2005 A6 3.2 litre quattro ENGINE BLOWN!!!
 

So just got the bad news from the dealership that after owning the car 3 months the engine is blown. I guess the timing chain tensioner went out and caused the engine to skip and bend every intake and exhaust valve and some damage to a cynlinder or a few.
So looking into replacing it with another used engine since it makes more sense time and money to replace than rebuild.
Found a guy on ebay that has a engine with 87k on it and comes with everything attached for $3250 and 6 month warranty. I think that's a decent price out of what I've seen so far. Pretty much pull the shot one out and drop in the new one. Thinking about replacing the timing chain and tensioners before install so hopefully I don't have to go through with this again. What do you guys think about that? I am new to audi so any input helps. Anything else should be done to the engine while its out before install?

Replace everything (water pump, alternator, thermostat, belts, hoses, etc.) that you can with fresh parts.

Sell the older/used parts "as is" on eBay to recoup some of the expense. People are buying salvage yard parts all the time so they might as well buy yours.

GOD that sounds like so much more damn money. I'm already looking like spending half what I spent on the car already. Wanna buy it? lol

I have enough unfinished projects...

You have a ten year old car and the thermostat, water pump, starter, etc. will fail someday. Replace them with remanufactured parts if you can find them to keep the costs down.

Absolutely replace the guides on the 'new' engine. Suggest the other items as tenspeed mentioned, would also do the valve cover gaskets (sure you can get to them later, but easy now, especially if you have leaks under the 'top' gasket down into the plug holes), see if the rear main seal is leaking--good time to do it if it is. do any rubber hoses at the back of the engine while access is so good. Have your mechanic run a compression test on it before installation--just in case...
Also, if you would please post up some pictures of the failed parts that would be great show and tell...

Yea def will be posting pics. Idk how bad the damage is inside the engine. I've nvr worked on a Audi engine but was thinking if I can pull the heads off and there no damage to the cylinders I'm wondering if I can keep the block in and still change the timing chains and tensions or if that's not physically possible.