Small leak becomes engine rebuild

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took my 2016 Crosstrek to the local garage, as there was a smell of oil and small drips on the floor. They took a look and told me it looks like a leak from the cylinder head gasket. They recommended going to the local Subaru dealer. Which I did expecting a quote for $2,000 to $3000 came back with close to $10,000. I can get a rebuilt engine for a 1/3rd of that and have it fitted. Anyone else heard of this? This is my 5 Subaru.
 

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