looking to buy an e34

i'm not really sure which model to buy as i'm on a limited budget. i don't want to spend more than 5-6 grand tops.

what can i afford with the best performance? i guess the 530i would be nice, but can i afford one?
and are they pretty reliable cars? my friend had a 5 from the previous gen and that thing had like 300,000 miles, but i don't like the styling on it.
and is it a hard car to learn to work on?

do you guys think that i should try to go for a 5 or should i go for an e30? i want the e34, but if it might help me financially...

and how's insurance on these cars?

thanks.

E34's are great cars and have a great engine. Lots more interior space than the 3 series (I compared them back-to-back). I had a 525i for 9 years/ 260,000 miles and it was still tight and going strong when I sold it (for $3k, BTW). I liked it so much I bought a newer one. Reliability was pretty good but (of course) it all depends on how it's maintained. Be aware though, that parts for german cars almost always cost more than domestics. There's a lot of good sources for parts on the internet. As far as self-repair, I found the E34 much easier to work on than my current E39. Get yourself a service book and you'll be all set.
FYI- pre-1994 cars will have the R12 A/C freon that's very expensive to recharge or upgrade. Shop for a car with newer R134a freon.
Insurance costs maybe 10-15% more than a comparable domestic car, but then again, BMW's cost more to fix if damaged.