I'm a newbie so bear w/me!

Apparently my 1992 740 non-turbo automatic trans Volvo wagon engine has expired. Horrible rod knock after my wife drove it for 20-40 miles w/the oil light on.

Sooo, it's new engine time, I think. et me explain a little. I bought the Volvo last winter 02-03 with 130,000 miles on it for $4500. Seemed like an okay deal, liked the car, my friend had one and it was a real "steady eddie". Not fast but I live where it's very flat so it was a good cruiser. I planned on giving it to my 15 year old daughter when she turned 16, you know the drill, safe, solid and all that, trans for her to dive to high school.

That's where I sit (and IT sits!) at the present time. I guess I could go used agin (buy another used Volvo), or go to Mannheim and buy an off-lease wagon (although I don't relish making car payments to the bank to pay for it) or put a used engine in this one. Or I could go "new"/rebuilt. I'm leaning that way, the car's in pretty good shape, no rust, everything works, interior leather is fine, great Alpine sound system (LOL).

What say you?

I need feedback from Volvo owners, not the general public.

I've got a decent mechanic so that's covered.

HELP!!!!!

BTW. I have some time on this decision, the car is stored safely and I have no immediate need for it, but I will in late 04.

Thanks in advance.

Rocker