The 1998 BMW 5-Series, part of the legendary E39 generation (1996-2003), is a classic luxury sport sedan. Available primarily as a sedan, it blended sophisticated comfort with exceptional driving dynamics. Key trims included the inline-six 528i and the V8-powered 540i. New, prices ranged from approximately $38,000 to $55,000. It stands out for its timeless design, high-quality interior, and a driving experience often hailed as the best in its class, making it immensely popular among enthusiasts.
The Good
The 1998 BMW 5-Series boasts an engaging driving experience with precise steering and balanced handling, appealing to emotional buyers. Its robust engines and comfortable, high-quality interior satisfy practical needs, offering a solid long-distance cruiser. Despite its age, its timeless design and strong value on the used market make it a compelling choice for enthusiasts.
The Bad
Known weaknesses for the 1998 BMW 5-Series include a fragile cooling system (water pump, expansion tank), VANOS unit issues on six-cylinder models, potential electrical gremlins (window regulators, ABS module), and wear in suspension components. Rust can also be a concern, especially in regions with road salt. These issues can lead to costly repairs if neglected.
1998 BMW 5-Series: Quick Overview
- Engine Options: The 1998 BMW 5-Series offered two primary engine options in the U.S.:
- 528i: M52TUB28 2.8-liter inline-six cylinder.
- 540i: M62TUB44 4.4-liter V8. - Horsepower:
- 528i: Approximately 190 horsepower.
- 540i: Approximately 282 horsepower. - Fuel Economy (estimated combined city/highway MPG):
- 528i: Around 20-28 MPG, depending on transmission (manual generally better).
- 540i: Around 17-25 MPG. - 0-60 MPH Times (estimated):
- 528i: Roughly 7.0-8.0 seconds.
- 540i: Roughly 5.5-6.5 seconds, making it a surprisingly quick sedan for its time. - Towing Capacity: BMW did not officially rate the E39 for significant towing in the U.S. market, focusing instead on performance. However, with appropriate aftermarket hitches, it can handle light loads, typically not exceeding 3,500 lbs, but this is generally not recommended for heavy-duty towing.
- Trim-Level Features:
- 528i (Base Model): Standard features included automatic climate control, power windows, locks, and mirrors, anti-lock brakes (ABS), Automatic Stability Control + Traction (ASC+T), leatherette upholstery, wood trim, and a premium audio system.
- 540i (Premium/Performance Model): Built upon the 528i's features, adding the more powerful V8 engine, typically a sportier suspension setup, larger alloy wheels, full leather upholstery, power adjustable front seats with memory functions, and often upgraded audio or navigation as standard or common options. - Common Optional Features Across Trims: Included xenon headlights, heated front seats, power rear sunshade, rain-sensing wipers, universal garage door opener, Park Distance Control (PDC), and a more advanced navigation system with a larger display.
1998 BMW 5-Series Specifications
No records to be displayed
Vehicle History Report
What Problems Does the 1998 BMW 5-Series Have?
The 1998 BMW 5-Series, while well-engineered, is prone to several frequently reported problems, largely due to its age and complex systems. The most notorious long-term reliability concern is the cooling system. Components like the plastic expansion tank, water pump (with a plastic impeller), thermostat, and radiator hoses are known to fail, often catastrophically, between 80,000 and 100,000 miles. A proactive overhaul is highly recommended.
Electrical issues are also common. The instrument cluster and Multi-Information Display (MID) often suffer from "pixelation," where segments of text or numbers disappear. Window regulators frequently fail, and the ABS control module is a known point of failure, illuminating dashboard warning lights. The ventilation fan final stage resistor (FSR) can also fail, leading to erratic fan speed control.
For the 528i's M52TU inline-six engine, VANOS (Variable Valve Timing) unit seals degrade, causing rattles, reduced performance, and increased oil consumption. The V8-powered 540i (M62TUB engine) has its own unique set of issues, notably valve cover gaskets and valley pan gasket leaks. More critically, the timing chain guides can wear and fail, a very expensive repair, although this problem became more prevalent in later M62TUB engines beyond the 1998 model year, a pre-purchase inspection is still wise. Oil leaks from various gaskets are generally common across both engines as seals age.
Suspension components, especially front control arm bushings and thrust arm bushings, wear out, leading to clunking noises and vague steering. Rear suspension bushings also require attention over time. Rust can appear on body panels, subframes, and brake lines, particularly in areas exposed to road salt.
Regarding recalls, the E39 generation saw several, with specific ones for the 1998 model often related to airbag systems (e.g., driver's frontal airbag inflator), potential fuel pump issues, or minor wiring concerns. Owners should check the NHTSA database using their VIN for any outstanding recalls. Overall, while robust, these vehicles demand diligent and often expensive maintenance to remain reliable long-term.
