A 456-horsepower BMW M550i that stickered for $73,900 just six years ago now costs less than a new Toyota Camry. We’re talking about a twin-turbo V8 luxury sedan that hits 60 mph in 4.3 seconds, available for the same $30,000 you’d spend on Toyota’s most practical family car.
The beauty of such a vehicle is that, not only will it provide plenty of extra toys to sink your teeth into, but it’ll also get you to your destination much quicker.
Seems like a no-brainer, right?
456 HP vs. 225 HP: Why This BMW Destroys The Camry in Every Metric
2018 BMW M550i xDrive driving front 3/4BMW
2018 BMW M550i xDrive
Engine
4.4L twin-turbocharged V8
Transmission
8-Speed Auto
Power
456 hp
Torque
480 lb-ft
0-60 mph
4.3 seconds
Average Used Value
$35,174
As practical and reliable cars go, the 2026 Camry is a pretty swift machine. Its hybrid-boosted inline-four engine kicks out a solid 225 combined horsepower, which is enough to power it from 0-60 mph in under seven seconds. This is more than adequate for most families, but it won’t exactly get the juices flowing at the speed of sound.
The M550i, while not a full-fat M5, can far exceed the capabilities of Toyota’s venerable sedan. The M550i gets the same twin-turbocharged 4.4-liter V8 engine as the M5, but in a reduced 456 hp form versus its bigger sibling’s 600 hp unit. Still, this isn’t far off double the grunt of the Camry, with the extra pace able to get it to 60 mph in a high-end sports car-threatening 4.6 seconds. In addition, the M550i comes with BMW’s handy xDrive AWD setup, meaning both this and the Toyota get the added traction for around $30k.
The BMW pulls further clear of the trusty Camry when you open the door and climb inside. While the Camry is perfectly functional and comes with useful features like climate control and adaptive cruise control, its built-to-cost cabin and cloth seats don’t exactly leave you feeling inspired. This is where the M550i shines, as you’ll be greeted with sumptuous leather seating and a choice of different trims, which consist of various wood or metal effects.
Beyond this, you get satellite navigation, a powered moonroof, and an excellent sound system for you to kick back and enjoy while on the move. Extras like massaging, heating, and ventilated seats, a heated steering wheel, and automatic parking are also on the menu. Shop around, and you’ll likely be able to find a well-priced specimen with these options installed.
Used M550is Can Be Found For The Same Price As A Low-End Camry
2018 BMW M550i xDrive Blue Rear ViewBMW
Despite coming with all that extra grunt and an upmarket cabin – as well as genuine M badging – the M550i is worth a fraction of what it sold for just under a decade ago. Being the poshest 5-Series that isn’t an M5, the M550i retailed for a commanding $73,900 before you got into the sticky business of adding options.
These days, you can pick up a solid example for less than half of that. Most clean examples will demand the same sort of money as a range-topping Camry, though cars with around 70,000+ miles on the clock can be found for the $30k mark if you search around.
Increase your budget to the $35k area, and you’ll be able to find cars with closer to 55,000 miles on the odometer, which should leave you with plenty of meat on the bone. If you’re looking for a more pristine car with a few years remaining before key maintenance items need to be sorted, expect to part with more like $40k. Cherished high milers are out there waiting for you though, and provide an excellent way of buying this V8-powered beast for the same as what a low-end Camry would demand of you.
The M550i Is Fairly Pricey To Run, But It’s Solid
2018 BMW M550i xDrive engineBMW
You may save plenty of cash on buying a used BMW M550i when compared to newer alternatives, but that doesn’t mean that running and servicing costs have got any cheaper. As already established, this machine isn’t particularly fuel efficient thanks to its thirsty V8, though at least the engine is pretty strong for the most part.
BMW’s N-Series V8 crafted a reputation for being pretty unreliable early in its life, though the N63TU3 found in the 2018 M550i features some key developments that helped turn its reputation around. Units such as the N63 were notorious for suffering from excessive oil consumption, turbocharger failure, timing chain issues, as well as overheating.
