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I just bought this 2004 D2. It has 140k miles but the engine runs perfectly. The car already has a 2.5 inch lift with some new big mud tires. It does have air suspension that is worn so I plan on swapping it to coil suspension in the next few months. I plan on putting on a bajarack with a lucky 8 front steel bumper and winch. I will be updating this thread slowly because I am only 17 years old and paying for everything. Safe to say, gas is a bitch.
Big thing with these is maintenance, do that 1st everything else later.
Start a budgeting some cash each month, 50 75 whatever is realistic for you, toss it in the bank and leave it there, it is 16 years old and stuff will break so have a Disco repair savings
Start by checking your driveshaft,if it has a single grease point consider replacing it 1st thing. It may be fine, but if it fails it is a very expensive repair bill. Grease it very 3000 miles, every oil change and after any significant water crossing you can do it yourself takes literally 15 -20 minutes
Next get a bluetooth ODB reader (25.00) and attached to your ODB port. If you have an android phone download Torque and monitor your actual engine temp, the temp gauge is useless. For Iphone it will cost 5.00 or so but very worth it
Richard is correct, get after the maintenance end of things first. All of the window dressing can be dealt with at a later date.
Fluid changes, especially transfer case are paramount. Transfer seems to get looked over quite often, all four of mine were nearly bone dry. Blow out vent tubes on all axles, transfer case and transmission. Replace all idler pullies and belt tensioner, they fail often and causes overheating issue...which causes other serious issues. Open the hood weekly and check fluid levels. This is not a vehicle where you can just service it, slam the hood...and forget about it until next service...you need to stay on top of things. You have to remember, it's 16 years old and majority of the parts are at the end of their life cycle.