Huge turning circle, limited rear seat head room, underpowered compared
to the competition. Someone on this ng described it as a triumph of
style over substance. Here in Australia a 2-year old S60 is worth less
than 50% of the new price, that's not a good sign (there's a bit of
currency fluctuation in that but it didn't affect BMW or Mercedes).

Quite happy with mine. It does all things pretty well. Very
comfortable and safe, it's been very reliable, I like the looks.
I have the 2.4, which is economical, but wish it had more power.
And I wish it were rear wheel drive, or all-wheel with a bias
toward the rear.

If the depreciation is a problem, buy yours used to get on the
right side of the trade. That's what I did.

That said, when I replace the car, it probably won't be with
another one. I would like something a bit racier, and with a
tighter turning circle. The BMW's styling does nothing for me. I
might also sell my van and go with an SUV and a sports car, to
cover both bases.

p.

I have a 2001 2.4 S60 that I bought new.  The problems I've had are
headlight bulbs replaced several times, a warped rear rotor, door lock
acutators replaced, front tie rod links replaced - all of these in the first
20k miles (now have ~50k).  City mileage is about 22mpg. highway is
32-33mpg - on regular, not premium gasoline.  There is little rear leg room
behind me as a driver (I'm over 6' tall); the turning radius is a bit large
(much more than my wife's CLK), it is a bit underpowered.  Would I buy
another?  Yes, but with more power and all-wheel drive.

CP

Hope this helps you with your decision:

We own an S60 and a Z4 and most of my comments will be derived from the
comparison between the two as well as between the S60 and the other
vehicles we considered at the time of purchase. We shopped for the
following other vehicles: Mercedes C, BMW 325, Audi A4, Lexus GS, Saab
95/93, Acura TL, VW Passat and Toyota Avalon.
I test-drove and read about competing vehicles for many months before we
made up our minds. I would make the same choice now, after 6 months of
ownership.

I'll start with the cons:
Turning circle is ridiculously large. The Toyota Avalon for instance,
despite being a larger vehicle, turns a lot tighter (hell, even the XC90
turns tighter).
Initial quality is good but not phenomenal (had a deffective seat
heating module in the first few months, a very hard to diagnose defect).
Also had a deffective gasket somewhere around the muffler. Both issues
fixed by the dealer promptly. In Volvo's defense, the initial quality of
my BMW hasn't been any better.
Tight back seats (but very comfortable). There's little leg room in the
back. If you're tall and will often have adults in the back seat, this
is not a good car for you. Again, to Volvo's defense, the rear leg room
is no better in the new 3-Series, A4 or the C Class (we test-drove those
extensively before we decided for the Volvo).
The gas mileage of the turbo engines is not exactly what the EPA says.
Our 2.5T only reaches the stated 30 mpg in flat freeway cruising at max
65 mph. Disengage cruise control and step on it and you'll see your
freeway mileage hover around 21. Compared to this, my BMW gets exactly
what the EPA says, even with sprited driving.

Now the pros:
Comfort.
Nothing, and I mean nothing, comes close to the comfort of Volvo seats.
From the cars we tested the Mercedes came in as a distant second.
Excellent impact ratings.
While some newer cars (notably the A4) get marginally better front
impact ratings, Volvos will literally save your neck if you happen to be
hit from behind. In this area there's no comparison between the S60 and
anything else in this class.
Styling (subjective).
Put an S60 next to a Mercedes or BMW and the clarity of S60's design
language will be very obvious (it was for me).
Cost.
Way cheaper than an equally-equipped BMW 3, C Class or A4.
Good performance.
As long as you don't forget that Volvos are meant to be elegant
cruisers, you will be pleasantly surprised with the handling and
performance. This becomes less impressive when you compare it to the
likes of Acura TL or BMW 330 (my s60 runs laps around the 325 and the
C-Class though). The suspension tuning makes for a very comfortable and
sporty-enough ride (certainly not floaty like the Toyotas). I'd say the
S60 is a nicely balanced car from a handling vs. comfort standpoint.
Dealer experience.
Volvo is still a premium brand, therefore the dealer experience will be
good. If you like courteous service and don't care for rubbing elbows
with pimped-up Civic owners, Volvo is a good choice. With an S60 you
inch toward the high end of the brand whereas with say a 3 Series you
are rather at the entry level. Dealership personnel tend to have a
somewhat dismissive attitude with the "small fish" at times. While I
always received good service from both, I certainly felt a lot less
"superiority" oozing out of the Volvo people compared to the BMW guys.
European delivery with serious incentives.
(Both BMW and Mercedes have these programs as well) This may not be your
thing but the option to take a trip to Europe (with free airfare for 2)
is a very nice thing. We couldn't do it with our S60 because of the
tight schedule but will certainly try it with the next vehicle.

Good luck with your choice/purchase!
(boy, this ended up being a much longer post than i originally intended:) )

This all good stuff .... thank you guys (and girls?)

I intend to spend approx £11000 Sterling on my next car, used of course.
I have narrowed it down to the S60 and SAAB 9-3

Dismissed the Beemer 3 series, more of those on the roads here than Ford
Mondeos these days!!
C Class reliability is a serious issue ... I know 3 owners, all with stories
to tell  :-s

Nothing much else takes my fancy ...

Audi            Bland
Honda         Fuddy Duddy image
Ford            Residuals
Vauxhall       Even more bland
Same goes for all of the Japanese options also

I want a comfortable, reliable stylish motor .... only two really fall into
that category for me.
I have driven the 9-3 (1.8t) and S60 2.0T

The 9-3 is a sportier drive, definitely, and also has the edge with economy,
like for like.
The Volvo however is far more stylish and oh so amazingly comfortable (kids
in rear ... occasional adults)

Kids preferred the 9-3, I'm still undecided.
I have learned a lot about the 9-3 SS in the months I've been researching,
so am aware of the very few issues with them. I know little about Volvo's
though. On a learning curve right now, although it seems there is little to
'learn' in honesty.

Please continue to add your tuppence (2 cents) worth, it's all useful

Thanks again