enthusiast, I would have gone for the 325i as well. You live in Cali, so there is no point at all to getting the X3. You have to go manual though...the 325i in automatic just feels so winded when you get on it.
Although I'm starting to think maybe slower cars are better....I don't often get to redline my car. Usually when I get on it, I end up upshifting at only 5K rpm (6,600rpm redline)....if I go all the way, I just get to license-losing speeds too easily.