Re: Question on swaping out 3.0L for .....
I'm finishing up a 4.3L upgrade from a 3.0L, but on a Mercruiser system. There are road bumps of course, but overall it has not been terribly difficult, just time consuming. Assuming Volvo products are interchangeable as the Mercruiser systems are, the wiring harness is a direct fit and the throttle and shift cables need no adjustment. The flywheel and coupler were also the same. Engine mounts depend on your bilge area.. I made mine out of 6061 aluminum and did not need to reglass.
The gear ratio in the outdrive is the big factor and like everyone has said, not really a do it yourself job. Again, I don't know about Volvo, but I can pick up a used one on ebay for relatively cheap or just go buy an SEI.
As for cost, it is debatable. I originally paid $2000 for my boat and put maybe $200 of upgrades/replacements on the engine. I purchased a junk boat with the good motor and trailer for $660. I have already sold the trailer for $200 (although with a little work it was probably worth $400). I have the bellhousing components along with some other pieces I should be able to sell to recoup some money as well (assuming I can find a buyer). Finally, I can sell the old 3.0L itself as it is a great running engine, just not enough power for me. When it is all said and done, I could come out on the positive in terms of cash, but I'm not really expecting to.
This is more of a hobby than a moneymaking venture, and I would recommend anyone else that does it to keep it in mind. If you are truly trying to be thrifty, you will probably be disappointed in the end.
That said, you don't need to be rude on these forums. People are speaking from their own experiences and it is always ultimately up to the reader to make their own decisions, it is just someone elses advice.
P.S. Anyone know how to get rid of the imported_ after that shows up after they upgraded the forums or whatever?