BMW built its first M5 in the mid-1980s, creating one of the world’s first high-performance sedans in the process. Engineered by the automaker’s Motorsport division, the M5 used a six-cylinder engine from the legendary M1 supercar, and first went on sale in Europe in 1986. BMW didn’t send the M5 to North America until 1988, and it was only on sale for a year.
Since then, the M5 has been available sporadically on this side of the Atlantic. New generations of the car typically arrive a year or two after each 5 Series redesign, and there was a seven-year gap in the 1990s before BMW launched the third-generation M5, widely considered the best example of the sports sedan.
The BMW M5 sedan has served as a performance and luxury benchmark over seven generations, pairing generous helpings of sports car speed and handling with comfort, quality, and advanced technology wrapped in a practical four-door body. Rare estate variants have been sold in other markets, but they didn’t come to North America until 2025 (more on that below).
During its 40-year run, the M5 morphed from a 1,500-kilogram (3,300-pound) hand-built stealth sedan equipped with an exotic engine into a plug-in hybrid weighing nearly as much as a Toyota Sequoia and sporting (of all things) an illuminated grille and in-car video gaming capability. But across those decades, you’ll find these common through lines: velocity, athleticism, and exclusivity.
Oh, and BMW M5s are expensive to buy, own, and fix. So, fatten up your wallet before parking one in your garage.
BMW M5 Buying Guide: Cost, Reliability, and the Best Years to Buy
- Frequently Asked Questions
- Pros and Cons
- BMW M5 Generations
- Seventh generation (2025 to Present)
- Sixth generation (2018 to 2023)
- Fifth generation (2013 to 2016)
- Fourth generation (2006 to 2010)
- Third generation (2000 to 2003)
- Second generation (1991 to 1993)
- First generation (1988)
Frequently Asked Questions
Which BMW M5 years are the best?
Experts contend the best M5 to buy is the third-generation model sold from 2000 to 2003. Known as the E39 M5, it had a V8 engine, a delicious exhaust note, and none of the technology that started to infiltrate the model with the fourth-gen M5.
Among newer cars, the sixth-generation M5 blends astonishing twin-turbocharged performance with modern technology, and is known to be reliable when properly cared for. Try to buy a 2021, which had an improved version of the iDrive infotainment system with wireless Apple CarPlay and Android Auto, and still offered the stunning Bowers and Wilkins Diamond audio system that BMW discontinued for the 2022 model year.
Purists will want to pursue the OG 1988 M5, which came only in black. You’re more likely to find one in the U.S., where you can occasionally find one on sale, but prepare to pay a significant amount for a great one — and more to keep it on the road.
What are the worst BMW M5 years?
Enthusiasts were not enthusiastic about the fifth-generation M5, which had plenty of power but also looked and felt flabby and soft. However, there are good reasons to consider it, as you’ll find in this guide.
You should skip the 2006 M5, which came only with a Sequential Manual Gearbox that shifted roughly. Starting the following year, the 2007-2010 M5 offered a manual transmission. However, the fourth-gen M5 has issues ranging from its Chris Bangle-penned “flame-surfaced” styling to its finicky iDrive infotainment system. It was the only M5 with a V10 engine, though.
Expect lots of M5 fans and the BMW faithful to shun the 2025 M5 for its origami styling, electrified powertrain, prodigious weight, and frivolous tech. The fact that its coming to North America in sedan and wagon body styles is compelling, though.
Is a used BMW M5 a good deal?
If a BMW M5 seems like a good deal — i.e. cheap — run away. You’ll either pay a lot of money for the best examples, or you’ll pay a lot of money to keep one running and on the road. Either way, plan to spend a lot of money.
