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The e60 M5 is not a budget car. They are inexpensive to buy now, but they still demand the pockets of someone who would have bought it new.
A client and I looked at a few recently before he bought one and this is what my take is on it;
1) Make sure it wasn't driven hard and put away wet. A lot of them were purchased off Lease by people who drove the piss out of them and now are unloading them cheap.
2) THey drink oil and gas A LOT.
3) SMG - Make sure you have 1500$ to put towards repairs at any time unless it was already done. It is a jerky transmission. I hated it, the only time I liked it was when I was driving balls out. The rest of the time I couldn't STAND IT!!! So spend some time driving it to see if you like the drive.
4)They ride extremely well on the HWY and have a good, stiffish ride.
5)Accident hostory, a lot of them fond their way up here from the states when they were much cheaper in 08-10 and have questionable history.
6) Dealers will tell you if the recalls were done, they will also tell you (once you track it down from BMW Canada HQ) where it was last serviced and what was done. They will not give you a copy of that info however (from my experience).
Happy hunting, but they aren't cheap cars to own even though they have become affordable to purchase.
The torque isn't that impressive until you are up in the rev band for a V10, but it sounds nice.
I would recommend you spend time on e60 section on the M5board.
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His--2000 BMW ///M5 .:Jet Black on Black:. Individual - Style 65 Wheels; 9.5" Square Set up;275 Tires;10mm/3mm Spacers; Black Kidneys;Muffler Delete; 3.5" Dual Tips; Beast Power Sway Brackets; "Dinan" Ducts; E60 SSK; BC Coils 
Hers--2000 BMW ///M5 .:Avus Blue on Grey/Black:. '01 Exterior Upgrades; E60 SSK
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