I have an XR4TI, which has the same motor. They are strong motors with heavy iron blcks and cranks, and if it's the original turbo motor, it came with forged pistons from the factory. The heads do suck, but can be ported to make plenty of power, or you can step up to an Essy head or do a Volvo 16v head conversion if you're really hardcore. The motors can make 300hp with bolt-ons (stock long block) using stock (35 lbs.) injectors. There's plenty of support and aftermarket for the motor... check out Boport for some killer heads, cams, manifolds, etc. 400-500hp isn't unheard of with these motors on the stock short block too. It just takes the right turbo, the right head, the right cam, standalone management, the right tuning, the right... in other words, money. And SVOJohn, one of the better known and highly experienced tuners for these motors lives down in Ft. Myers. BTW, his SVO absolutely rips.

Now, when you go look at the car, see what ecu it's using... ideally it'll have one that says "PE" (the best stock ecu), though you might also see TE, PK___, LA___, or 8UA. Anything other than the PE, LA___, or 8UA, and you'll probably wanna upgrade (unless it's been Superchip'd).


Now as for whether you should hold out for a v8 car, that's a good and fair question. There is something addictive about a boosted 4 cyl (or any boosted motor for that matter), but if you are a V8 torque kinda guy, then hold out for a V8.