I'll refrain from commenting on the non MB choices.

I've owned and driven each diesel series starting with a W115 220D, including 3 W123s, and 2 W124s.

We had an 87 300TD for 13 years, and have owned it's replacement, a 95 E320 wagon for eight.

You will find the W124 chassis wagons a nice upgrade from the W123 wagons. The only diesel choice is the 87 model year, and it's price reflects it's rarity. It's also at the beginning of the model run, and as such, doesn't have all the updates made over the ten year run.

All things considered, we're pretty happy with the 95 wagon. My wife misses the 'noise" from her TD, but otherwise it's a much more pleasant car all around. In town mileage suffers by comparison, but on the highway, the powerful M104 engine only lags by 4-5mpg.

The 94-95 wagons are bargains on the market right now, and many nice ones can still be had, but take your time, and find one that is in top shape, don't get seduced by a bargain, needy car.

Good luck,

Jim

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14 E250 BlueTEC black. 45k miles
95 E320 Cabriolet Emerald green 66k miles
94 E320 Cabriolet Emerald green 152k miles
85 300TD 4 spd man, euro bumpers and lights, 15" Pentas dark blue 274k miles