Pros and Cons
Pros
- Supercar performance in a luxury car
- Stealthy styling in the BMW M tradition
- Generally reliable when properly maintained and kept stock
Cons
- Expensive to buy, maintain, and repair
- No proper automatic until 2013
- No manual after 2016
BMW M5 Generations
Seventh generation (2025 to Present)
One of the biggest changes in the M5’s history arrived in 2025. Not only did BMW add a wagon version to the lineup, known as the M5 Touring, but the seventh-generation car also came with a standard electric motor in addition to its internal combustion engine, rendering it a plug-in hybrid (PHEV). It also marked the first use of rear-wheel steering and offered hands-free driving assistance technology for the first time. The infotainment system provided access to YouTube videos and included an Air Console gaming system. Blasphemy? That’s for you to decide.
The PHEV drivetrain ensures proper M performance, using a twin-turbocharged 4.4-litre V8 engine married to an eight-speed automatic transmission and an M-tuned xDrive all-wheel-drive (AWD) system. BMW integrates the electric drive motor into the transmission, and a 14.8-kilowatt-hour battery underneath the passenger compartment supplies enough juice to propel the 2025 M5 for 43 kilometres on electricity alone.
Maximum power output measures 717 horsepower and 738 pound-feet of torque – more than in any BMW M5 in history. However, BMW’s claimed acceleration time of 3.5 seconds to 100 km/h and available 305 km/h top speed are, these days, nothing groundbreaking. The previous-generation F90 BMW M5 Competition CS could get there half a second quicker. Likely, the culprit is the M5 PHEV’s astonishing 2,445-kilogram (5,390-pound) curb weight.
The 2025 BMW M5 sold new in Canada for about $146,000.
Sixth generation (2018 to 2023)
Known by BMW-philes as the F90, the sixth-generation M5 was the first to have electric steering, an unavoidable change that didn’t make people happy. However, BMW made up for that with the first use of its xDrive all-wheel drive system, adding grip for improved performance and all-weather traction for driving in rain or snow.
BMW tuned the M-specific xDrive system for a rear-wheel power bias, and by turning off the dynamic stability control, you could run the M5 as a rear driver. You could even drift it, if that’s your thing. The twin-turbo 4.4-litre V8 supplied specs to the tune of 600 hp and 553 lb-ft of torque, delivered to the wheels through an eight-speed automatic transmission. Acceleration to 100 km/h took about 3.4 seconds, and with the M Driver’s Package, it could hit 305 km/h.
In 2019, the M5 Competition arrived with 625 hp and slightly quicker acceleration, and BMW made Apple CarPlay standard. Digital instrumentation and standard wireless smartphone charging arrived in 2020, and BMW offered an extremely rare M5 Edition 35 Years model based on the Competition.
Refreshed styling arrived in 2021, along with a new iDrive infotainment system with a 12.3-inch touchscreen and wireless Apple CarPlay and Android Auto. BMW also reworked the Competition model’s suspension for incremental ride improvements to the driving experience.
The sixth-generation M5’s final model year in Canada was 2023. A limited-production M5 Competition CS debuted with a small bump in power and a lightweighting treatment that produced 100 km/h in three seconds flat. The M5 CS also had exclusive suspension tuning, plenty of carbon fibre, and swapped the rear bench seat for two buckets. Its price when new was $165,900 and it would dominate at the racetrack.
Because the sixth-generation M5 is still relatively new, there are no major reported problem areas or concerns. However, as is always true with high-performance vehicles, you want to avoid those with obvious signs of neglect, abuse, or do-it-yourself tuning.
In Canada, sixth-generation M5s go for between $73,000 and $120,000, depending on model year, odometer reading, and condition. Prices for the 2022 M5 Competition CS are pushing past $200,000 as of this writing.
Fifth generation (2013 to 2016)
The fifth-generation M5, or F10 in BMW parlance, was billed as a supercar in a sedan, but purists thought it looked and felt too soft and luxurious, and contained too much technology. However, it was the first M5 with turbocharging and the last one with a six-speed manual transmission, rear-wheel drive, and hydraulic steering. Plus, it was more fuel efficient than the M5s that came before it. So, maybe the F10 M5 isn’t so bad after all.
