Nigel,
No, I don't think you have wasted you hard-won loot !
I have a V2 Steamate, one of the first off the line and it was returned six times under waranty but I would not wish to be without it.
I would not recommend it for cleaning of temperature-sensitive fabric, since regardless of the thermostat setting, if you pause for a few minutes, for example, to prespray a cushion, the first hot water emmited can be very much hotter than the set temperature. This is due to the fact that the temperature sensor is located outside (after) the core, thus the equipment is unable to respond to the continued heating within the core. When the flow through the unit is fairly constant this problem does not occur.
With regard to placement of the unit, I prefer to have it 25 ft (my standard hose lenth) from the wand - it makes no sense haveing it 50 or 75 feet away or whatever distance you are from the machine and 25 foot is suficient that it should not represent a significant trip hazard in the work area.
A cautionary note to anyone not used to working with high temperature is to remember that not only do the brass conectors get very hot, that the supply hose itself can heat-set a track in the pile, especially if trodded on
John.
PS When speakin to an engineer at Ashbys last week, I was told that the later (Blue rather than black) models are much improved.