Thanks canadiankid and nando. I went ahead and gave it a try anyway, and the front diff does seem to be working correctly; the wheels spin opposite one another. Suggestions are always welcome!
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at minimum you need a new VC. it's possible to rebuild them but it's not really a DIY thing and I don't know of anyone outside extreme enthusiasts who've tried it.
you could buy a used TC. try one from a recycler that does warranties, so if the VC is bad you can get an exchange. make sure they agree to warranty the functional operation of the VC. the bad thing about this is, if it's bad you'll have to swap it again.
or a used one off the forums/ebay.. that can be a gamble!
or a brand new VC and rebuild your t-case. it's actually not that tough, but there's a lot of parts and it takes time. you can get a new VC for around $700.
or a brand new TC from BMW.. but that's basically never going to happen for most people. :(Comment
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Yeah, I figured I'd be spending at a minimum $500 on an unknown used TC, or close to $1k buying a new VC + associated seals and tools to rebuild it myself. Neither one's particularly appealing, especially since I don't really need AWD. I'll probably drive as-is or just sell it and take a loss - it's a beauty but I'm not sure I want to go down the twin rabbit holes of VC replacement and rust repair.Comment
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as far as I know, you don't need any special tools to put a TC together. I did use the "special" seal installer for the front output shaft once, but realized it was pointless if you have the TC out of the car.Comment
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I found someone selling a crapshoot TC for $250.00. Turned out to be bad, so I'm in pretty much the same situation. At least now, I have one that's off of the car to rebuild.
e30tech has a great write up for replacing the VC. http://www.e30tech.com/forum/showthread.php?t=76761Comment
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