I drive a 2001 S60 2.4T and have no power problems and get 29 mpg on the highway. Never use premium gas. Mileage around the city isn't that good, maybe 22 or 23 mpg, but I don't pamper it much.
I wouldn't worry about power with the turbo models, they do pretty well. Power perceptions usually involve the non-Turbo cars. Back seat is small so figuring kids always get bigger, V70 or S80 may be better option.
Really like my S60 but usually it's me or me and my wife in the car. We have an Avalon w/ huge back seat for the kids.
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