Brakes need to be replaced? - Really though?

Hello everyone!

I have a question about the front brakes of my DL650 which i just picked up about a month or so ago. I have looked here and there about an issue like this but I have come up short.

Anyhow, it all started shortly after I bought the bike. I was beginning to hear a faint grinding sound coming from the front of the bike. I looked at the brakes, everything I thought checked out. It has beginning to get a touch louder (loud as in, I can hear the grinding when driving on the HWY) so I took the calliper off and again, felt as if they are doing ok. The performance hasn't changed as far as I can tell but I have noticed that perhaps the brakes seem as though they are sticking a touch… if that makes sense.

When I lift up the front of the bike and spin the tire, the sound is defiantly coming from the pads. Moreover, the sound 'seems' as if it's coming from the inside pad (the pad that is butt up to the inside of the rotors). So, my question is, judging by the pictures here, are my pads ready to be replaced? If not, then whats going on with the grinding sound? If so, I would assume that the grinding would go away once the pads have been replaced, but why though? I am not too sure why brakes would sound as if they are grinding just because they are a little low I mean, maybe once the brakes were applied, but not when the the brake is not applied.

Anyhow, any ideas would be really appreciated.
Thanks for the time in reading this fellow 650 riders!
Have a good one.
Grant.