For a complete rebuild, done by a reputable engine builder, with R&R and all parts purchased through them, you're probably looking at half the cost of buying a new vehicle, or more.
Rule #1 Never use anything that rhymes with "Clown" (Crown)
The basic short block and systems therein are really quite strong, and as long as good maintenance practices and materials (lubricants, coolants, etc) are applied, problems there are rare. Same applies to the timing and accessory pulleys and belts, their bearings, and clutches.
If they are checked regularly, and you get to know the sound of your engine when it's in good condition, and pay attention to any changes, what condition causes the change, and circumstances under which they occur, then you are most likely going to be ahead of the cascade of problems that end in critical failure, and "very expensive noises." EDIT: Note that the timing belt is not to be listened for "going bad" It should be changed regularly based on mileage or age, whichever comes first.
The most irritating problems have to do with the systems that orbit the head.
- Breathing: (intake and exhaust) Specifically, the EGR system. It's on there only because it's specified by the EPA. It functions like someone shoving a hose up your backside, and inserting the other end down your throat, with a flapper valve in the middle attempting to regulate how much you breathe in from the top vs from the bottom side. It's about as healthy for the engine as it would be for a person. The best solution is to remove the system entirely. For you in Multnomah county, I would suggest a blockoff plate inserted in the pipe joint between the egr valve and the exhaust pipe that comes around the back of the head. It guarantees your engine fresh air to breathe, getting much higher fuel efficiency as well as much cleaner exhaust.
The exhaust breathes decent in stock form, but you can benefit greatly from replacing the factory muffler with a flowmaster unit that doesn't have the internal crimping of the OEM unit. For most of Oregon, CAT free gives a bit better breathing as well, but since Multnomah uses visual inspections, you should probably keep your Catalytic Converter. With the intake air, if you go with an oiled K&N air filter unit it will likely cause you more problems. Paper filters do a much better job of filtering without plugging as fast, since a lot of the dry fines drop away at idle and fall out the bottom rather than stick to the element and make mud.
- Fuel: Keep it air-free, and particulate free.
***Air-free with a in-tank supply pump. Gassers came with them, CRD's were left without. But you want one that's made for diesel. There are several choices. If you're going to budget it, find a Cummins powered Dodge that's been smashed in the back. The tank might not be useable, but it's really unusual for the pump to be damaged and you can pick them up reasonably. They fit with a bit of jimmyjiggin. If you have the bucks, just get a new one from
https://shop.sasquatchparts.com/products/in-tank-lift-pump-for-jeep-liberty-crd-5143160aa/. The primary purpose of the in-tank pump besides supplying fuel up through the fuel filter, is to prevent air from entering in through any of the factory quick-disconnect joints in the fuel line. Sasquatch also has a plug and play harness that uses the existing in-tank pump wiring (yes the wires are there to the point of the back seat, as well as the the relay and even the programming. they just forgot the pump!)
https://shop.sasquatchparts.com/products/plug-and-play-in-tank-lift-pump-wiring-harness-for-jeep-liberty-crd/ Of course you could also scavenge the loom piece from a wrecked gasser, but you would have to switch wires around to make it work properly. There are threads here for that.
***Particulate free with a multi-stage fuel filtration system. Solubilized air, water and particles of micron 5-7 sizes are the greatest causes of wear and sticking of high pressure pumps and control components, such as the high pressure fuel pump, the injectors, and the fuel pressure and quantity control valves. Use a water separator upstream of your primary filter. This allows you to keep track of water and contaminants in the fuel that you use. Use a 5 micron or less filter, (better than oem) and change it at least every other oil change. All this is not only to protect the cp3 pump, but also the injectors, and the fuel pressure solenoid metering tip. I've had to replace injectors on a Detroit 8V92 that got just a tiny bit of water in the fuel, and blew the injector tips off like fired from a gun, or a tiny grenade. It's unlikely to do that much damage on a CRD since the injectors are limited to system pressure, but still, whatever it does won't be good.
- Coolant. HOAT only. Basically, Original Mopar, or
http://www.valvoline.com/our-products/antifreeze-products/g-05-antifreeze-coolant Never let a drive-through maintenance place put anything in your coolant. These systems seem to be quite robust as long as nothing else besides distilled water is ever added. One top-up with another kind of anti-freeze, and your whole cooling system is filled with something that ranges between bubblegum and cement.
You can thank the old timers here for that bit of advice. I do love learning from other people's experience!
- Crankcase Ventilation: The factory ventilation is there, and works to scavenge the crankcase of all the crankcase gunk and gasses, but then they just dump them right back into the intake, .. pre-turbo. There are various gunk-stoppers on the market that work in various ways with various results, but the basic idea is to run the gunkygasses through something that strips the gunk and vaporized oils and water and solvent from the gasses, and passes them into a catch-can, and allowing the clean gasses to return back to the same pre-turbo point, without all the gunk. Still a closed system, no damage to the environment. I, like many others, bought the provent. Basically I chose it because I know it works. No risk, no error-trials.
Nearly everything else on this engine is electrical function management. Switches and servos, and sensors everywhere. Even the sensors have sensors it seems. And the control module network decides everything. This is where people like me get seriously in over my head. To begin to know where to look for a problem, when no physical diagnoses can be found, have to find out what isn't working, in a flowchart fashion, then you have to know what criteria the computer uses to decide what to do with it. Of course there are those that prefer a shotgun approach to replacing parts, and are frequently saying "well, that wasn't it" along with things much more colorful.
The flipside of this, is that, tuning for economy, tuning for power, tuning for emissions, can all be done through changing 1's and 0's rather than replacing pistons camshafts, grinding stroker cranks, etc.
But it seems based on what I've seen of my own and what I've seen posted here, that the problems are very often related to heat, vibration, and moisture / corrosion. Wiring loom maintenance, cleanliness, and tightness are going to be important as any other preventive maintenance.
Liberties are not "drive and repair" vehicles. These may not have the bare knuckle, bare bones look of a wrangler, but they are definitely Jeeps. PREVENTIVE MAINTENANCE IS A
HUGE part of keeping repair costs down.
Transmission: Physically tough. electronically, apparently, not so tough. They do like the juice though. (a bit overfull makes em happy)
Torque converter: Probably the #1 reason that Transmissions are pulled. When it comes to that, you'll want to do Trans Kit, Front Pump, and make sure the torque converter is stronger than what you want from the engine tune. Choices range from $150ish to 800ish, with some of the more expensive ones being really sucky, and some surprisingly good ones toward the bottom.
Suspension: With that many miles you'll probably want to look at all the suspension joints, as well as steering.
Again, Good luck whatever you choose.
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