The XJ has nearly always had solid axles fore and aft (for 4WD,) although I do seem to recall some earlier models having CV halfhsafts rather than standard Cardan-style joint halfshafts.
The only heads I can think of that are "prone to cracking" are the 0331 heads on the 99-up 4.0L XJ - even then, they only really crack (between the third and fourth cylinders, as I recall...) when overheated significantly.
The only real "oddity" with the 4.0L would be the RENIX control system, used until the end of the 1991 model year. The RENIX system is "pre-OBD," and does not store or throw codes. You'll need to learn basic troubleshooting to work on that setup - we can help you there.
If you're looking for a manual transmission, avoid the 4.0L from 1987 to mid-1989, unless you have an AX15 donor handy. They used the Peugeot BA-10/5 gearbox then, and they don't hold up well. I can attest to that, I'm on my third (in about 80Kmiles.) I'm looking for an NV3550 for a replacement for my own - but I'm a more "spirited" driver than most.
The blowby is a fairly common issue - usually, just cleaning out the baffles in the valve cover and clearing out the CCV lines will usually correct that. Don't worry too much about oil on the air filter - it's easily fixable.
The automatic used behind the 4.0 is the Aisin/Warner AW4 - a rock solid four-speed automatic. I've abused several, and the only thing I've found that hold up better would be made by Alison...
All else being equal, the XJ is a good, solid rig that does what it's supposed to do (pretty much everything) when you want it done, and doesn't complain about it. Not many better all-purpose vehicles that I can think of...
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