The 1998–2003 BMW M5 (E39) is a seminal sports sedan, often described as "peak BMW." It was the first M5 to feature a 400 hp V8 engine and a 6-speed manual, earning critical acclaim for its blend of performance, luxury, and engaging hydraulic steering. Enthusiasts revere its analog feel and exceptional balance. It's famous for its natural aspiration and clean design, though infamous for common maintenance issues like VANOS and cooling system wear. Today, it is well suited for the dedicated driver seeking a highly engaging, classic performance car for weekend enjoyment or comfortable high-speed touring, provided they budget for proper maintenance.
The 1998-2003 BMW M5 (E39) has high operating costs due to known issues like VANOS failure and rod bearing wear, leading to above-average maintenance expenses (e.g., ~$1,900/year). Insurance is comparable to other sedans, but fuel and repair costs are significant.
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