Prices are to some extent depend upon supply and demand. After hurricanes the price goes up exponentially. Sounds like you got a good deal.

In these parts $900. That leaving a two inches above ground, so you would have to have it ground down from there. Which is another 150.

Here almost half the price by professionals is to chip or take it away. If it’s a premium log they intend to sell it could differ.

Definitely depends on your area. $700 seems like a good deal for complete removal, assuming the guy is insured (which IMO is a must). That tree isn't huge, so it shouldn't be too difficult a job. We had a HUGE 60 foot tall pine tree taken out last year between my neighbor's fence and my house. The trunk was about 3 feet in diameter. My neighbor and I split the cost and each paid $1000, and that didn't include stump removal.

It seemed like a lot of money at the time, but once I saw what it took to remove it, I realized it was totally worth it. They had 4 guys working that tree for two days, and got it down without touching the fence that was right against it, or my house that was 10 feet away. We put a new roof on later that year, and it has been SO nice to not have to deal with all the needles, that tree holding moisture back there, and dropping limbs on my house. Even if I'd had to pay the whole $2k myself it would have been worth it.