I've been in the market for a used Volvo for quite awhile, and I came across two that I've been looking at. I found a 1991 740 with over 200k, which needed new tires and a timing belt ASAP. When the dealer renegotiated and refused to throw in new tires for a total price of $2000, I walked away. I found a '94 945 non-turbo with 130,000 miles, great condition, stamped service books, newish timing belt, new tires and brakes for $4750. No sunroof, no leather, and the hydraulics on the lift gate are long gone. I have a few questions. The dealer is being very pushy and I'm having a hard time getting him to let me bring it to my mechanic. Even now, he's insisting on going with me, so I'd like to know what to look for and ask about. The car makes a strange grinding noise that can only be heard from the rear seat - the dealer claims this is evidence the car needs a new rear seal, which he would fix for free, but it sounds like it's coming from the drivetrain. Would the rear seal affect it? Also, the power steering feels iffy while making sharp turns - similar to the "morning sickness" found on older Saabs. The tailpipe looks rather odd, unlike any I've seen on a Volvo. It comes out further under the bumper, and looks sort of like a metal version of a flexible vaccuum hose. Any hints or ideas? Does this sound like a good deal? Repairable?

Thanks so much! My parents' twin 850s will enjoy having their new sibling in the driveway if I decide to go ahead with this.