I am the proud owner of a station wagon. I didn't think I would be buying one for a while, but I really like my V70 XC and the way it drives. Before I bought the Volvo I had an independent mechanic look it over. It had a long laundry list of items (timing belt, serpentine belt, sway bar, tranmision leak, oil leak internally and externally, breaks and tires) which the dealer agreed to fix before I bought it.

The dealer did most of the repairs and ended up putting in a new turbo and replacing the turbo drain seal as well. The V70 continues to leak a minor amount of oil around the turbo and has developed a "creaking" noise as well, which is probably separately related. The creacking noise happens when I am turning and first starting to drive the car. Any ideas on any one of these issues. The wagon has 152,000 miles on it, but it runs very well.

 

If you have the wheel turned all the way or most of the way it might be dry steering stops.
Look under the car on the front of the lower control arm. You will see a plastic block riveted on the control arm. Put some grease on it and see if it helps.