E34 Buying Questions (540i)

[amartlage]

Alright, I'll start off by saying I'm a newbie with Bimmers. That being said, I'm considering purchasing a 1995 540i 6-speed. The major issue is it has 123K miles on it (ouch!). The good news is it's in perfect condition and is a Florida car. So, here are my questions:

1) Should I be concerned about replacing the clutch soon? I looked up the service records and there isn't anything showing work on the clutch at all. I'm assuming it's original. How much would it cost to replace? The guy said he would put a new clutch in for $400. Should I replace it now or just hold off?

2) What are some of the hidden things I should look for on the car, stuff that might not be known to someone unfamiliar with the car? Any help here would be great.

3) What's a fair price to pay? I think I can get it for $15K. Too much, great bargain?

4) How much longer (miles-wise) will this car last? I've heard great things about the engine, but what about some of the other parts (transmission, etc.)?

5) The maintenance records show that at one point the oxygen sensor needed to be replaced. It never was. How important is this and how much should it cost? The guy said he would put another one in for $80.

That's all my questions for now. Any advice would be greatly appreciated. Like I said, I'm new to BMWs so all help is welcome. Thanks!

[csieminski]

Sorry, I can't help you with many of the mechanical details. $15K sounds like quite a good deal, and 123K miles is really not that high for a BMW. BMW's in general are high mileage cars (my '86 528e has about 270,000 original miles--the engine was rebuilt for the first time 20K ago, and otherwise it runs beautifully). Expecting a BMW to run until or beyond 300,000-400,000 miles is not unrealistic. So that 1995 540i should be good for at least another 150-200K miles.

Additionally, the first BMW V8's introduced on the 530i, 540i and 740i in 1993, 1994 and 1995 were known to have an issue with the new Nikasil engine blocks. These problems were caused by the excessive levels of sulfur in US fuels, especially in the Southeast. The sulfur damaged the cylinder walls and dramatically reduced compression in the cylinders. More information on this problem can be found at the following website: http://www.koalamotorsport.com/tech/...shortblock.htm

Most of these problems were taken care of during an extensive recall, but there are some cars where this problem has not been dealt with. This is probably the biggest issue surrounding the first-generation 540i's.

Specific information about this and other problems, as well as more general information can be found at the following website concerning the E34 V8 5-Series: http://www.530i.org/

Best wishes on your purchase.

Craig

[juicebox22]

Find out if it has the original Nikasil engine block or has it been replaced with the Alusil block.

'94 540i

[johnpvb]

The BMW E34 540i V8 Nikasil article has been updated at:

http://www.koalamotorsport.com/article-m60v8.asp

Mine has over 85k miles and runs great. Purchased as European delivery in late 1995 and broke in using German gas, so maybe I was lucky.