Faults:

No major faults in the year of ownership I enjoyed before writing it off.

Alternator failed. Cheap and easy to access replacement ($300).

There were of course consumables to be replaced, which is expected. Brake rotors/pads and timing belt were due for replacement when purchasing vehicle.

General Comments:

The B23E engine, with continuous fuel injection, in the 240 is fantastic! With the standard exhaust (and with probably a few imperceptible leaks) it is raughty and characterful. Unlike the sound of many modern day 4 cylinder cars. It has strong mid-range performance and puts out 100~102kW (134-136hp) peak, which was very similar to the Mercedes 230E W124 of the day. Still acceptable performance.

3 speed transmission shifted smooth and reliably, but limited set of ratios means 1st seems too tall (slow initial response) and 3rd a little short (not entirely relaxed at highway speeds). This was rectified for MY1984 vehicles and later with either overdrive or an extra ratio.

Fuel consumption by today's standards is generally average to poor with the B23E. It requires 97 Octane Fuel. Latter B230F engines (in later models and/or different market) could facilitate better fuel economy and did not require premium fuel.

Steering was lacking in feel, light and power assisted. Handling was predictable and grippy until you hit the limit. The RWD setup inspires confidence. The car felt almost agile in hasty urban dashes.

GLE (or GLT in N. America & Europe) trim is definitely the pick. Power windows, and gauges, with distinctive 15" Virgo rims make the GLE stick out from the bland 240 GL, DL counterparts. The GLE's black trim and grille in place of the sickeningly gaudy GL chrome gives the car a more timeless look.

Comfortable interior with good space for driver and front passenger. Back seat has average space ideally seating only 2 adults. Boot space moderate.

Faults:

New clutch.

Drivers door handle.

Rebuilt gearbox.

Starter motor.

Flame trap.

Fuel pump.

Over 7 years that's not bad.

General Comments:

I got this car with 450000 kms on it for $500, and found a good pair of Tasco binoculars in it, worth about $200, so it was an awesome deal.

This would have to be the best car I've ever owned. It's still on original engine, which hasn't even been rebuilt.

Its not the fastest car in the world, but it's fun. The five speed works nicely, and gives good power, keeping the revs around 5000.

I added stiffer springs and sway bars to it, and they help it handle a lot better. It corners better than my VE Commodore work car.

Uses a fair amount of fuel; about 16 ltrs per 100 kms when driven sort of slowly, but plant it on every start and rev it right out, and it drinks over 20 ltrs per 100 kms.

Faults:

Something in transmission is chipped, causes huge clunks at random. Gearbox would need replacing to fix this.

Intermittent setting on windscreen wipers never worked.

Tyres have a habit of falling off the rims when maneuvering to avoid accidents (has happened 4 times so far).

Rear seat belts do not retract properly.

Engine takes almost 2 minutes of cranking and throttling to start on cold days.

Idles very, very rough, even after tune-up.

Numerous interior plastics are simply falling apart.

Driver's seat foam/springs collapsed.

Driver's seat lumbar support collapsed.

Electric antenna no longer goes up and down.

Glove box latch broke, unable to open.

Hood release mechanism faulty, takes a lot of effort to open and extremely difficult to close.

Car will not run with less than a half-full petrol tank, runs rough for a while and then starts to cut out.

Large clunking noises from rear of car when starting/stopping/turning.

General Comments:

For a Volvo at 165, 000kms, this car is pretty much just run-in - and a real disappointment.

Ride quality is terrible, it shudders and jumps over the slightest imperfections on the road. Passengers absorb every bump, not the suspension.

It really goes when pushed, it can hose almost any other car built in the 1980s including a few V8s. It handles nicely, only gets upset through corners when you throttle or brake much too hard. A really fun car in the wet. Revs out to 8000rpm, although redline is at 7000 - screams like a banshee after 4000rpm and really takes off!

Lots of interior space for such a small car (240s look big, but they're really not that much bigger than 3-series BMWs).

Comfy seats all round, apart from driver's seat which has worn out.

Overall, could be a nice car if built to last, and suspension is the worst I've ever seen in a car. Just a big disappointment really, the shiny, expensive-looking exterior hides a very badly built vehicle.