Electrical issues are also common. The instrument cluster and Multi-Information Display (MID) often suffer from "pixelation," where segments of text or numbers disappear. Window regulators frequently fail, and the ABS control module is a known point of failure, illuminating dashboard warning lights. The ventilation fan final stage resistor (FSR) can also fail, leading to erratic fan speed control.
For the 528i's M52TU inline-six engine, VANOS (Variable Valve Timing) unit seals degrade, causing rattles, reduced performance, and increased oil consumption. The V8-powered 540i (M62TUB engine) has its own unique set of issues, notably valve cover gaskets and valley pan gasket leaks. More critically, the timing chain guides can wear and fail, a very expensive repair, although this problem became more prevalent in later M62TUB engines beyond the 1998 model year, a pre-purchase inspection is still wise. Oil leaks from various gaskets are generally common across both engines as seals age.
Suspension components, especially front control arm bushings and thrust arm bushings, wear out, leading to clunking noises and vague steering. Rear suspension bushings also require attention over time. Rust can appear on body panels, subframes, and brake lines, particularly in areas exposed to road salt.
Regarding recalls, the E39 generation saw several, with specific ones for the 1998 model often related to airbag systems (e.g., driver's frontal airbag inflator), potential fuel pump issues, or minor wiring concerns. Owners should check the NHTSA database using their VIN for any outstanding recalls. Overall, while robust, these vehicles demand diligent and often expensive maintenance to remain reliable long-term.
How long will the 1998 BMW 5-Series last?
Well-maintained 1998 BMW 5-Series vehicles are renowned for their impressive longevity, often reaching and exceeding 200,000 miles. Many owners report trouble-free service well past 250,000 miles, with some examples pushing towards 300,000 miles or more, provided they receive meticulous care. This translates to over two decades of potential service.
The long-term durability of the E39 chassis, engines (M52TU and M62TUB), and transmissions is generally high. However, this durability is contingent upon consistent, proactive maintenance. The primary long-term weaknesses revolve around the aging plastic and rubber components of the cooling system, various electrical modules (like ABS and MID), and suspension bushings. Neglecting these common failure points will significantly shorten the vehicle's lifespan and lead to expensive repairs. Rust, especially in the undercarriage and body seams, also becomes a factor over decades, particularly in wetter climates or areas using road salt. Despite these, with proper attention, the E39 remains a remarkably durable car.
The long-term durability of the E39 chassis, engines (M52TU and M62TUB), and transmissions is generally high. However, this durability is contingent upon consistent, proactive maintenance. The primary long-term weaknesses revolve around the aging plastic and rubber components of the cooling system, various electrical modules (like ABS and MID), and suspension bushings. Neglecting these common failure points will significantly shorten the vehicle's lifespan and lead to expensive repairs. Rust, especially in the undercarriage and body seams, also becomes a factor over decades, particularly in wetter climates or areas using road salt. Despite these, with proper attention, the E39 remains a remarkably durable car.
What Technology & Safety Features are Included?
The 1998 BMW 5-Series (E39) offered a blend of luxury and nascent technology for its era. Built-in tech included an advanced automatic climate control system, a multi-information display (MID) or an optional larger screen for the on-board computer (OBC), providing trip data, vehicle status, and radio controls. The steering wheel featured multi-function controls for audio and cruise control, a relatively modern touch.
For entertainment, standard features included an AM/FM stereo with a cassette player, and often a CD changer located in the trunk. An optional Digital Sound Processing (DSP) audio system offered enhanced sound quality. An early, screen-based navigation system was available, though its functionality by today's standards is quite rudimentary.
Driver-assistance features for the 1998 model year included standard Anti-lock Braking System (ABS) and Automatic Stability Control + Traction (ASC+T) to aid in maintaining control under adverse conditions. Cruise control was standard. Optional features included Park Distance Control (PDC) with ultrasonic sensors in the bumpers to assist with parking maneuvers, and rain-sensing windshield wipers that automatically adjusted speed based on precipitation.
In terms of safety features, the E39 was well-equipped for its time. It came standard with dual front airbags for the driver and passenger, as well as front side airbags mounted in the seats. Optional rear side airbags were also available. Seatbelt pretensioners and force limiters were standard to minimize injury in a collision. The rigid body structure was a key safety element.
Crash-test ratings: The E39 generation generally performed well in crash tests. Euro NCAP, for example, awarded the E39 4 out of 5 stars for adult occupant protection. The Insurance Institute for Highway Safety (IIHS) in the U.S. typically gave "Good" ratings for frontal offset crash tests, reflecting the vehicle's robust safety engineering for its time.
For entertainment, standard features included an AM/FM stereo with a cassette player, and often a CD changer located in the trunk. An optional Digital Sound Processing (DSP) audio system offered enhanced sound quality. An early, screen-based navigation system was available, though its functionality by today's standards is quite rudimentary.
