Rebuilt '05 Outback w/ 200K worth $5,000?

[RegularDude]

Hi there,

I recently moved to Vermont, been looking to buy a Subaru, and happened to meet an independent mechanic who seems knowledgeable and honest.

He's rebuilding the motor on a 2005 Outback which is rust-free. He said the head gasket was leaking - but just a little bit. Could have been driven on for a while, but he's doing the repairs and replacing some other major parts in the motor which he seemed confident would give the car another 100,000 miles. Wish I knew what he was talking about when he explained all the work he's doing.

He's also taking care of any issues with the drivetrain and alignment. He said he's not sure whether he'll have to work on the rear alignment, but that he'd rather have the job done right and lose the sale over the $200 in extra repairs rather than let the car leave the shop with unresolved issues.

So I feel like I can trust this dude, and I'll be able to talk to him about maintenance and any future repairs. But 200,000 is a lot of miles. Is it reasonable to expect to get another 100K?

KBB says it'd be worth around $4,400 - but this isn't taking into account the new engine parts.

It'd be great to buy a used car that's already been gone through by a mechanic. I don't want to risk buying through Craigslist and ending up with a car with serious problems. Don't want to pay out the wazoo by going through a dealer. Feel like this my best bet. But I don't want to jump the gun and regret it later.

Opinions and things to consider?
Thanks

Edited June 26, 2014 by RegularDude

[john in KY]

Sounds like a good deal to me. My wagon has 260k miles on it and I expect to get 100k more. It is amazing how long a subaru will run if maintained. 

[heartless]

if the guy really is worth his salt, then yeah, sounds like a pretty fair deal.

 

I would hope that some of the other engine work he spoke of was new timing components, new water pump, and related parts.

 

If the work is done right, the car can easily get another 100K with good care & maintenance.

[mikec03]

I think it's reasonable to expect 50K, at which point you have your money back at 10c/mi.  And it might very well go to 100k if there is no serious rust on the frame, especially in the rear where the wheel support arms attach.

 

Things to check that often are going bad at 200K, that have happened to me:  struts [4], front ball joints, rusted rear brake lines, front cv joints [4] and steering boots [2]    

[AdventureSubaru]

As long as he's telling the truth, that's a very fair price. Our outback went 341,000 miles under our watch and is still driving today. My daily driver right now is at 280k.

 

Seen a few make it to 500k over the years.

 

Take care of the car and it will go and go.

Edited June 26, 2014 by AdventureSubaru

[idosubaru]

It's a good 100,000 mile candidate if:

 

1.  the exhaust and other stuff isn't terribly rusty, that'll get expensive quick.

2. the heads were resurfaced

3. quality head gaskets were used - Subaru, Cometic, or SixStar - maybe Fel Pro if they were MLS

4. a complete timing belt kit is installed:  New tensioner, all 3 pulleys replaced, and new belt.  The kits are only $115 on amazon so i imagine he's doing it all if he knows what's doing.

5.  Subaru coolant conditioner is added to the coolant - it's required by Subaru for that engine

 

Ideally all fluids are changed - transmission, front differential, brake, power steering

 

if that's all done properly then yes the engine should be good to go.

[RegularDude]

Thanks for all the advice.
 
Here's the checklist I've put together from a couple folks' feedback:
 
- Complete timing belt kit installed (New tensioner, all 3 pulleys replaced, and new belt)
- Quality head gaskets used (Subaru, Cometic, or SixStar)
- Heads resurfaced
- Subaru coolant conditioner added
- Water Pump Replaced
- Bushings and struts (end links, ball joints, tie rods) are in good condition
- Front CV joints  and steering boots
- Exhaust is rust-free
- Check for rust on the rear brake line
- Fluids replaced
- Check tire condition
- Hoses replaced
 
- Transmission history? Has it been replaced?
- Possible 12 month or other warranty?
 
 
-----
 
So this is where I'm at. I've never bought a used car before.  
 
I'm currently driving a 2000 Civic with 194,000 miles. It has been super reliable for me. Replaced the muffler twice, another piece of the exhaust once, and the distributor just went on me recently. Other than that, it's been really low maintenance. Kept putting off the timing belt change for whatever reason and now it doesn't seem worth it. Don't know if it was ever done.  
 
Part of me wants to see how long I can run the Civic, but the less reckless part of me wants a little more security... including the AWD for the winter. So I'm thinking about an Outback or a Forester, or possibly an Impreza hatchback.
 
I've got $4,000 set aside for another vehicle. I just moved and am working two part-time jobs, not taking in a whole lot of money, so I'm not really looking to take out any loans. I'm trying to get a career going in education, but wanted to relocate first, so that's where I'm at. Hoping to get a better job / financial situation by the fall.

