that's my utility compressor in the garage for tires, etc. i'd only use that sucker on an emergency basis for engraving for two reasons: my GRS GraverMax would be pushing its capacity and as you noted, it's LOUD. you can often find package deals with a compressor and 15g finish nailer for around $200 or less, if you have a use for the other tool.
If you have time it can be worth looking for used equipment.
I picked up a Silentaire very cheaply that way and like it.
I keep a larger, louder unit elsewhere for automotive work.
I think you'd find the noise level of such a compressor obnoxious requiring it to be remotely located which would become a lot of hassle counteracting the small size.
Jeremy