Driver-assistance features for the 1998 model year included standard Anti-lock Braking System (ABS) and Automatic Stability Control + Traction (ASC+T) to aid in maintaining control under adverse conditions. Cruise control was standard. Optional features included Park Distance Control (PDC) with ultrasonic sensors in the bumpers to assist with parking maneuvers, and rain-sensing windshield wipers that automatically adjusted speed based on precipitation.
In terms of safety features, the E39 was well-equipped for its time. It came standard with dual front airbags for the driver and passenger, as well as front side airbags mounted in the seats. Optional rear side airbags were also available. Seatbelt pretensioners and force limiters were standard to minimize injury in a collision. The rigid body structure was a key safety element.
Crash-test ratings: The E39 generation generally performed well in crash tests. Euro NCAP, for example, awarded the E39 4 out of 5 stars for adult occupant protection. The Insurance Institute for Highway Safety (IIHS) in the U.S. typically gave "Good" ratings for frontal offset crash tests, reflecting the vehicle's robust safety engineering for its time.
What Colors Options are Available?
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1998 BMW 5-Series Prices and Market Value
When new in 1998, the 528i typically retailed around $38,000-$42,000, while the more potent 540i commanded prices in the $50,000-$55,000 range, before options. As of today, the 1998 BMW 5-Series has completed its depreciation cycle many years ago. Current used market prices vary drastically, ranging from as low as $3,000 for high-mileage examples needing significant work, to $10,000-$15,000 or more for meticulously maintained, low-mileage cars, particularly the V8 540i or rare manual transmission variants. Exceptional, collector-grade examples can command even higher prices.
Factors heavily affecting resale value now include comprehensive maintenance records (crucial for showing proactive care), overall cosmetic condition (interior wear, exterior paint, rust presence), and mechanical soundness. Having common E39 issues like the cooling system or VANOS seals addressed adds significant value. Models with desirable options like sport packages or unique colors also tend to fetch better prices, as the market is now driven by enthusiast appeal and condition rather than utility.
Factors heavily affecting resale value now include comprehensive maintenance records (crucial for showing proactive care), overall cosmetic condition (interior wear, exterior paint, rust presence), and mechanical soundness. Having common E39 issues like the cooling system or VANOS seals addressed adds significant value. Models with desirable options like sport packages or unique colors also tend to fetch better prices, as the market is now driven by enthusiast appeal and condition rather than utility.
1998 BMW 5-Series Cost of Ownership
Owning a 1998 BMW 5-Series is generally a costly endeavor, not an economical one. Insurance premiums are moderate for an older luxury sedan, but can be higher due to its performance pedigree. It exclusively requires premium unleaded fuel; the 528i offers decent economy, but the 540i is considerably thirstier.
Maintenance and repair costs are the biggest factors. While parts are widely available (OEM and aftermarket), labor rates for qualified BMW technicians are high. Expect significant expenses for proactive cooling system overhauls, suspension component replacements, and addressing electrical gremlins. Deferred maintenance on these cars is always more expensive. Long-term ownership demands a substantial annual budget for upkeep to keep it running reliably and safely.
Maintenance and repair costs are the biggest factors. While parts are widely available (OEM and aftermarket), labor rates for qualified BMW technicians are high. Expect significant expenses for proactive cooling system overhauls, suspension component replacements, and addressing electrical gremlins. Deferred maintenance on these cars is always more expensive. Long-term ownership demands a substantial annual budget for upkeep to keep it running reliably and safely.
1998 BMW 5-Series Fuel Efficiency
No records to be displayed
1998 BMW 5-Series Insurance
Insurance for a 1998 BMW 5-Series is moderately priced, reflecting its status as a Vehicle with strong safety ratings and
reasonable repair costs.
reasonable repair costs.
How Does the 1998 BMW 5-Series Compare to Other Vehicle?
The 1998 BMW 5-Series (E39) competed fiercely with rivals like the Mercedes-Benz E-Class (W210), Audi A6 (C5), and Lexus GS (S160) in the executive sedan segment.
In terms of performance, the E39 was largely considered the benchmark for driving dynamics. Its precise steering, balanced chassis, and engaging handling surpassed the softer, more comfort-oriented Mercedes E-Class and the often numb-feeling Audi A6. The 540i's V8 offered potent acceleration, rivaling the E430 and GS400, but with a more sporting character. Lexus offered smooth power but lacked the BMW's communicative steering.
Features across these luxury sedans were broadly comparable, with each offering high-quality interiors, automatic climate control, and various power amenities. BMW's cabin was generally more driver-focused, with logical ergonomics. Mercedes emphasized traditional luxury and comfort, while Audi showcased sophisticated design and available Quattro all-wheel drive.
