I just purchased (within 1 week) a 88 626 GT. The owner (a local mechanic) said the engine has been completely rebuilt by him and should have less than 1k on it. About 4 days ago I filled the coolant tank to the top (It was completely empty) and today I discover it is completely empty again. And I mean BONE DRY. Also, the valves and rockers are noticably audiable. One week ago the engine purred like it was brand new (It almost was). Sitting at a stop light on my way home after I discovered the valve/rocker noise and lack of coolant I notice a small amout of lightish gray smoke comming from the edges of the hood. Being concerned I babied it home and popped the hood. Sitting at idle the noise level of the valves distubed me. Also sitting at idle there didn't seem to be any visible smoke. Twisting the throttle slightly revealed small amounts of smoke comming from the underside (I think) around the header/turbo area. After a few more twists to try to pinpoint (unsuccessfully) its location I closed the hood and to my astonishment I saw large amounts of grayish smoke flooding the street. So I popped the hood once again to see what the coolant level was at and it appears (APPEARS) that it has already dropped 1/2 - 1 inch. I then removed my oil filled cap and smoke began to pour out from my valve cover for about 1-2 minutes until I walked away. I also noticed what sounded like boiling water or somthing of the nature comming from the header/turbo area. Any Ideas?