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Basically you are looking at new Swedish GMs vs. new Swedish Fords :)
If the hard 1-2 shift isn't TOO hard (slamming) then keep driving. The problem CAN be fixed with the transmission in the car, but any work with the valve body is a pain in the backside and should be tackled with the car on a lift, or WELL elevated. It is a valve body issue, but not one that will probably ruin your trans immediately.
The harsh 1-2 is a common problem in the AW71 transmissions. Some start that behavior at 30,000 miles. Don't ask me why. Others never have the problem.
If you decide to replace the transmission, the used AW71 is usually the way to go. You can easily exchange the later transmissions for the earlier ones. That isn't a problem, unless the car has a mechanical speedometer pickup. I don't work on much product earlier than 1986 (virtually none) so I don't know offhand if that's the case.
That would be the main concern. If the speedo pickup is in the rear axle, then you can switch in a 1995 AW71 if you can find one.
The thing that really cinches the deal with used transmissions is, 1) they don't die much, especially the AW71, and 2) you can buy several used ones for the price of one rebuild. And have them installed. So if you only have to swap one transmission, you're way ahead of the $2000+ price tag for a rebuild that could die also. It's a gamble, but one you can hardly lose on.
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Chris Herbst
1992 745, 68k
And others:
93 944, 150k
90 245, 110k
88 744, 160k
87 245, 185k
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