I am not in NJ but I am in the business of servicing Volvos. We always charged 20 hours labor for an engine swap at the dealer. I think that is a little bit of a gouge, but not too bad. Something in line with about 15 hours would be about right. In my shop that would be about $1050.00 plus fluids and misc. parts. They want $950.00 out the door to install your used engine, that is not out of line at all. Remember, Cheap, fast, and good, you can have any two that you want. From your post you are looking for cheap and good, well aside from being a rarity if it is truly cheap AND good it will not be fast. Price it around a little more and see if you can't find someone that is in the middle of the road, not the cheapest and not the most expensive either. I find it is better in the long run to spend a little more money up front and get a better job done. The trick is making sure that you are in fact getting what you paid for and not just pi$$ing away more money.

Good luck,Mark