I am the original owner of this 1998 Outback. It has about 149k miles on the odometer. Compression in cylinders 1 and 3 (passenger side) is poor, and so we suspect the valves or rods are bent. Cylinders 2 and 4 are fine. I do not have the time nor all of the tools to dig into the engine and repair it myself. In case a nearby Subaru enthusiast (I am in Columbus) is interested in doing so, I thought I would post the car for sale here. Name a fair price and it is yours. It has been a great car, and I miss driving it, but the cost for a repair shop to do the work is just too high. There are no other problems I know of. Timing belt was replaced last October, which had failed and probably caused the current problem.
A bit of history of the vehicle: For most of its life, the wagon went from the garage at home to the garage at work, so the interior and the exterior are in good shape. The leather seats are in good condition. There are no tears, even on the driver's side, which is the only seat that shows wear. Except for a 2-inch crack near one of the air vents, the dash and console are in similarly good condition. Rust along the lower sides of the car is present but minimal.