Like was posted, I would be concerned about transmission and the older viscous coupling AWD system this car used. The last P80 R is now 15-16 years old so finding one in decent shape may be a bit of a hunt.
I picked up a 2000 V70R when I had my S60R.
LOVE THE CAR. Do be warned that they can be maintenance hungry. I spent a ton of money on mine bringing it up to where it is today.
I did have a 3" exhaust and downpipe fabricated, FMIC, and a lovely 20ishpsi hilton tune. My 00 VR is ripppps and loves shooting some pretty flames. Anything below 50 degrees and first gear has trouble hooking with the awd. Faster than stock P2R's and most likely faster than stage 2 P2R's or close too it. I need to get it on the dyno sometime soon. The amount of torque it has is incredible.
For the BTCC racing Ohlins designed special adjustable shocks. The Volvo factory kit includes front strut tower brace, springs, and 4 adjustable shocks.
Makes the car quite stiff on 17" comets, but the handling is superb.
$12k is definately out there, especially when it probably needs work. They won't get it. My point is just there are good examples out there. I paid less than half that for my 99 with 66k four years ago. Mine needed work. Cars this age will need work. Just keep your eyes open and don't be afraid to take a closer look and to make an offer. You'll be surprised.