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I would sell it and take a loss. A supercharged M3 is fun and I own one but I honestly believe there are ideal owners for cars like these.
1. The car owner that does his own work and not send it to a shop.
2. The car owner that has expendable cash flow to have a shop diagnosis, repair, and in your case a new motor purchase.
On your next car purchase buy something with warranty. Live and learn.
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