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E46 M3 (2001-2006) Engine: S54 - Max Hp: 333 hp at 7,900 rpm / 262 lb/ft at 4,900 rpm
Total Produced: 45,000+ - Years Produced: 2001 to 2006.

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Old Sat, Nov-07-2009, 12:43:00 PM   #11
John_T
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I had a tiny leak, not sure if it was at the same place. BMW re-torqued down the bolts and that was the end of it. Not sure I would do this myself if I didn't know what the correct torque should be, as over tightening could have other consequences.
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Old Sun, Nov-08-2009, 02:01:27 AM   #12
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Looks like its sweating... No big problems but I would have the dealer replace the seals.
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Old Sun, Nov-08-2009, 02:39:21 AM   #13
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I didn't know this was common.
I didn't see any leaks on my axle shafts-to-differential yesterday when I was taking out the suspension.
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Old Wed, Nov-11-2009, 05:22:21 PM   #14
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I am having the same problem, and small spots of diff fluid are on the garage floor. Would the dealer repair this under cpo, and would they say anything if the car had different wheels and coilovers?
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Old Wed, Nov-11-2009, 05:58:56 PM   #15
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Same problem here, no drips yet. Check oil level on the regular basis and it is actually always full. I as under the impression that this is pretty common and not really a cuase for concern unless oil level in diff goes down.
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Old Thu, Nov-12-2009, 04:35:15 AM   #16
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I had what sounded like a brake caliper hanging up this morn on the way to work. Put the car up on the lift this morn to look at it at my shop, while i was looking at the rear brakes i noticed the exact same thing on my car. Those pics look like they could have been taken under my car, sounds like a common thing.
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Old Tue, Nov-17-2009, 12:45:07 AM   #17
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*UPDATE*......Well I took her in for the appointment today and the dealer just called me and said they are replacing the diff seals and that obviously means a diff flush as well. All this for $50, which is my deductible on my CPO warranty .......I cant tell you enough how glad I am I spent the $3000 and bit the bullet on the extended warranty......One year into it and I've had my Inspection 2 covered (with valve adjustment), new alternator, pulley tensioner replaced, new water pump and a few other things done all for 2 $50 deductable payments. Now with the rear differential work it definetly paid for itself. I have 60K on my M3 and its covered to 100K or Nov. 2012, whichever comes first....I almost wish things would break on the SMG tranny so I can take advantage of the warranty even more. I dont know, maybe a new SMG pump? ......My goal is to have all new parts on the car by the time the warranty expires ......Im kidding about all that but seriously if given the oppurtunity to get the CPO warranty, its a no brainer........
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Discussing Rear Drive Shaft leak. Anything to be concerned about in the E46 M3 (2001-2006) Forum - Engine: S54 - Max Hp: 333 hp at 7,900 rpm / 262 lb/ft at 4,900 rpm
Total Produced: 45,000+ - Years Produced: 2001 to 2006. at BMW M3 Forum.com (E30 M3 | E36 M3 | E46 M3 | E92 M3 | F80/X)