Well I can speak from experience. I have a E-150 Conversion Van I use at home, but drive an E-350 at work. I actually have the 5.8L and at work they have the 5.4L. I also have a larger trailer than you are looking at as I have a 3124KB. The TM tows fine even in the mountains and I picked it up in Pheonix, AZ and brought it back to Kansas Citty, MO. The only problem I had towing was when a dumb 18-wheeler (not all just this one) pulled out in front of me and two others towing trailer going about 30 or 35 MPH. I had trouble getting back up to speed, because I did not like the RPMs the engine was turning. I did get back up to 45 to 50 MPH though until I got to a less steep grade and then got back up to 65MPH. The other two that were towing could not keep up with me. I think they were in the 30 to 35 MPH for quite a while. We use my personal van when a bunch of us go to lunch, no problems. I also would never get an E-350 unless I have no choice. My E-150 with the trailer in tow has a smoother ride than the E-350 I drive at work. The E-350 just beats you to death. I have not noticed much difference in fuel milage, but the two vans do not have the same engine.
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