Need Help on 2002 745i

[chumpchange]

I am new to these types of sites and possibly already posted this in the wrong place. Please forgive me.

I am looking at a 2002 745i with under 20,000 mi.. It is well appointed with the convenience package, luxury seats, premium sound, big wheels, etc. Verified clean history with carfax, selling dealer and BMWNA. The current servicing dealer said the warranty runs for three more years or to 100k.

Owner relocation has placed car is in a new dealer's shop for engine ping. The dealer said that BMW wanted to swap out the engine for a new one under the warranty.

This sounds like a positive development for me as the buyer right after it comes out. Am I right or wrong? Any pitfalls that a rookie like me might miss. Any loopholes in the warranty that I might be missing? Can I presume that if this car was otherwise clean, it would be a good buy under $50k?

Thanks for your thoughts

[Joe-BMW]

In terms of an engine replacement, I had an E32 with a dealer replaced engine and had no issues. The upside is you have a warranty and BMW is doing the work. You may find yourself bringing it back a few times to get things right. You can probably expect 2-5 check engine lights right after the new engine is installed. These are easily diagnosed as I am sure you are aware.

All this said, make sure you get a real good price for your troubles and don't let them tell you a new engine is making the car more valuable. You may have some headaches with it early on. Keep in mind a 2002 745i with 20k can be had for $41-$42K. CPO means nothing on these cars as the bumper to bumper warranty to 100k makes CPO obsolete, but they will still try to use it for the sale. Lastly, I just paid $1300 to extend the full maintainence to 100k, you may want to consider this now before they either stop offering it or go up on the price. Even better, make them throw it in

Good luck, my 745li is a joy to drive, the extra 50hp over my E38 is really noticable.

[sealbeach740]

Just to play devils advocate ( ), ask yourself why the engine needs replacing after only 20k miles. Are you sure the replaced motor will last longer? I don't have an answer, just pointing out something to think about.