Is this a good guitar setup?

That's not a good setup, nor are those good pickups. I would search for a used Fender strat. Stay away from Squier. Sure some are ok, but none of them are anything special, and a used Fender will retain its value. I would search for a used MIM Fender strat. MIM stands for Made in Mexico. Or, you can try and find a used MIJ (made in Japan) Fender strat. You won't need to swap out the pickups on these either.