For the Tranny Experts

[Astroman]

Hi guys, I've inherited a 1981 300SD (252,000 miles, yes I'm applying for a mileage badge) from Grandma and have spent the last couple of weeks going blind from reading through the forums here and elsewhere, then working on getting the car in shape. Here's the question. When I got the car the 1-2 shift was brutal, as in barking the tires every time. After straightening out, and sealing up all the vacuum lines and checking that the modulator is getting good vacuum, (which was zero before, now about 7in) but not touching any adjustments, it still bites pretty hard going from first to second but almost flares a little going into the higher gears. I'm pretty well versed now on the possible adjustments, so any suggestions? My local indy mechanic says "that's how they are supposed to shift", which can't be right. Short of spending more than the value of the car I want it all working right.