It won’t win you a Touring Car title like the original M3 did, but newer, more powerful and cheaper versions are still great cars to own
BMW E36 model M3s that arrived locally in 1994 had 3.0-litre engines with 210kW and five-speed manual transmission. Two years later, BMW introduced a 3.2-litre version with six-speed manual, then six-speed sequential transmission.
Right at the end of E36 development in 1999 came a convertible M3 with the same 236kW as coupes, more equipment and a new car price of $147,500.
E36 M3s were more powerful but also heavier than the E30, and while they do offer fun to amateur motorsport participants, any thoughts of victory in serious events can be dismissed.
| Read next: BMW E46 M3 CSL review
The cabin is bigger, and purposeful rather than luxurious. Australian-spec E46 cars had leather-trimmed seats with heaters optional – who knows why in a country with 40-degree days – but they did keep you in place through high-G bends and won’t lull you to sleep on long trips.
From 2001, Australia saw the mildly restyled, marginally more powerful E46 M3 coupe, but convertible versions didn’t arrive until 2003. By that time the imagery of E30s terrorizing turbo Sierras had been totally replaced by a smooth, sophisticated sports sedan.
Extra weight and lots of grip did have unintended consequences though, with stress fractures found in sheet metal surrounding the rear suspension mounting points. They affect convertible and sedans in equal proportions and can be remedied in various ways – most commonly via strengthening patches.
| Euro best buys: BMW E36 M3
Problems with the VANOS variable valve timing used in these cars manifests initially as valve train noise, then rough idling and ultimately very expensive failure. Avoid an M3 engine that rattles.
Coupes with sub-30,000 kilometre readings have been advertised at over $100,000, however, prices in that range won’t survive in a tightening market. Other E46s in good condition and showing 80-100,000km sell at $65-70,000 which is where astute buyers should look.
| Buyer’s guide checklist: BMW E46 M3
How the prices moved
MODEL | YEARS | COND 3 | COND 2 | COND 1 |
2010 | ||||
M3 Coupe 3.0 Litre | 1994-96 | $8000 | $19,500 | $29,500 |
M3 Coupe 3.2 Litre | 1997-00 | I/D | $24,000 | $34,000 |
2014 | ||||
M3 Coupe E36 3.0 | 1994-96 | $8000 | $13,500 | $20,000 |
M3 Coupe E36 3.2 | 1996-00 | I/D | $15,000 | $24,500 |
M3 E36 Conv. | 1999-01 | I/D | $18,000 | $28,000 |
M3 Coupe E46 | 2001-04 | I/D | $23,000 | $34,500 |
M3 E46 Conv. | 2001-04 | I/D | $29,000 | $42,000 |
2018 | ||||
M3 Coupe E36 | 1994-00 | $13,000 | $22,500 | $35,000 |
M3 E36 Conv. | 1999-01 | I/D | $25,000 | $34,000 |
M3 Coupe E46 | 2001-04 | I/D | $27,500 | $36,500 |
M3 E46 Conv. | 2001-04 | I/D | $31,000 | $42,500 |
2021 | ||||
M3 Coupe E36 | 1994-00 | $18,000 | $34,500 | $47,000 |
M3 E46 Coupe | 2001-06 | I/D | $37,500 | $56,500 |
M3 E46 CSL | 2003-04 | I/D | $120,000 | $165,000 |
2023 | ||||
M3 E36 3.0 Coupe | 1994-96 | $20,000 | $44,500 | $62,000 |
M3 E36 3.2 Coupe | 1997-00 | I/D | $54,000 | $67,000 |
M3 E36 Conv. | 1999-00 | I/D | $50,000 | $64,000 |
M3 E46 Coupe | 2001-06 | I/D | $47,500 | $66,500 |
M3 E46 Conv. | 2001-06 | I/D | $49,000 | $68,500 |
M3 E46 CSL Coupe | 2003-05 | I/D | $135,000 | $180,000 |
From Unique Cars #477, April 2023