A fine car. Comfy, functional, powerful, attractive, high quality, safe, and nearly a bargain compared with other "wagons". It replaced my wife's 1996 850 wagon- which I never liked-- and we bought it with European delivery for about $40k (with climate, convenience, incl taxes and license). We put about 3k mi on it in Europe and averaged, according to the display, 24.4 mi/gal. (But $140 fill ups are very painful). The mpg was a pleasant surprise considering the EPA rating (22 mpg hwy) and some of the reviews. Effortless cruising at 200 kph on the Autobahn. Overall, almost as impressive as my BMW 335i E92 but they're much different beasts.
Volvo has read my mind- all my "issues" with my 2008 standard XC70 have been completely corrected in the 2011 T6 model. It is absolutely worth the extra $ for the turbo version. I traded in my 2008 and a 2008 BMW M3 on this Volvo and I don't miss the BMW at all because the new Volvo is so much fun to drive. The best of both worlds. Way to go, Volvo!
I traded a 2009 XC70 3.2 AWD for a 2011 XC70 T6. The turbo engine significantly improves this vehicle: quieter, smoother, more than adequate acceleration and no noticeable reduction in mpg. The 3.2 is slow, buzzy/noisy and it gets lousy mpg (worst of all worlds). You're always aware of the engine working at the limits of its capacity to move this heavy vehicle. And, while the T6's base price is $6k higher, it comes standard with AWD and premium/leather package which are nearly always added to the 3.2, so the "base" sticker price of the T6 and 3.2 are essentially the same before other options. Why not get the bigger engine?
Comparing to 2002 V70XC I traded in for it, it's a mixed bag. Interior feels much more luxurious and refined; also appears somewhat roomier. Exterior design mostly improved on the previous generation, except for those silvery things around fog lights. Actually on mine - painted Electric Silver - they look OK, but on darker cars they're outright out of place. The engine - 3.2 inline 6 - is nominally more powerful than the T5 on previous generation, but feels not as peppy as the older one. Gas mileage is not as good, too. The transmission feels more smooth-shifting and refined. The suspension is tuned more towards ride comfort rather than spirited driving style.
We had wanted to buy one of these for over a year, and I had done extensive research. I initially wanted a V70, but wife wanted the AWD. I thought the base XC70 3.2 was too slow and inefficient, and wanted to see what happened after Ford sold Volvo to the Chinese. I'm glad I waited. Not only were prices slashed, but quality and features improved. I picked up an XC70 T6 cheaper than last year's base model. Volvo hired a good CEO, and the workers in Gothenburg are happier than they were under Ford. This combined with it being the 3rd production year should mean improved reliability, but we'll see. I'll post a long term update after 10000 miles.