Possible head gasket replacement?
 

I'm in a bit of a quandary. A few months ago I purchased a '98 Cherokee Sport as a parts vehicle for my '99. I have pics in my gallery. I was told that it needed a radiator as it leaked which was why the seller was selling along with the body damage. She had the water pump and the heater core replaced, most likely as they didn't know why it was having issues. Aside from the rad leakage and high temps issue, the Jeep could be put back on the road and driven if those issues were fixed. I have been contemplating if I want to go down this road or just keep it for parts.
I have been playing with it off and on, and yes, the rad does leak, the upper RH side, causing coolant loss and eventually the cooling fan kicks in to keep the temp down. I have run the engine with the pressure cap off and noticed bubbles coming up, I can't say if this is due to any air working itself out of the water jacket or gases from the bad gasket working their way up. I have not performed a psi test of each cylinder to prove or not there is a bad head gasket. If the test does turn out to be a bad head gasket, the question is, is it worth the work and cost of replacing the gasket. Talking with my dad, he just said to pull the head, replace the gasket and be done with it. Of course talking with my brother, the mechanic/teacher, there is much more to it, having the head inspected etc. The Cherokee was purchased for about $600 and has about 307,000km on it (191,000 miles). While with most vehicles, this would be a no brainer, just part it, but these 4.0L's just keep going and this thing is clean aside from the fender and bumper which is the only reason I am thinking of fixing it.
Any ideas, comments or suggestions welcome.

Compression test first. 120-150 PSI with no more than 30PSI variation in the cylinders is the specs for the 4.0.

See what shape the engine is actually in first before you dump money into it. A headgasket job should set you back no more than $200 or so dollars assuming you do all the work yourself. You might have to have the head resurfaced but i am not sure on that. Let someone else chime in about that.

The head resurfacing is what I was wondering about and the approx. cost. If the compression tests come back good and the resurfacing isn't a huge cost, I just may go forward with this.

I'd say somewhere around the $100 mark if not cheaper.

It cost me $75 to have them test my head for cracks. I'd imagine a resurface isn't much more.

The only way you are really going to know what to do is start by checking the compression. To matter what it sound like you will be pulling the head. Depending on how hot the PO let it get you may be lucky and only have to replace the head gasket. But! If it did get really hot you may have to replace the head its self. Plus you need to see how much coolant is in the oil. If it's the coolant has been sitting in the oil for a long time it is very possible that you will also have to rebuild the lower end too. The rod bearing do not play well with water/coolant.

Your 1998 Cherokee is worth ~ $282.00 US as scrap delivered, so let that be your guide.

Id keep it. True it has 200k miles almost but the fact that its a 97+ makes it a little more rare then others, especially if its a 5 speed. If auto, still, id fix it. Look at it this way- new Rad, head gasket and labor, costs you maybe 600$ at the absolute worst? And if anything you can re sell it for about 3 grand. Id hate to see another Cherokee go to the scrap yard

If it were me id go the way I went. have it magnafluxed to check for cracks I payed $65.00 then if it checks out ok have it resurfaced which is $85.00 ...buy a head gasket & exhaust gasket valve cover gasket new thermostat and gasket. Oil change some antifreeze. I have it priced out here at a local parts house for around $130.00 in parts.

Well, I think then I will go a head and do a compression test and see what's up. I've checked the dipstick and don't see any evidence of coolant in the oil, nor any in the rad. How simple is it to remove the head? Shade tree mechanic with no real formal training outside of HS autoshop. I have been working on cars since I was 12 though in some capacity or another, just they have been generally old VW's.

If you can turn a wrench, and follow steps in a book, you can do it. My head gasket was the 2nd job I did on my jeep and I had next to no experience, but I got a Haynes manual and a set of wrenches, and 3 days later I was driving.my jeep again. It seems like a tall task but its really not that bad. After you get it done and she fires up the first.time, its a great feeling of.accomplishment

I will have to pick up a manual for this. What's the best? Dealer issued or will a Haynes/Chilton etc work as well?

Chilton or Haynes, whichever will work