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If you want to replace your 240 (why?! If it runs and in good shape - keep it), get a late model (like 1993) 940. You'll get the familiar mechanicals and many of the 240's design problems are solved (easy heater blower replacement :)). My wife used to have a 240 that we both loved. She got into an accident in it (walked away along with our two kids) and it was totalled. We replaced it with a '93 940 wagon and are very happy with it. Not a speed demon by any stretch (actually quite a bit slower than a 240 because of extra weight), but a great car! And all that room! Ours has a third seat, which makes it that much more useful.
I am happy with my '98 S70 (non-AWD), but the newer generation of Volvo's don't have that distinct Volvo feel IMHO. They are very nice, perhaps even nicer than the '98 in terms of road noise and handling, but they are rather generic. I know I will get a lot of flack for this, but the current generation of Volvos are not that different from any other luxury brand (Lexus, etc.). It is not a bad thing necessarily, just the way the market forces are acting. Again, I liked driving them, but I also liked driving a Lexus. I feel the 850-based cars (up to 2001, I believe) were the last ones with the unique feel to them.
Good luck.
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Vladimir. '98 S70 base, 5-speed manual - his, '93 945 - hers,
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