Should I keep my 300SE?

[Logan's Benz]

Hi, everyone. I'm a fairly new Mercedes owner. About 10 months ago, I bought a 1989 300SE from my old mechanic. He turned out to be less than truthful. Now I have my 18-year-old car, which I love, but is not in very good shape.

The car has 211,500 miles on it. It has been diagnosed (by the same mechanic who sold it to me -- did I mention I don't go to him anymore? ) as needing a complete transmission replacement. It burns oil, usually needing two or three extra quarts of oil in between 3,000 mile oil changes.

The RPMs seem too high to me. I've seen on this forum and I've also been told that it can be okay for the RPMs to stay this high, but it concerns me because the engine sounds like it's laboring, and the car didn't always run this hard at high speeds. As a rule of thumb, the RPMs are half my speed. So at 70 miles an hour, the needle stays firmly on 3,500, and I cannot hear the car shift. According to a couple of mechanics, it's lost fourth gear.

Apparently, it needs power steering repairs, too. I'm making sure the power steering fluid gets topped off regularly because according to my current mechanic, the power steering system leaks in several places. I've never actually seen it leak, but I know by the noise and the fluid level that it must be leaking at least marginally.

Now my car needs rear brake calipers very soon. It could also use some body work; the hood is somewhat dented, and the front chrome needs to be replaced.

Mainly, however, the body of the car and the interior are in great condition. The leather interior and premium sound system (not original to the car) could pass for brand new.

So should I keep it, trade it in, sell it for parts, donate it, or what?

No one seems to want it for private party sale. I'd like to make back at least part of the money I've put into this car -- the original purchase price, all the little repairs, etc. I hate to sell it to someone for parts and have get a pittance for it, when I know they can still make money off the car. It has a new fuel pump, new tires, that sound system, and, as far as I know, a good engine, beyond the transmission issues. I love the car, and I would gladly keep it for at least another year. But I don't want to put good money after bad. The high mileage concerns me after researching the car more. It's a beautiful car with a lot of potential, but I don't know if I have the time and money to give it the care it needs.

Thanks in advance for your suggestions! I need all the help I can get with this car.