Are the RS4 B7's known for excessive brake fade? I find it really hard to believe it would... but I am getting much worse brake fade than my stock R36 (which had 2 pot callipers and smaller discs).
Within 5-10 minutes of driving enthusiastically mine fall off the edge of the planet. I know its not the fluid, its running upgraded Motul fluid that exceeds Super Dot 4. This took some extreme punishment in my Passat R36 without any problems.
The previous owner may well have put in cheapie pads... but there is nothing written on the back of the pads in there, so I have no way of telling