In reply to Mr_Asa :
Short answer, yes! I'd also suggest looking at certain Audi offerings -- what sort of age are you looking for, will you be doing the work yourself, and how much budget do you have?
Below is another proselytizing ramble about the cult of VAG...
For more info related to the '99-'05 Jetta Wagon and the old 1.8T, look at my post over here. I have had generally positive experiences with B6 A4s and Mk4 Golfs / Jettas (mainly diesels currently, be the 1.8T Golf we had was potent). The B5 platform on the Passat is shared with the '96-'01 A4. The main thing to know about this platform is the front suspension arrangement: There are four control arms per side in the front. This is to help deal with the fact that the engine is fully in front of the front axle line (yes, even the FWD ones are like that). It's a great driving setup, and Audi won a Championship or two (I don't recall exactly) with the B5 chassis in the BTCC with it. The downside is that there are 8 control arms with bushings and ball joints to fail per car. Last I checked you could get kits of all 8 from various parts vendors; I've never done the job but have looked into it, main thing I remember is that you absolutely must only torque the bushings at ride height. In comparison, the Mk4 chassis has the front suspension of an ox cart, look in the link for what you can do to make it kind of handle. That said, I've been dailying Mk4s instead of B5/B6 platform cars -- their simplicity is appealing for a car that I work on myself and need to be able to repair quickly and rarely.
In regards to the 2.5l 5 cylinder used in the Jetta Sportwagen (and other VAG products): This engine is near the top ten of my "want to own" list. I first read about it when Hank Iroz started swapping a turbocharged version into his Ur-Quattro. Compared to the Audi 5 cylinders of yore, it's notably shorter and the head flows dramatically more (A Lamborghini V10 header will bolt to the head, suggesting a possible origin for it's high flowing nature...). Some of the early versions had randomly forged cranks, and TT-RS forged cranks can be used in the cheap NA blocks -- It did not take long for 1000hp builds to pop up. In daily driver duties, the two issues are the timing chains in earlier engines, and the PCV system generally needing some care and upkeep. The 2006 model year had the worst timing chain issues IIRC, and revisions in 2007 generally fixed things from what I understand -- I'd be looking for a 2007.5+ or be prepared to do the chain. In the past year I helped my brother and gf pick out a Jetta Sportwagen with the 2.5l and DSG, and it's been great aside from an AC issue. I think they paid ~5k for it. Service for the DSG boxes is important, but I haven't heard horror stories from them -- they're definitely better than the non serviceable autotragics that came with the Mk4 platform (which seem to fail every ~100k).
But even with that caveat, I would absolutely take the 2.5 over the 2.0T -- The various "teething problems" from 2006-2010 do not seem worth the hassle to me at all. This basically wipes out the B7 A4 as a chassis to own in my view as it has very few redeeming qualities compared to the previous generation or the subsequent Audi products with the 3.0 supercharged V6.
Personally, I'd love to own another B6 Audi A4 Avant quattro with the 1.8T and six speed (only offered in '04-'05 IIRC). The 1.8T is a great engine, and the six speed helps keep the noise down on the highway. The steering is a very nice level of boost, it's easy to drive on the highway and also plenty of fun on curvy back roads. When pushed, you can feel the trick front suspension working to keep the tire flat to the road, and the AWD help dig you out of corners. It doesn't have the locking rear diff of earlier quattro systems, but with the stability control turned off it'll happily go sideways in the snow -- the non haldex quattro systems are right up there with Subarus in terms of being real AWD. The interior is better appointed than the Passat, and the price difference on the used market should not be too severe, although you may struggle to find either make in manual wagon form in some parts of the country. My reasoning for the B6 over the B5 is that the B6 has better parts availability (it's newer, but there were also fewer part changes during the B6 run. Expect to be shopping with your VIN if you have a B5.).
It's also worth pointing out that the VW products came in diesel versions: '99-'03 Jetta TDI wagons came with the ALH, and '04 had the BEW, both of which are reliable to 300k+ miles easily. There is a price premium for these wagons at this point which may be off putting if you have not owned and loved a diesel before, but if you do a lot of driving the fuel savings can be nice. It sounds like you'd like more power though, so maybe look at other Audi products? IIRC, they made an A6 Avant with the 3.0T from the B8 S4, and the C5 A6 was available with the 2.7TT and 6 speed from the B5 S4 (The engine can make absolute oodles of power, the gearbox is very stout, but expect to pull the engine if either turbo decides to blow. It's also got 8 front control arms too.).
HumbleMechanic on YouTube has lots of good videos exploring the nether regions of malcontent VAG products.