I bought my 88 Formula for $2000. It has a 305TPI auto LB9 with 120,000mi. The engine needs repairs that can cost as much as 1500. But an entire rebuild would cost 2,500. How much would an engine rebuild add to the total value to the car? What happens to the mileage? It must be considered much less. I was just trying to get some opinions because I know 3rd gens don't sell for that much but it would kill me to declare the car dead. I also dont want to invest in costly repairs if the engine's days are numbered. I am new to these dilemas, so any advice would be apreciated.

 

i'd say a rebuild adds next to nothing to resale value. if you went wioth a crate engine that had some sort of warrenty then it could or should add to the resale value.

 

Well, I wouldnt say it adds "nothing"...but it doesn't increase the value of the car by the cost of the rebuild. Retail values on cars assume they have a properly functioning engine in good working order. You lose value if you don't, but you don't gain a whole lot if you do. Maybe another 500?

 

If you have the receipt and a warranty to accompany the engine rebuild, there's some negotiable value.

If you just say the engine was rebuilt, no warranty, some knuckle-dragging chimp could have done the work and frankly it reduces the value.

 

:sillylol:
thats what i think when someone tells me the motor has just been "rebuilt".