One problem related to power train has been reported for the 1998 Subaru Outback. The most recently reported issues are listed below.
1998 Subaru Outback - steering becomes jerky when backing or going forward at slow speeds and while making tight turning radiuses. Local repair shop called a local Subaru dealer and they said that they have seen some incidents of this problem but know of no fix. It was said that the vehicle is safe to drive. The suspected problem is thought due to uneven regulation of the wheel speed in the all wheel drive regulator as one turns sharply. In a sharp turn the wheels on the inner curve of the travel of path need to travel at a slower rpm than the wheels of that are on the outer curve of the path of the vehicle. This jerky motion even if not unsafe devalues the car for any possible resale value thus compromising my investment in it. The jerky motion of the wheels when turning as in parking or backing out of the parking stall is noticeable and somewhat disconcerting to the point of my thinking that it may be less safe than I a currently led to believe by the car repair shop and the local Subaru dealer that advised. I think this problem warrants further investigation to see if others are being effected and if there is any evidence of damage or failure due to the problem. Thanks. Sincerely, gary l. Gebhard.