Both are nice rides. Have seen online that 2nd gens can have overheat issues and cracked heads. Keep this in mind while searching. Not sure if this crosses over to gen 3.
If you can find a nice example in budget, I would go MK3 due to its better ride on the road, newer, better looking (imo) etc.
In the end, these are reliable rides if they have been taken care of. However, keep in mind that these are mostly 20+ yr old vehicles, maintained by desi ustaad which is always a recipe for disaster. It's very hard to find a gem in the mix that has been excellent maintained. My gen 3 was an ex embassy vehicle and was well maintained.
Keep a side budget after purchase as you will need to spend some money to make it drive well after purchase.