This version of the M5 had a twin-turbocharged 4.4-litre V8 generating 560 hp and 502 lb-ft of torque. That torque was available starting at just 1,500 rpm, making the F10 a blast to drive anywhere, any time. Transmission choices included the rare six-speed manual and the more common seven-speed dual-clutch automatic. Carbon ceramic brakes were optional and even the standard front rotors had six-piston front calipers. BMW claimed a zero-to-100 km/h time of 4.3 seconds and a top speed of 305 km/h with the optional M Driver’s Package.
In 2014, a new Competition Package became available. It bumped engine output to 575 hp, lowered the suspension, added stiffer dampers, and bolted in a unique exhaust system. That same year, the M5 added several collision prevention safety features and a touchpad entry system for the iDrive infotainment system.
BMW sold only 20 examples of the 2015 30 Jahre M5 special edition model in Canada. It offered 600 hp and 516 lb-ft of torque, making it the most powerful production car the manufacturer had ever offered at that time.
When the sixth-generation BMW M5 was launched, reviewers were not enthusiastic about the car’s turn toward luxury. In retrospect, there are numerous appealing characteristics of this version, not least that it appears to be generally reliable, though oil consumption, leaks, and issues with the fuel-injection and ignition systems are reportedly areas of concern.
Since the F10 is advancing in age and odometer readings, you should be prepared to start spending money to keep one in top condition. Do yourself a favour and avoid the ones showing signs of neglect, abuse, or sloppy modifications.
High-kilometre examples are available for less than $35,000, but those are likely to start siphoning money from your bank account sooner than later. At the other end of the spectrum, mint, low-kilometre M5s can sell for almost $100,000, with the limited production variants priced much higher.
Fourth generation (2006 to 2010)
Aside from the dramatically styled seventh-gen M5 with its plug-in hybrid powertrain, the fourth-generation E60 M5 might be the most controversial ever made. Displaying BMW’s “flame surfacing” design language of the era, the E60 departed from the M5’s subtle speed ethos with fender vents, dramatic wheels, a bold quad-outlet exhaust, and an obvious body kit.
The E60 also boasted a 5.0-litre V10 engine that could rev to an incredible 8,250 rpm. It made 500 hp and 383 lb-ft of torque, delivered to the rear wheels through BMW’s clunky seven-speed Sequential Manual Gearbox (SMG). The SMG marked the first use of an automatic transmission in the M5, and North American customers were so incensed by its standard fitment that, in 2007, BMW added a proper six-speed manual transmission. Notably, the stick shift was available only in North America.
The M5’s SMG wasn’t like the smaller M3’s SMG, which was a manual transmission converted to shift automatically. The SMG in the M5 was engineered from the start to be an automatic, and worked best when shifting manually, exhibiting a lack of refinement when left to change gears on its own.
Acceleration to 100 km/h took 4.7 seconds, and the E60 M5 was the first to offer an optional M Driver’s Package that bumped the top speed from 250 to 305 km/h. It was also the first M5 with adaptive damping suspension, variable steering, and an electronic rear differential lock. Following the addition of the manual transmission in 2007, the 2008 M5 received upgrades to the interior and the iDrive infotainment system. BMW replaced that early iDrive technology with one based on a hard drive in 2010, improving the user experience. Otherwise, over the years, the fourth-generation M5 remained relatively unchanged.
Problem areas include rod bearing failure, which causes catastrophic damage to the V10 engine and will prove excruciatingly expensive to fix. Unsurprisingly, the SMG is also a potential money pit, so find an E60 M5 with a manual transmission. Throttle actuators are another known trouble spot. As always, the general advice is that you should plan to spend a lot of money on upkeep and repairs when you buy an older BMW, and especially a high-performance model like the M5.
Thrashed fourth-gen M5s are available for less than $30,000, and you should run away from them as fast as your legs will carry you. Clean, impeccably maintained examples are rare, and start closer to $50,000. Just know that’s not where your expenses will end.
Third generation (2000 to 2003)
The third-generation E39 M5 is widely considered one of the best. Delightfully analog, largely free of modern technology, and adherent to the subtle speed philosophy that guided high-performance German machines of the era, it represents what is often called “peak BMW.” Equipped with the first V8 engine in an M5, the E39 accelerated to 100 km/h in about five seconds. The 4.9-litre V8 generated 394 hp and 369 lb-ft of torque, and it used a six-speed manual gearbox to propel the rear wheels. There was no automatic option.
