Engine advice needed

[ktmrider]

Well, long story shorter the GS is back in my driveway after spending the last 4 years with my brother.
She blows a ton of oil smoke in the morning, leaks oil from the VC like crazy, and has 162k very hard miles on the motor. Not sure if the rings are toast either but a compression and leakdown test is in the works.
So, what would you do? Pop the heads and do a quickie rebuild if leakdown looks good or just find another K8 or maybe DE to drop in?
Today the plan is to try and sell the car. However with resale prices as low as they appear I fear I would not recover much if any money put into fixing it. BTW I am a pretty capable wrench so no outsourcing and the car is in "decent" condition, ie college commuter or the like.
Thanks for any input folks!

[EggyRollz]

Drop a millenia motor in it and enjoy.

[fowljesse]

It depends on what you want from it, and how much you have to spend. 1 end of the spectrum; You can replace the VC gaskets, of course, and run it until it gives up completely. The other end is; spend all you have, and make it really quick, and fun. Somewhere in the middle is dropping in a stock low mileage DE. If you have time, you can meticulously rebuild a dead DE, and get a good amount of power, and reliability.

[ktmrider]

Thanks for the input folks!
Money is not a problem, I just wouldn't want to drop 2k on it then only get 1k when selling.
A bit of background, I got the car free from a relative. Put about $400 in belts, water pump, gaskets, etc. Brother was in a bad way, he drove it to/from work the last 3 years. Replaced the VC gasket about 1 year ago, still pumping out like crazy which makes me wonder about the PCV and/or rings pressurizing the motor. Thinking of doing some basic head work ( seals, gaskets, lap valves ) then seeing how it runs afterward. Might find another needy person/friend, sell, or even make it a LeMons car and have fun in that arena.
Another question, how solid is the bottom end/short block? Like mentioned a compression test will tell me more but I'll take the easy button answer...

[fowljesse]

The bottom end is really solid. It was co-designed by Porsche.
Unfortunately, no matter what you do to it, they sell for about $2K-$3K in good shape. The money you put into it is for your own enjoyment. I haven't put alot of $ into my car, but alot of time. I would not recover the cost of my labor, but for every day that I drive it, it's totally worth it. I consider it therapy cost. When I'm stressed, nothing makes me feel better than driving like a maniac through the mountains, or racing Autocross, and such.. even just cruising, listening to music. Also, it feels pretty good to have people who spent up to 10 times what I have check out my car, and try to figure out what it is.
The only time you might get back what you put into a car is when you restore a classic, and that's not a sure thing.
If you just want to spend a little bit, I'd recommend the DE, with a rebuild, or find a low mileage DE. Valve jobs don't do much for our K engines, especially stock, but a bit of porting, port matching, deshrouding, and polishing does.

[Daninski]

Almost sounds like the valve seals are shot. If it smokes when you start it it's definitely valve seals. Check compression and if it's ok install new valve seals and vavle cover gaskets and be on your way.

[ktmrider]

I hear ya FJ, I'll take a wrench in my hand over the TV remote anytime.
I also enjoy motorsports, dirt bikes by my screen name plus automobiles. My DD is a modded 05 Legacy GT and the car my brother is using is a 91 Mitsu Galant VR4 ( 86/2000 ).
So I don't need another play car ( LGT pulls double duty ) and with my affinity for forced induction the MX-3 has become my "get it out of the driveway" project of the month.
I'm not looking to turn a profit on the Mazzie, just make it stop smoking and pushing so much oil. The old saying, "Fill up the oil and check the gas" applies very well right now LOL. So if the bottom end is fairly stout my plan is to yank the heads, replace the stem seals, hand lap the valves, and pop some new gaskets on. The water pump and timing components were replaced by me about 40k ago so should be fine. Also the clutch and tranny were replaced at the same time as the TB stuff. It does need CV joints in a bad way too, next project if/when the engine goes off its oil diet.
Thanks again folks, keep the comments coming!

[Tollis]

Step one: Get a KLZE from Japan
Step two: Take out that Little K8
Step three: Put your KLZE in that thing
Step four: Buy some new boxers
Step five: Turn the key
Step six: Clench your cheeks to minimize damage
Final step: Go change them underpanties