Valve cover gasket started to leak, worse in cold weather. Bad enough oil would sometimes drip on to the exhaust manifold and burn causing a god awful eye watering stink in the passenger compartment. The fix is a replacing gasket, which also requires an oil change and air cabin filter replacement which will run you about 800 dollars.

Another and related issue is during extremely cold weather, minus 35 type weather, the engines pvc system can sometimes freeze up not allowing internal engine pressure to vent properly. This will also cause a back flow of oil stink into the cabin. There is an update kit available to address the problems. Probably not an issue in the states, but I live in the frozen north of Canada where minus 40 is not uncommon in the winter.

I love my BMW X3.. I have had it for almost two years. But I have honestly had SOOO many problems out of this car. It started when we first got it and the radiator was busted. We had to get that fixed. Then it started having oil leaks, we got that fixed and ended up having to fix it four different times (Keep in mind it is the same part that I am talking about). We put new front tires on the car, THE TIRES ARE TWO DIFFERENT SIZES. So we had to put rear tires on the car as well as replace the transfer case. We had bought bumper to bumper warranty on the car and the warranty has only paid to fix the oil leak one time. My car is now in the shop with 4 new oil leaks, a messed up transfer case, needs replacement shocks and suspension. I will be trading this car in because the "warranty" will not help pay whatsoever.