For $1000, you can do a rather thorough job "while you're in there".

Figure around $600 for the head if you find that it needs a valve job. There are some simple tests in the garage you can do to help make an educated guess on this. But at that mileage it may be in your best interest to rebuild the head while its off.

I agree with 97sl320, this head design is not prone to wear out valve guides excessively and the valve stems seals are definitely in order. I am quite certain you could do a really simple home-based repair without any shop work - if the head is flat and the engine has been well maintained. The engine will work just fine without a head rebuild. It all depends on your standards, what you want out of the vehicle, and your budget.

You have a budget that will allow you to rebuild the head and tackle many maintenance items along the way.

It is more than likely that you need a new headgasket. Above all, at this mileage, it is time to replace it, even if the valve stem seals are the source of the oil leak. This is a common task for these engines.

Start looking at all the stuff on the front of the engine. Vacuum pump, belt tensioner, injectors, water pump, hoses, lifters (buckets, tappets)

What history do you have of the vehicle?

What is the state of all those parts?


Its more likely that you will familiarize yourself with these items as you go along... not a bunch of us yelling out random failures we've all experienced. You are the only one with access to the car, you will have to make that call.

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