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Mechanic check-out a must
I just bought a 1995 E420 for 14k in June, 62k miles.
I thad the PS pump work done, and the 60k service (including rotors and caps). It's a great car.
Mileage is almost identical to the E320 - the tall differential gearing (2.24) is largely responsible for this.
My only GOTCHA on the deal was when the evaporator on the A/C went south about a month after I bought it. I still haven't replaced it - but I expect about a $2500 hit when I do (20 hours of labor).
Wiring Harness, and evap core are the 2 most expensive likely problems you'll encounter. Any shop can check these for you - and inspect the rest of the car to see if the PO maintained it like he/she should have.
Best of luck. I love my E420 - the only thing I plan on doing is swapping out the rear differential for more snap off the line. 2.65 and 2.82 are the options - I haven't decided yet. I'd love the 2.82 but am unsure how much of a mileage hit I'll take.
Troy
1995 E420 76k
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