Getting into BMWs

[John Planow <JRP7731@xxxxxxxxxxxxxxxxxx>]

Here's how I'm HOPING to get into BMWs.  Hopefully some of the more experienced
can give me some advice.

With almost two years of college left, I've been put in the unfortunate
position of having to get another car.  I'll leave out the details of my
getting to this point.  I've been searching the Rochester, NY area for a decent
E30.  My only decent find(s) so far are at a small used import dealership: an
'86 325es with 84k on it.  It's a 5 spd, the exterior is in beautiful
condition.  I was fortunate enough to inspect it on a lift and found the
underside was also in very good condition.  The engine compartment was
impeccable, as if the car were brand new (this was a little puzzling,
actually).  Here are the problems I noticed: a leak in the radiator (will be
replaced by dealer, if not already done), an oil leak, apparently from the oil
pan gasket (dealer agreed to replace gasket), a transmission fluid leak,
apprently from rear tranny seal (dealer agreed to replace), a quick fx on the
exhaust that won't last another year (dealer agreed to split cost of new
exhaust), and condensation in the passenger-side low bea headlight (did not
discuss with dealer).  Asking price: $5800.

So, does anyone have any overall opinions based on this limited description? 
Does it sound like a good price?  What kind and how much maintenance should I
expect in the next few years?  I notices an M-badge on the rear of the car,
along with one on the shift knob, and M-colors on the steering wheel.  Are
these from the factory, and if so, what's the connection between this car and
the M?

Thanks,
John

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