In addition to exclusive suspension tuning, the E39 M5 featured subtle styling differences from the 5 Series sedan on which it was based. It received unique wheels, a larger grille, a quad-outlet exhaust system, sport seats, and M badges inside and out. Most people didn’t notice the E39 M5, which is how BMW and owners wanted it. After all, why advertise that you’re planning to exceed the speed limit, and by a lot?
A refresh in 2001 brought minor styling updates, front parking sensors, gray gauge faces, a bigger infotainment screen, and additional airbags. Otherwise, the E39 didn’t change much during its short four-year run in North America.
Few serious trouble spots exist, but buyers should get a thorough inspection by a qualified mechanic or a repair shop that specializes in these cars. As a part of that process, check the plastic timing chain guides, the valve cover gaskets, and the variable valve timing module seals. Other areas of potential concern include carbon build-up in the combustion chambers, suspension wear, and corrosion in cars from regions where salt is used on roads in the winter (i.e., Canada). Finally, this generation M5 also had the Takata airbag recall, so shoppers should ensure that prospective purchases have had this issue repaired.
There are still a few of these M5s kicking around in Canada, though they are becoming scarce. Even higher-kilometre cars likely needing some repair can start at $40,000, while low-kilometre examples run into six figures.
Second generation (1991 to 1993)
After BMW teased driving enthusiasts with the 1988 M5, it returned the model to North America in 1991. Known as the E34, this M5 used a 310-hp 3.5-litre inline six-cylinder engine derived from the legendary M1 supercar, paired with a five-speed manual transmission and rear-wheel drive. It could hit 100 km/h in six seconds and reach 250 km/h.
Available only as a sedan barely distinguishable from the 5 Series, the second-generation M5 was available in other global markets in a wagon body style. This version of the car is rare — BMW built only 891 of them — and some importers have brought them here from overseas.
Though understated, the M5 boasted an unusual design characteristic: one of the alloy wheel designs resembled smooth hubcaps with whitewall tires, but what they lacked in aesthetics they possessed in functionality. BMW claimed they improved brake cooling by 25% thanks to turbines that directed more airflow to the braking system.
These M5s are now very hard to find in Canada, and the very scant handful that are around are often imported. You may be better off shopping south of the border and importing a car yourself to enjoy a broader selection. In the U.S., prices for E34 M5 are widely variable, with high-kilometre, indifferently maintained examples selling for the price of a used Nissan Versa and impeccable, low-kilometre models transacting for over $70,000 U.S. Now more than 30 years old, second-generation M5s will be expensive to maintain and repair, especially the ones that seem like a deal too good to be true.
First generation (1988)
Though the original BMW M5 (known as the E28) went on sale in Europe in 1985 for the ’86 model year, it didn’t arrive to our shores until 1988. And that was the only year we could buy it here, making it extremely rare. After all, BMW hand-built only 2,241 examples during the car’s three-year run, and only a fraction of them made it across the ocean.
What made the first M5 special was its 3.5-litre inline six-cylinder engine. Based on the same power plant in the automaker’s M1 supercar, it only made 256 hp in U.S. emissions-compliant specification. Still, it could accelerate to 100 km/h in 6.5 seconds and push to a top speed of 235 km/h, while its rear-drive executive sedan configuration with a five-speed manual transmission and sublime feedback through the steering wheel were catnip to late 1980s driving enthusiasts.
Of the handful that made the trip across the Atlantic, all were painted black, making it easier to pick one. You may even be able to find one in Canada: we found a single unit listed during our research, which was posted without an asking price. However, first-generation M5 ownership isn’t for the faint of heart. In addition to the estimated six-figure asking price for a good one, the E28 M5 can easily turn into a money pit if previous owners did not practice rigorous, timely maintenance. Also, the original self-leveling suspension can be a problem area, and many owners swap it out for conventional equivalents.
