So lemme lay out some options I've found at the moment, I'm all ears for opinions. I know a used engine is always a gamble and will need to be replaced again long before the new one would. But keep in mind, this was not in the plans and not budgeted for, so I'm trying to keep the bleeding to a minimum right now. If I go the used route, I'll start putting some money away here and there to eventually have my buddy do me a 408 stroker or something, that's always kinda been in the plans anyway.
#1 - My tuner buddy also does machine work. He's currently assembling an iron 5.7 (5.3 with an overbore) shortblock. That would be $3500 and gets me a freshly machined block, polished GM crank, resized gen4 rods, fresh pistons, bearings/rings, cam bearings and freeze plugs installed. Cam/lifters are another $500, plus gaskets/etc. This is what my dad's pushing for, I don't love the $5k+ it'll end up being in the end.
#2 - I can take him my 5.3, it's $1800 for full machine work on the block, install cam bearings/freeze plugs. Another couple hundred to grind the crank. Have him inspect/resize the one rod that the bearing spun on. Then bearings/rings/cam/lifters/pistons/etc. This would probably be $3k-ish
#3 - Use my 5.3, the block is still fine. Buy a dial-bore gauge and triple check everything. If it checks out, get the block hot tanked and then just do the same dingle ball hone/ring/bearing I did before. Buy a crank kit with a reman GM crank and some fresh flat top pistons (mainly cuz mine are so scuffed and also to get flat tops for a bit of compression). Cam/lifters/gaskets/etc. I figure this will be ~$1500-2k.
#4 - My buddy has an LQ4 6.0 they pulled from his son's 2500HD with 197k miles on it. I 100% trust him, he's a good dude. Said it ran great but burned oil. I'd dial-bore it, clean the block myself, dingleball hone/bearings/rings/cam bearings/etc. Same deal, buy some flat top pistons, cam/lifters/gaskets. I figure this would be ~$2k-2500
#5 - I'm waiting to see what my junkyard guy says. I bought the motor for the C10 from him, he showed me videos of him driving the Envoy prior to pulling, he does that for most all his engines if they're good. My buddy bought a 5.3 from him last year for his OBS and it's great. If he's got a lower mile LQ4/LQ9 that I can either hear running or if he's got videos of, I'm good with that. He's got a 30day warranty on it and would take care of me if it had an issue on fire up. I assume he'd want $1200-1800 depending on mileage, I'd just slip a cam in, reseal it and go on this one. So ~$2-2500 on this as well.
If my junkyard guy has a good 6.0 that he can prove ran good/quiet/has good oil pressure, that's the route I'll likely go cuz it's fastest. Otherwise, I'm leaning toward #4 if I've gotta go through a whole motor. At least I can do that myself and save a grand over the iron 5.7.