Don't know whether you are still trying to sell this car, but this may give you hope...
I've been looking for an early S40 - my criteria were excellent condition, **whiteblock** engine and low mileage. Yes, I wanted only that engine in either 2.4 or T5 guise. I just paid a premium for exactly this spec, so £4-5k seems about right. Stick it on
https://www.carandclassic.com for £5k and you should get more genuine interest than on ebay/facebook/autotrader.
Good luck!