Unfortunately, sunroof problems are not easily rectified with these cars (or any car, for that matter), and sunroof repair is not a DIY friendly procedure. Under no circumstances would I take it to the dealer to have fixed. Chances are it's been an eternity since any of their technicians have performed that procedure, since E36s are so old now. You're much better off going to an independent shop, for a number of reasons. They will also cost much less than the dealer. Believe it or not, upholstery shops are often a good place to have sunroofs fixed, since they have the tools and knowledge to remove all of the interior stuff needed to access the sunroof cassette.
And due to the nature of the beast, you have very little chance of knowing exactly which part has broken until it has been opened up.
Suggest Dealership or specialist .. I did it myself first and last time.. after doing it once I would recommend DIY, but if it's your first time then someone else b/c it is a learning experience and you can make it worse and cost you more at the end. That's my 2 c
And an independent shop will cost about 1/2 of what the dealer charges. A local guy had a similar problem in his E36 and it cost him between $200-300 to have repaired at a local indy shop.
But yeah, I wish so badly that my car didn't have a sunroof. A friend owns a 323is with no sunroof and it's so nice. Nothing to break, nothing to leak, and no extra weight. Mine is working flawlessly, but I'm sure I'll have issues somewhere down the road. We all will.
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