Reliability is a nuanced comparison. The Lexus GS series typically holds the edge for sheer trouble-free ownership, requiring less frequent and less costly repairs. The W210 E-Class is known for issues like rust and various electrical problems, while the C5 A6 could suffer from complex transmission failures and electronics. The E39, while mechanically robust at its core, demands meticulous and often expensive proactive maintenance, especially concerning its cooling system and specific engine-related components, making it less "reliable" in a low-cost-of-ownership sense than the Lexus, but potentially more so than a neglected Mercedes or Audi.
Price on the used market today sees all these cars significantly depreciated. The E39, particularly well-kept 540i models or manual 528i variants, can command a slight premium due to enthusiast demand, but all fall within a similar budget range for a driver seeking an older luxury sedan.
Recommended alternatives:
In terms of performance, the E39 was largely considered the benchmark for driving dynamics. Its precise steering, balanced chassis, and engaging handling surpassed the softer, more comfort-oriented Mercedes E-Class and the often numb-feeling Audi A6. The 540i's V8 offered potent acceleration, rivaling the E430 and GS400, but with a more sporting character. Lexus offered smooth power but lacked the BMW's communicative steering.
Features across these luxury sedans were broadly comparable, with each offering high-quality interiors, automatic climate control, and various power amenities. BMW's cabin was generally more driver-focused, with logical ergonomics. Mercedes emphasized traditional luxury and comfort, while Audi showcased sophisticated design and available Quattro all-wheel drive.
Reliability is a nuanced comparison. The Lexus GS series typically holds the edge for sheer trouble-free ownership, requiring less frequent and less costly repairs. The W210 E-Class is known for issues like rust and various electrical problems, while the C5 A6 could suffer from complex transmission failures and electronics. The E39, while mechanically robust at its core, demands meticulous and often expensive proactive maintenance, especially concerning its cooling system and specific engine-related components, making it less "reliable" in a low-cost-of-ownership sense than the Lexus, but potentially more so than a neglected Mercedes or Audi.
Price on the used market today sees all these cars significantly depreciated. The E39, particularly well-kept 540i models or manual 528i variants, can command a slight premium due to enthusiast demand, but all fall within a similar budget range for a driver seeking an older luxury sedan.
Recommended alternatives:
- Lexus GS300/GS400 (1998-2005 S160 generation): If reliability and lower maintenance costs are paramount, the Lexus is an excellent choice. It offers strong performance (especially the GS400/430 V8s) and luxurious comfort, albeit with less driver engagement than the BMW.
- Mercedes-Benz E-Class (1998 W210 generation): For those prioritizing a plush, comfortable ride and traditional luxury, the E-Class is a good alternative. Be wary of rust and specific electrical issues.
- Audi A6 (1998-2004 C5 generation): Offers a high-quality interior and, crucially, available Quattro all-wheel drive for inclement weather, a feature not common on E39s in the U.S.
Final Verdict: Is the 1998 BMW 5-Series a Good Vehicle?
The 1998 BMW 5-Series (E39) is ideal for the automotive enthusiast or a driver who deeply appreciates a "driver's car" with exceptional handling, timeless styling, and a premium feel. It's a fantastic choice for those who value driving dynamics above all else and are willing to invest in its upkeep.
Is it worth buying? Absolutely, but only under very specific conditions. As a used vehicle, its new price is no longer a factor. Buyers must seek out examples with comprehensive service records demonstrating proactive maintenance, especially for the cooling system and suspension. A pre-purchase inspection by a BMW specialist is mandatory to uncover hidden issues. The 528i offers a great balance of performance and relatively lower running costs, while the 540i delivers thrilling V8 power but with potentially more complex maintenance. It is definitely not a "buy it cheap and run it into the ground" car; ownership requires a significant budget for ongoing maintenance and potential repairs. If you have the passion, the budget, and find a well-cared-for example, the E39 5-Series offers an unparalleled driving experience for its price point.
Is it worth buying? Absolutely, but only under very specific conditions. As a used vehicle, its new price is no longer a factor. Buyers must seek out examples with comprehensive service records demonstrating proactive maintenance, especially for the cooling system and suspension. A pre-purchase inspection by a BMW specialist is mandatory to uncover hidden issues. The 528i offers a great balance of performance and relatively lower running costs, while the 540i delivers thrilling V8 power but with potentially more complex maintenance. It is definitely not a "buy it cheap and run it into the ground" car; ownership requires a significant budget for ongoing maintenance and potential repairs. If you have the passion, the budget, and find a well-cared-for example, the E39 5-Series offers an unparalleled driving experience for its price point.
Cathleen V
Cathleen is an exceptional freelance writer covering hot topics in the automotive world from a gearhead's perspective. Her articles delve into various aspects of automotive technology and history, offering readers detailed insights into engine performance, reliability, and maintenance. Through her engaging and informative writing, Cathleen provides valuable information to automotive enthusiasts and consumers alike, helping them make informed decisions about vehicle maintenance and purchases.