me smile more on a good day behind the trigger or felt like they covered for me on the not so good days.
Pretty 7" barrel for a 41 is $300+, Pretty 5" is at least $450, 46 is rarer but you don't have condition on your side. Even so, it's worth $100 for me to try the ugliest 46 barrel in the world if it looks like it might shoot well and really I don't think you could put me off for under $200. In fact, as long as it's not cracked or obviously mangled (apart from the rail), consider that a firm offer.

I know there are several here who have been collecting for decades longer than me or are just really lucky, but to me it's a run-don't-walk sort of buy. If you just have to, you can always offer $50-100 less just for the look of the thing so the LGS doesn't feel bad about selling too cheaply.