I'd get a second look, for that price you should be able to get new rebuilt engine installed, and have $$$ to spare. A valve Job should run $1200ish.

 

^ what he said

 

You should definitely get a second opinion.

An exhaust valve burning out in a single cylinder is not too rare for these, and could explain the oil loss as well. I suspect that the talk of a hole in a piston, shot rings and block damage is all a combination of scare tactics and them covering their butts. Sure, it's all possible, but nobody will know until the time is spent to disassemble it.

$2500 is a realistic offer for a dead-engine XT in a market that probably has a bunch of them. And $9-10k is also realistic for one in proper running condition when accompanied with a bunch of receipts and work orders detailing the who, what, where & when.

This thread tells the story of one of our members who bought a non-running XT with the same complaint yours faces. I wouldn't be surprised if yours went the same way. He chose to do the repairs himself- maybe you can gather some information to judge what it will cost you to pay a pro to do it.

 

I can't speak to the cost estimate because I just don't know if that's reasonable.

But a compression test will only tell you if there's a leak in a cylinder. It won't tell you if its rings, intake valve, exhaust valve, head gasket, or piston has a hole in it.

A leak down test WILL tell you all of that. Then they can give you a better idea of what it is.

Sounds to me like somebody's trying to scare the crap out of you. That way when it's less, hurray for you. Otherwise if it's the worst you're ready for it.

It sounds high to me. But maybe that is what that job is worth.

 

I guess in my stress over this..I neglected that I did get a second opinion from another independent Subaru mechanic (in Boulder, CO and supposedly, the largest number of Subaru's per square mile), who has a reputation for honesty and reasonable prices for work, as does the other independent. He corroborated the initial diagnosis, and told me the job was a total PITA, having done a few.

The recommendation to do the clutch and timing belt are because of mileage and one of those, "while we're in there and have it apart" scenarios. The timing belt was replaced at about 65K as dealer mechanic recommended it related to some extended warranty work had been in to do. The clutch is original, so I would expect replacing it would be worthwhile.

I did shop around a bit for a other vehicles (wife wanted to wash hands of it), and actually had a Subaru dealer offer me $5K if I bought a 2014 Limited (end of the month, you know? Gotta push inventory out the door and April is a sucky sales month with taxes due). Another Chrysler Dodge dealer had a 2012 VW Sportwagen that I I eyed and offered $6250 for the Subaru.

Putting 4-6K into it at this point doesn't seem worth it..and honestly, the Dodge sales people (supposedly largest Jeep dealer in U.S.) are not the sharpest tacks in the box. I hate giving up my XT, but all things mechanical and age considered, it may be time to let her go. I suspect too that there are other repair issues on the horizon...shocks, struts, tires, wheel bearings, etc...

On the other hand, I see similar XTs being offered in CO and Denver for $12K and above. Giving it up for $6K would essentially mean losing any equity I have enjoyed, provided it's not as serious as I've been led to believe... sucks to be me right now.

 

I think anyone would agree- mistake to put $6k into one of these. Even 4 would be kinda nuts. But $2-3k? You know you'd get out alive, based on sale prices.

If you can't satisfy yourself that it can be fixed for $3k, I'd take it back to that dodge dealer.

 

Where did you go in Boulder? Super rupair? They aren't cheap, but they will do a decent job.

Did you change the timing belt at 120k?

I think it does need a lot of work, maybe a new turbo soon as well. New clutch for sure. I agree, probably not worth it unless you are going to make it a project car to sell once done.

 

Yes...Super Rupair and then confirmed by Hoshi. Didn't change timing belt because it was changed by Subaru dealer in Glenwood at 65K, so figured it's good for a bit longer and was going to sell anyway.

I appreciate all the input... and generally agree that selling it for a low mileage VW Sportwagen (still on original manufacturer's warranty for another year or 18K) was a deal, especially when the Dodge dealer took my XT for $6250.

The Dodge salesman didn't know jack about the value of the VW Sportwagen (case in point: VW dealer two blocks down had almost identical car for 3K more, which is considered a "fair" value for Denver). Found out from the previous owner (obtained from VW Dealer who sold it originally) that they traded for a Jeep and got 18500K. Cheapest Sportwagen and lowest mileage comparable to anything in the Denver Metro area. Previous owner also told me that salespeople at the Dodge dealer were not the sharpest tacks in the box, and couldn't agree more (duh..."Dealin' Doug"). My out-the-door price (refused to pay "dealer prep" fee) on the Sportwagen was $20,100. My VW mechanic friend in Boulder checked it out thoroughly and he agreed it was a deal I shouldn't pass up, especially with the trade.

I commute a ton and to Denver/Fort Collins so the 40+ mpg was my attraction, and frankly, it's a **** of a lot more responsive and fun to drive that an Outback. Okay, I won't even be driving the VW off a curb without a thought like the Outback, that's for sure. But, for now, when I need to do that I'll do that with the wife's new Tahoe. At the end of the day, and much to my regret about losing that Turbo XT, it's the Dodge dealer's problem now...and i suspect that tense, grossly overweight, sweaty, and overanxious salesman (with supposedly 15 years in the biz) I "befriended" is getting his ass handed to him for taking the trade and making the deal he did. There is a kind of sweetness in playing dumb, and then putting the screws to them at the 11th hour. I mean seriously...I brought them a car that was lit up like Christmas tree right at the point of making the final handshake.

Yeah, my poor XT needed a lot of late life love, but when I considered the age, immediate repairs, and the future ones (shocks, struts, wheel bearings, possibly Turbo, on and on... ), I thank Chrysler Dodge for their greed and idiotic salesmen who are under pressure at the end of the month to make deals.

My XT won't be my last Subaru...however...on that I'm sure.

 

Dodge dealer with a VW trade? I wouldnt touch that with a 10ft pole. Take the Subaru upgrade and enjoy the non turbo easy wallet life. Get the 3.6 if you want power.

 

Congrats! Sorry to see you out of the XT but also glad you made it out alive.

The way I see it, you just bought 364 days/17,999 miles.

 

I was told that the No. 3 valve at 0-30% compression, and that likely the valve was burnt, rings spent and that all the valves should be replaced.

This grouping of words is not language used by experienced, reputable mechanics. You should seek another opinion or two. Best of luck.

 

probably just lost in translation, i doubt what he typed here is exactly what they said. cylinder #3 probably failed leak down or compression test.