While BMW has been building the X3 since 2003, the debut of the very first X3 M variant didn’t occur until 2019. Fortunately, the owner of a first-generation X3 from 2005 has undertaken the task of crafting a genuine M-powered version of the popular SUV, and it is now available for sale with a very reasonable price tag of $19,840.
This BMW X3 has spent most of its life in the same condition it was in when it left the factory. However, around 15,000 miles (approximately 24,000 km) ago, the owner decided to part with the standard powertrain and replaced it with the S54 engine. This 3.2-liter naturally-aspirated six-cylinder engine is renowned for its use in the E46-generation M3 and the E86 Z4 M Coupe. While it is more than 20 years old, is still regarded one of the finest production engines ever built by BMW.
Read: 2025 BMW X3 Rendered In Production Form Based On Spy Shots
Discovered by The Drive for sale on M3List, the owner of this special X3 notes that the engine currently has about 140,000 miles (~225,000 km) on the clock and includes aftermarket headers. Additionally, the standard catalytic converters have been removed and the mufflers have been gutted. What’s more, a six-speed manual transmission has also been installed and the SUV has been converted to rear-wheel drive, promising to make it a true driver’s car and perhaps even more exhilarating to drive than the current X3 M.
Complementing the engine upgrades is a set of BC coilover suspension to lift the handling dynamics to new heights. The listing doesn’t make mention of whether any brake upgrades have been made but it does state the SUV retains all the same original functionality and has been upgraded with a more modern infotainment system supporting Apple CarPlay.
The X3 chassis has covered 213,000 miles (~342,000 km) over the past 18 years and while that’s quite a lot, we’re sure that fact fades into insignificance once you start to drive the thing. As for the price, it’s undeniably quite high, especially for a first-generation X3, which is typically listed between $3,000 and $10,000. However, this is a unique creation with an original E46 M3 powertrain, so, it’s not exactly an apples-to-apples comparison.
The question is, would you pay $19k for an M converted first-gen X3 when you can get a similar-mileage M3 for the same money?
