Bought my '05 (still MKIV) GLI this past August. I've put about 6k miles on it since then.
My thoughts on it (as a DD) are that it is good at a lot of things, although not great in any one category. Maybe that's what makes it so enjoyable and perfect for me as a daily driver. The 1.8T is not a powerhouse, but definitely is fun to drive; it's instant torque allows for spirited-like driving around town without having to tach it out.
Honestly though, the interior is really what won me over. The OEM Recaro seats are so comfortable and supportive. The detail inside is what I would expect from a German car, and a nice change from my '95 Integra for sure. Storage space, passenger room, gas mileage and just overall ease of daily driving is impressive imho. Then again, I prefer stiffer suspension to soft, cockpit feel over lounge chair, and boost over amazing mileage.
I am not going in depth (because I'm too tired to do so), and my opinion is honestly biased a bit despite this being my first VW. However in the end, I have to say that I really enjoy the car because I bought it for a purpose - fun and practical daily driver, and not a weekend go-fast car. You should definitely get out and drive / ride in one.