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the entire engineering team got fired for the first gen touareg's. Youll have at least at one point where the grounds under the drivers seat corrode from the water intrusion and give you a headache but its not too bad of a fix. They're hard on tires and brakes, and a handful of those valve bodies are problematic, and its probably the worst location for an oil filter of any of the VAG cars but other than that not a bad truck!
Don't just walk away... run. They are super nice to drive, but are truly terrible to work on. I've seen a fair number of these get junked because the repairs were to costly to justify due to the cost of just replacing the vehicle. I wouldn't touch one with a ten foot pole.
Your last suggestion is probably the best. Also depending on your budget, look at some Subaru Legacy GT's.. Really nice wagons.
This. Best decision I made last year was to ditch my Passat for the Acura. Then I went to ditch the Acura for another Volvo and immediately regretted it. Just watch for head gaskets on the Subarus, that's the only major thing I'm aware of with some of the 4 cylinder models. Pretty sure the 6 cylinders don't have any of those issues.
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