To combat these problems, the N63TU3 comes equipped with upgraded turbos as well as forged connecting rods to help better deal with the punishment inflicted on them. Additionally, the engine’s turbo and air intake systems were revised to increase air flow and help keep the engine cool, which tended to be the main catalyst for the issues found in earlier designs.
The rest of the car’s components are pretty strong too, so there’s not anything major to worry about as long as the car has been properly maintained.
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Expect the car to cost a fair chunk to keep running due to the advanced parts used throughout, as well as that large V8 that requires plenty of fluids and time to get the work done. BMW parts aren’t the cheapest to get either, which is the main reason for RepairPal estimating the car will cost around $1,046 a year to keep running sweet.
For reference, a Camry is rated at just $388 for a 12-month stretch. As plush V8 powerhouses go, though, the M550i is pretty durable. And you can count on saving a chunk of money versus anything new with anywhere near as much grunt or luxury.
BMW M550i Reliability, Recalls, and Common Problems
2018 BMW M550i xDrive Blue Front Angled View w/ Silver 5 SeriesBMW
The key to reliability in any car, regardless of make or model, always comes down to proper maintenance. Even the most reliable cars can break down if they go too long without an oil change. That said, BMW as a brand doesn’t have the best reputation. The 7th-generation 5-Series, of which the 2018 M550i is a part of, is generally average when taken care of — the M550i, in particular, touts one of the brand’s more reliable V8 engines. In fact, the 7th-gen 5 Series is one of the model’s most reliable generations, according to its lack of common severe issues and few notable recalls.
The 2018 BMW 5 Series is affected by six recalls to date, but the M550i is excluded from the worst of them. The only recall that affects this version includes one that affects 257,473 cars (including a suite of other BMW models and models from other brands) and pertains to the lack of an image on the back-up camera. So far, it seems as though the 2018 5 Series is holding up to J.D. Power’s quality and reliability score of 82 out of 100.
The M550i Can Also Be Compared To One Of BMW’s Newer Offerings
Front shot of a 2025 BMW M340iBMW
The beauty of the M550i is that it stands out as a tantalizing alternative to another brand-new car on the market, and its value arguably gets even stronger when compared to a 2026 Camry. The vehicle in question is the 2026 BMW M340i xDrive, which is essentially to the 3-Series what the M550i is to the 5-Series.
It’s the highest-spec example of BMW’s compact executive sedan that isn’t the legendary M3, and gets a detuned version of the 3.0-liter turbocharged inline-six found under the hood of the full-fat version.
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The M340i differs in that the unit is joined by a hybrid powertrain, which powers the front wheels to afford the car its xDrive setup.
This does mean that the M340i is more fuel efficient than the old M550i, with the former’s 29 MPG average figure leaving it well clear of the latter’s 19 MPG.
That said, the V8 found in the older car is considerably more powerful than the M340i’s six-pot, which has 386 combined horsepower on its books. Being around 500 lbs lighter though, the smaller and newer car can reach 60 mph in four seconds on the nose, around half a second quicker than the M550i.
This lightness also ensures the M340i is more agile on the road, while its stiffer suspension setup further widens the gap between the duo. BMW found a better balance with the M340i than it did with the older M550i, which was a little too soft to provide a thoroughly engaging B-road blast.
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The M550i Is Drastically More Affordable
2018 BMW M550i xDrive driving sideBMW
All in all, though, the M550i stacks up pretty well to its lighter and more modern BMW teammate, even if it lacks in the pure driving dynamism department. But then you have to consider that you’ll have to hand over $63,700 to secure yourself a 2026 M340i, even before you’ve added any extras you’ve been licking your lips over.
This makes it comfortably more than double a higher-mileage M550i, and north of $20k over and above a lesser-traveled specimen.
And the 5-Series-based machine is considerably more practical, as it offers a spacier cabin and a larger trunk than the M340i. The M340i may arguably be a better buy for most drivers than a full-fat M3, but it’s difficult to argue that a tidy 2018 M550i doesn’t represent excellent value in comparison.
Sources: BMW, RepairPal, J.D. Power, NHTSA
