2015 2.5i Limited Forester - Head Gasket Replacement or New Engine

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I've recently had issues with my coolant levels as well as regular overheating warnings. I filled my coolant and a week later it was low, but there have been no indications of leaks on my driveway. That same week my heater also stopped working and is only blowing cool air.

I took it in to a dealership and after doing a pressure test they concluded my head gaskets are leaking. They price they quoted me for that repair was $2598. I called another mechanic to get a rough estimate on the repair and was told they might be able to get me down as low as $2k, but to bring it in. I took it in to this mechanic and they said the same, head gaskets are leaking might even be cracked. He also said my engine is pulling oil incorrectly? I didn't really understand what he was saying when he made that comment.

He said he could get me a used engine for $3100 with 59k miles. I bought it in July and I think the previous owner drove it into the ground without doing any of the necessary maintenance, it has 106.5k miles on it.

My question is, is it better to replace the head gaskets or opt for the newer engine? I'm concerned that either place I go, is going to get in there and find more problems and the price will just keep going up if I just do the head gasket replacement.
 

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