Yeah, the ~1988 generation was considered to be the best. But we don't go out to buy 20 year old cars.
Generally the quality slipped a bit and dropped a lot after the 1997 genearation. The new ULEV engines introduced that year have sludge problems. Look on the bright side, Camrys have gotten cheaper relatively.
I thought by 2006 (last year of that generation) most problems would be solved. But looks like wimpy brakes, clunking suspension noises, and jerky transmissions (as if searching for the right gear at downshift) still are the problems.
The 2007 had 20% of its tranny parts thrown out. What's really improved over the years is the cost cutting! We'll see about the reliability of that tranny.