You can use a grinder to notch an old socket. Worked great when I had to do mine.

I think I'm using intake manifold bolts for the thermostat housing.

Well I pretty much got this thing wrapped up. It took a bit more time than I thought, but to be fair I only worked on it a couple of hours at a time. Still, the directions say " 4 - 6 hours ", and I'd figure on the 6. This is with a trunk mounted system. It might be quicker if one is using...

^ Yep. You can be having the worst day ever, but just feeling the pull of the turbo, especially going up a somewhat windy road, will put a grin on your face. Happy Happy ! However some similarities develop over time between that, and say Cocaine and Heroin.

Maybe just a couple of squirts of silicone spray around the edge.

You have a vacuum line above the one on the bottom and towards the engine, the CBV, and another on top, the wastegate.
You should be able to see all three from up top.

This is for the 850's, but yours should be about the same.
http://www.volvohowto.com/volvo-850-tur ... s-diagram/

That's your Compressor Bypass Valve. Basically a pressure activated diaphragm.

To replace the CBV, I just removed the airbox top and snorkel tube. That gives plenty of room to see and work on the turbo. Maybe the heat shield. Only three or four bolts for that. The CBV can be installed in place, but I found it helpful to install the vacuum hose first, and then hold on to that h...

^ Most likely due to that disconnected hose. Are all of the ports on the vacuum tree utilized or capped ? That rubber piece looks like a coupling for hard vacuum line, so look and see if there is another loose end of that type of line anywhere in that area.