I also used to own a 1994 Volvo 960. These cars were rear wheel drive versus the front wheel drive of the current models and therefore I enjoyed the handling better than the FWD. However, all Volvos drive like Volvos and not like a Mercedes.
I also had my share of issues with this make and I really got tired of visiting my mechanic. Hope you have better luck with yours but I do not plan on buying another one even if the Mercedes is more expensive.