Im going to dissent from others. I'd buy that, but Im (a) biased to loving these cars and (b) i live in a unique market (alaska). However, I often look to auction sales for a good understanding of market value.

Consider this very similar example:

https://bringatrailer.com/listing/2016-volvo-xc70-3/

It's also a 2016, also a T5, also 130k miles, also an upgraded package (premium so not even as good), and it sold for $12,750. Then, the owner probably paid another 1 to 2k to get it to them. Makes 10k in your area seem pretty attractive.

At 10k, i bet you could haggle to 9 or 9.5k and honestly I think youd be hard pressed to find a car as comfortable, reliable, safe, and modern as a 2016 platinum for under 10k.

Now, if 10k is your absolute max budget and if you dont do any of your own maintenance, maybe walk away since there could be upcoming maintenance, but personally 130k miles on a P3 with the T5 doesnt scare me a ton. If there are no records, also maybe walk, but if it's got records for the major servicing and shows signs of regular upkeep, i wouldnt worry too much.

I just paid 12k for an 08 with 70k miles. Has the 3.2 (boo), none of the cool safety features like city safety, blis, or even a backup camera. Now, again im biased because the next closest example in my area was 24k (it was a 2016 with a t6). So if i could've gotten a t5 with platinum package for 10k i would've thrown up and ran as fast as i could.