You could also stay with the 5.3 and just mod it for some better breathing, headers, intake, cam upgrade. Still be as reliable as today with a bit more get up and go.
I can't imagine the 6.0 gets the same mileage. I had the 6.0 in my 02 1500HD 4x4 Crew and on a really good day with a tail wind down hill I got 11. Normally it was 9-10 and it didn't change towing or empty. Thus is why I now have a Jeep and traded in the pig.
If you go performance, you lose the low cost and warranty. I don't need it for transportation of teenage girlies.
The 6.0 gets better mileage actually everyone is saying because it doesn't down shift on the hills like the 5.3 does in a Tahoe. I'm sure gearing and weight are factors as well.
$300 tune is part of it. Core is another. Additional cost of motor is another. Can't justify.
Wish I could drive both a week and decide. //OLDSKOOL//
Still thinking 5.3.
Thinking I will get the trans fixed first, and see how the motor is doing over the next few months on oil, etc. Not a drop under since Allsouth replaced the rear main seal. Also just did transfer case seals, all O2 sensors, and the intake manifold gasket.
It DOES still have a cold exhaust manifold leak rear bolt broken off on drivers side. very common issue with these. Can't get to it, so motor comes out or head comes off to drill it out.
I was CRUISING when the tranny gave up 3rd and 4th.