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I have had 2 T belts break on me and I had no issue with valve damage. I would check it out, they probably have it timed wrong or it needs a head or gasket. For that price, it'd be easy to "flip" or have a another car to drive or parts. The drivetrain alone is worth the price asked it otherwise sound. If I weren't a day's drive away, I'd look at it.
 
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