I bought '95 BMW 325i 3 weeks ago and its overheating now. I dont know if it is overheating, the gauge says it is, but the hoses are not that hot, I can hold hose for about a second or two before I have to remove my hand because it's hot. I dont have a heater, it does not blow hot air. I had the thermostat replaced for the heating issue, but it did not seem to fix it. I dont think air was let out of the system either. I really dont know on what to blame the problem. The car will start up I will start driving, it will read normal temperature and even if I am going around 70 or 80, the gauge will start going up until it reaches the Hot area. There is no smoke coming out of anywhere, I dont have any leaks. I have determined that the thermostat opens, and the water pump works, fan clutch is good by disconnecting the top hose of the thermostat housing, and when it reached normal operating temperature anti-freez started coming out of the hose. I would appreciate any help or suggestions if you have.