I have a 1981 VW Rabbit Diesel LS (1.6, 5-spd, "loaded"). GREAT CAR! We picked it up this summer along with another one (diesel L, 1.5, 4-spd), for the whopping price of $1,000 for the pair. The L received an overhaul (head milled, head gasket, waterpump, timing belt, timed injector pump) and was sold on eBay for almost $4,000. I would never have gone to the dealer...my kid did the work! He's an extremely good VW water-cooled mechanic and commented that anyone who wants a diesel Rabbit or Caddy (truck) needs to have a good knowledge of the workings of these cars.
The LS has been driven constantly and has no troubles at all...at over 147,000 miles. Both the cars sat for 7 years when we found them and both started up after a battery charge and we drove them home.
The car is fussy when it's cold...she's jut telling me she deserves a heated garage