2005 E46 vs 2006 E90. Seeking opinions

I'm looking to buy my first BMW. My budget will allow me to buy up to a 2006 323i or 325i. I'm still in research mode but have a dilemma.

I'd like to get a 2006 E90 since that body style is still current (in 2010). However, it is typical for the first model year of a car to have "bugs" which eventually get resolved each year until they change to a new body style. i.e. the 2005 E46 will have had most of the "bugs" worked out since that body style was introduced in '98.

Were there enough recalls and bugs in the 2006 E90 to make me consider forgoing the current body style 2006 and just go for a 2005 with most (all ?) of the bugs worked out ?

Also, are there any other benefits or advantages of the 2005 E46 over the 2006 E90 i.e features and reliability ?

Thanks, Hugh.

I like your thinking, but at that age, those cars will have any bugs you are thinking about sorted out by the owner anyway.

One thing to watch with the E90 is that if it is the N43 engine, check for the coil history - they have a habit of one of them failing round about every 6 months.

At our dealership, E46's are are very reliable as long as their maintenance has been done. We find that E90's also have been reliable. We sell 6 to 10 E90's per week with little or no issues. Then again we do pay more to purchase straight from BMW credit. Mostly we do bushings, control arms, abs lights and sensors. Which ever you buy have it inspected independently, purchase a comprehensive warranty and maintain it properly. You should minimal issues.
Good luck.

E46 is very cool!