I don't know much about the V40. There's a ton of collective experience here with the 850's and V70's, but not quite as much with the newer models. There's always the fears that may or may not be well founded or even rational. One common example is that a turbo makes the car more complex, hence there's something more to break. Well having read this board for 8 years, I've seen very very few turbo problems -mostly small oil leaks, and they certainly don't give out after x # of miles.
Do you really like your cars, or do you go for A to B transportation? After owning Volvos I have a bias against Japanese and even some German cars. If you're noticing the seats, then maybe it does carry over to the rest of the car. How do the test drives compare? Is it only a reliability competition? Yes, Volvos have some foibles, but your comfort and enjoyment are likely to outweigh the downsides. A quick look at the 40 series forum doesn't look so bad. Are there disgusted people jumping ship? Remember, you do have certain advantages on the plus side -good mileage, good safety, good longevity (we assume), good quality. What are the attributes of the Honda? Which car has more plastic? One last thing, when you drive the Honda does it roll way too fast in gear at idle?
--
'97 855na, Mobil 1, K&N, various IPD's and eBay's