I know, I just can't let the BMW thing rest. Here is the breakdown (in theory) on BMW names. Forget the "is" and "ic" and stuff--all that means is whether the car is a coupe, sedan, or convertible, which most listings get wrong anyway. Just look at how many doors it has. 325=3 series, 2.5 liter engine (Straight 6). 328=3 series, 2.8 liter engine (straight 6). 323... you get the idea. The 318 has a 1.8 liter I4--by far the least power, and the M3 has a 3.2 liter I6, which was the top engine (plus the suspension upgrades. 92-95 BMWs were 318 and 325. They started making the M3 again in 95. BMW added the 328 in 96, producing the 318, 323 or 325, 328, and M3 (they started calling the 325 the 323 after a while, mostly to create a bigger bap between the 325 and 328--but don't be fooled. The 323 and 325 are the same car). They gave the 3 series a makeover in 99. But kept the same engines until 2000 or 2001, when they went to the 330 instead of the 328, and started calling the 323 the 325 again.
So, where does that leave you? I'd look for a 96 328. You should be able to find one pretty easy below the $10k mark--I know a guy that sold one for $9600 over a year ago, with about 90k on it. Or, you could go with a 323 like Mspec said, which you would probably be able to find a little cheaper, and shouldn't lose too much in the power dept to a 328. And keep in mind, you can get any of these cars as a convertible, coupe, or sedan.
Browsing the 3 series listings on ebay will give a lot of info on the differences between the different cars. In fact, that's pretty good advice for anything you're looking at.