Not owned long enough for any major faults - fine piece of engineering most of the time.
Previous car was a 316i saloon - the estate handled as well as the saloon even when loaded, but the extra weight used up the extra 200cc of engine.
Great driver's car, economical and zippy enough for most uses.
The three series is the benchmark for small executive cars and the estate is the starter-car for serious load carrying - good for a weekend away.
Had a 98R 318SE Touring for 18 months. Best car I've ever had. Small problem with heater and petrol gauge does not work, but what the hell it's a BMW. Will buy a newer one next time. Would recommend to anyone.