Hi. I just bought a 1999 jeep grand cherokee yesterday and I notice that it seems to be leaking transmission fluid possibly from the front end...just a little bit. Any ideas what this might be? I took it to a local transmission shop for a free estimate and they tried to convince me I need a new engine and a new transmission...$8000.00 is the estimate. However, it runs strong, no strange noises and shifts just fine.

Check all the fluids and make sure they are good. i.e. diffs. oil, transmission, coolant, transfer case fluid, air filter. Use high mileage oil. Check the belt for cracks, usually it will start squealing a bit when it needs to be replaced. Tightening it will not help.

No, they all don't do it. The pan gasket may need changed, but this will burn up the transmission if the level gets too low.

Pretty good chance the trans is low on fluid...have you checked that? Otherwise, it is possible that you have a worn shaft seal that when side-loaded it could be allowing fluid to internally bypass. As that condition is extremely rare, I'd go with checking the fluid and possibly changing it and the filter before worrying too much about it, but you need to check that now as each time it happens it removes important material from the internal clutches.
Also...if low, check for leaks...fluid went somewhere!

if the line is in good condition and connected tightly, chances are you got a defective radiator.

Could be the front main seal or you may want to check the oil pan bolts to see if they have backed off.If the leak is transmission fluid then check the transmission lines and the radiator.

sounds like an oxygen sensor

HI, this is just a pan seal that as failed to do its job due to age or defective nature. Once this faulty pan gasket is changed, the leak will stop.

please rate and have a great day.

change transmission fluid & filter

Bar's Transmission Stop Leak