What a great thread...Learned a ton..Thanks to all. I am gearing up to do this job. Given Andrew's experience with two X5's, I imagine I will need to do this a few times..I also have two X5's.

I think the first time I do this, I am going to remove the knuckle assembly all together and have the bearing pressed in by somebody else. I may then try a future bearing replacements using the knuckle-in-place methods described here...maybe modifying the HF bearing set with bigger holes and a 1 inch bolt.

I decided to buy a used knuckle on Ebay for $40 and practice. I placed the knuckle upside down on a couple of 4x4's and was able to tap out the hub from the back using an appropriately-sized impact socket and a 5lb hammer.

I then practiced cutting the inner race off the hub with a dremel. I actually cut the race about halfway depth with a single diagonal cut and then hit it with a cold chisel and 5lb hammer..sure enough it cracked and I was able to get it off. No damage to the hub from this dremel/chisel work.

I was able to get snap ring off without much drama - two skinny punches inserted and squeezed together with an adjustable plumber's pliers. I really need to buy a decent set of snap-ring pliers.

I then found my largest socket (1.75 or 2 inch) and was able to tap out what was left of the bearing from the back by tapping on the remaining inner race.

I wouldn't install the bearing using these cave man techniques, but at least I'll only be paying for a bearing and hub install, not a removal and an install.

The big surprise in the Ebay knuckle I bought for practice was that the bearing had been replaced before. The bearing said "China" on it. The hub had also been damaged when somebody used a chisel to try and pry a previous inner race off the hub. The hub surface where the inner race rests was not smooth as a result of the ham-fisted chisel attempt. I wouldn't re-use this hub...