To be fair, *if* you DIY, you can overhaul engine/cooling system for about $2k. $3k if you get the Zionsville setup, so you don't have to deal with the exploding fan.
After that's done, the only thing to worry about is the tranny, which goes at ~175k miles, on average. There's 5HP24s available all over for around $500.
I mean, it's not cheap, but he feasibly could pick up a decent E38 for $5000, throw another 3k into it and have a car that's somewhat reliable. Other than the timing guide issue and a blown rad hose, I had no real issues with mine.
In OP's place, I'd go check out the 2000 740 that's up for sale in Richmond with busted guides (I think it's a blk/blk shorty sport), offer up $1000 cash if the engine hasn't bent a valve or something, fix it up and have a decent E38 for less than $3k. Not counting the entire week of labor taking it apart and putting it back together
