The XJR is an excellent car! As far as reliability goes, if you buy a 1995, you really want to try and stay with a 5-95 or later production car. I.E. Go for a 1996.
As far as warranties go.. the problem with Jaguars is that the still have lousy ratings in the actuarial tables that these warranties are based on (Irrespective that an XJ8 is a more reliable car than a BMW or Mercedes and at least as good as an LS400 or GS400)
So, for $3,000, is it worth it?
Well.. Since about 1-97 my 95 Vanden Plas has been out of warranty. Since then, I've paid under $500 in repairs. I have also been quite lucky, even though I beat the snot out of the car. Also, I never did get the $250 steering column tilt motor fixed.. I just took it off of "Auto".
(VERY Common fault on 95+ Jags... up there with rust on old Fiats)
There are also a lot of places to buy new and used Jag parts at a discount..
http://www.coventrywest.com <--Lots of salvage parts.. some great buys there! Why buy a new, say, Wiper motor?
But it is upper midpack pricewise... depends on the market I suppose. Seems to actually do a little better up north.
THAT car is Carnival. Madeira is a "Brick" red.
Amaranth is Purple. Eggplant Purple. Sapphire is a Deep Royal Blue (Quite attractive).