Just picked up a 2000 323i Wagon for $3,100. It's in great shape and drives very nicely. It has the "no reverse" issue (ZF) so I'm gonna pull the transmission and give a shot at repairing it myself. Never opened an auto transmission before but from what I've read it's a pretty straightforward repair. A new, updated "D" drum (which breaks), pan gasket, o-rings, filter, fluid, and some other misc parts will run about $275 total. Should be a decent car for under $4,000 total if all goes well. Premium package, leather, heated seats, Xenons. Newer Goodyears too - one less thing to worry about.
It had new front window regulators, expansion tank, t-stats, wiper motor, valve cover gasket, oil filter housing gasket, vanos hose and other stuff done in the past year. It does need a power steering hose (not sure which one yet) though as it leaks.
I'd love to do a manual swap but I want to keep costs to a minimum. Also want an auto so other people can use it when needed.
E46 Wagon Project 
Threaded Mode