Upgrading to newer X5....maybe

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Hi all,

My wife and i have been have some discussions regarding our motor vehicles and what we should do with both our cars. We've got a 2001 3.0ltr X5 and a E46 323i. The 323i is used simply to commute to and from work occasionaly but i usually cycle to work given its not far from home. The 323i is lucky to see 40kms of driving per week which makes me wonder if we actually need it. I have a buyer lined up for it and the plan was to replace it with something a bit bigger that could tow the boat and be used to take the dogs to the park and beach etc instead of using the X5... we were thinking a Volvo xc70 or similar. We'd also keep our current X5. Last night we talked about possibly getting rid of the 323i and using the money to upgrade to a later model X5, probably an 05 or 06 model.

Im after some oppinions and what you guys think? Also, which of the later model E53's are the best in terms or engine package etc..? We've currently got the 3.0ltr 6 but i wouldnt mind upgrading to the diesel or the 4.4ltr. Which would be better for towing a 2 Ton boat also? The 3.0ltr tows it ok but it would be nice to have a little more grunt.

thanks guys,

Mike