Subaru 2.5L motors offer between 165HP (stock) and up to 600HP (built), and they are reliable.  The 2.5L motor comes in two versions,  SOHC or DOHC , both have 4 valves per cylinder.  At Funco most of our customers are using the 2.5L DOHC version, found in 1996 to 1998 Subaru Legacy and Outbacks, like the one shown here.  With racing pistons and rods, along with turbo & computer the DOHC type can produce 500HP+.  The older DOHC motors have extra large intake ports, ideal for maximizing flow to produce an incredible power to weight ratio.

Year model 1999 and later 2.5L Subaru motors are generally SOHC motors.  These later motors are slightly different than the DOHC, they have roller rocker arms, larger stock injectors, beefier crank, and slightly larger rod journals.  When compared in stock form to the DOHC they both produce 165HP, but the SOHC produces a little better low end grunt due to smaller intake manifold and ports.  Just add a turbo, limit the turbo to 9PSI max and run 102 octane, that's about it.  For this 300HP setup you'll spend about $8K for motor, exhaust, turbo, & computer, ready to run.  For many people 300HP is plenty of power and a real kick to drive. 

You can buy turn-key motors from CG Performance (Fontana, CA) or Outback Motorsports (Buena Park, CA).  If you have questions, these are the folks to call.  They work with Funco to provide motors and tune them in the car before you take delivery.

Service tip

It should be noted that all Subaru motors should have the belts and cam pulleys inspected every 2yrs or 20,000 dunes, whichever comes first.  Pay particular attention to the crank cog wheel, it gets the most wear. This is to insure that sand isn't getting inside the belt covers and producing excessive wear.  Generally this isn't a problem, but we've seen some exceptions.  Better safe than sorry.

If you want to build your own motor, used Subaru motors can be found from engine brokers located around the country who get motors from junk yards, or import used motors from Japan.  Just pick up an auto trader or Recycler paper, they usually have quite a few ads for engine brokers who peddle motors.  If you're lucky to find a junk yard motor with low miles, great.  But realize these motors are popular in all kinds of small experimental plane projects because of their excellent power to weight ratio. The demand is high for low mileage motors, expect to pay a premium if you find one.  The imports typically have 30K-50K miles and cost $1500 to $2000 (very reasonable), depending on who you buy from and the condition of the motor.  For the 300HP setup with turbo, computer, exhaust, and wiring harness, this adds up to about $5K-6K for the do-it-yourself mechanic, depending on the chrome, polishing, hoses, and oil pan you want to include. 

Japan has very stringent smog regulations in place to keep emissions down to a minimum, given their dense population.  These regulations impose heavy taxes on cars with over 40K miles, so much so that it's cheaper to buy a new car (and you thought California was bad).  This makes thousands of "moderate mileage" cars practically worthless in Japan.  Dismantling and selling the parts yield the best salvage value, a good situation for sandcar builders that need motors for a bargain price. 

If buying all the parts and putting the motor together is more than you want to tackle we can set you up with a reputable engine builder, just ask.  Funco does not build motors or computer harnesses.  We also don't tune motors after we install them in the car.  We leave that work to local engine suppliers that specialize in sandcar engines, engine management systems (computers), and tuning.  Call these folks for questions on turn-key  Subaru motors:

CG Performance (Fontana, CA)

Outback Motorsports (Buena Park, CA).