I've got one just like that. Had it for 6 months, it's still working well.
I've found it handy for cutting small bits of metal, writing on aluminium and wood, grinding edges of metal to remove rough edges. For guitar building, used it to make fret markers in the side of a neck. The little diamond coated bits are useful.
Haven't used the buffing attachments, they seemed too small.
I also got the Dremel brand plunge router thing. It is compatible, seems to work, but I've not actually found anything I need to use it for yet.
The flexible extension is a must IMHO. The unit is a bit unwealdy to use by itself, I just have it hanging and use the flexible extension all the time now. Bunnings has two or three kits at different prices, I would make sure you are getting the one with the flexible cable.
I've had one for about a year and used it both appropriately and otherwise.
Certainly good for making quick work in headstock shaping.
I used to have the cordless 'hobby' Dremel. Used it once and left it sitting in it's charge cradle.
Some 6 months later attempted to use it again and it was D.O.A.
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