I'm not super knowledgeable about cars, but have some general knowledge, and can diagnose and repair small problems if I can find an article, PDF or a youtube video about it.

I would really like to get a car with lower miles, but if I make that a priority, I think I'm going to have to expand my search to 150-200 miles, in which case it seems like I basically need to commit before I see the car. Going with a Subaru dealer seems like a too expensive option. A smaller, independent dealer might work out. Found an '05 Forester with 105,000 maybe three hours away that seems like a nice candidate.

Anyways I could use some advice on how to go about buying a used car. Since I don't really have the know how, know where to check for rust, what bad wear looks like and what's acceptable, etc, I don't feel like I can really assess a car's condition, other than a general impression.

I can go prepared with a checklist, or use it to assess a car ahead of time. Maybe I should go that route?

But ultimately, I feel like I'm just going to need to trust who I'm buying from.
And I found out today that this guy with the '05 Outback is a third generation mechanic who grew up in the shop. It is just him running the shop, although his father goes down occasionally. It just seems like it would be awesome to buy from him and support what he's doing.

Here are the options I'm considering:

- Drive the Civic into the ground, at which point I'll have to make a rushed purchase
- Scrape together the money for the '05 Outback through the local mechanic, make it quick and easy, hope it lasts
- Another option: he's working on an '03 Forester with 130,000 that he'll be selling for around $3,300. But it's got some rust issues that will need to be tended to in a few years.
- Assemble a checklist and widen my geographical search to look for a car with low miles. Possibly be prepared to buy at a distance based on information given to me by the seller. Seems risky, as I won't be near the seller, and it will be difficult to have it inspected by a mechanic before a purchase. Just seems like a headache to orchestrate - but maybe worth it.
- Try to cool it and not think about getting a new vehicle until I get a better job.

Thanks for reading and let me know what you think about my situation.

Edited July 2, 2014 by RegularDude

[idosubaru]

Making a non-rushed purchase makes things 100x easier.

 

You *can* get a better deal from private sales. All dealer and used car lots are simply trade-ins and auction vehicles - they know nothing about the vehicle or the most important question to know the answer to for a used car -  why the person is getting rid of it?  It doesn't take long to find out why someone is getting rid of it.  If it looks aged, well warn and not taken care of - move on.  If it's pristine, they're outgrowing it because of 4 kids, and he's a doctor just wanting to move on and get rid of the car - buy it.

 

Of course you need to have the personality to talk to, communicate well, and discern. Not everyone's cup of tea.

Who is more likely to trade something in...one that caused uneasiness or one that's perfectly running with zero issues?

I've got great deals picking a car up in front of a couples house.  The last thing a home owning family wants is to sell a vehicle with any hint of issues - they'd just trade it in and not deal with it.

 

I'd look for a rust free 00-04 model. The 05+ command higher prices and offer no more reliability or practicality. 

 

From experience the 00-04's are a little more reliable.  The tend to leak coolant externally which is easily remedied with a $2.50 bottle of conditioner from Subaru and they don't get bad as quick.  You can drive them 50,000+ miles once the headgasket starts leaking.  While possible with 05+ models their oil leaks can get worse quicker.  It would be a minor increase in reliability - but the point is the higher 05+ price points offer nothing in terms of reliability.

 

Rust makes owning a car a real debacle.  Bolts shear off, rear backing plates disintigrate, rear suspension creaks and can't be aligned without torching or carefully cutting bolts out and replace the inner arm and bolt, exhaust is hard to work on and expensive, caliper pins seize, all the hose clamps have to be cut off to be removed, radiator shroud bolts, radiator hold down bolts, washer fluid tank bolts, the air intake bolts on the front crossmember....all those bolts routinely shear off - multiple of those are all sheared off on all of my vehicles except the one i had shipped from CA.

 

All that to say - if you're adventurous - by from down south and you'll get a lot more miles and cheaper maintenance doing stuff yourself.

[idosubaru]

the best engine Subaru ever made is the 1990-1998 EJ22.  if you want low cost engine that REALLY EASY to drive 100,000 miles without much cost/maintenance then get one of those.  of course in my area they're very hard to come by in good condition without rust.  but if you can find one, they're amazing and you can get them cheap and run them forever.  very few issues and super-practical.  given your situation you might try and land in one of those and then wait a year or two to see where you're at for something else.

 

1996 and earlier are non-interference as well. doesn't really matter if you replace the complete timing belt kit - belt, tensioner, pulleys.