“60,000 miles for a fuel pump seems so low to me. We have an '00 Tacoma with a little over 300k miles that still has the original pump in it! Toyota overengineers the crap out of their trucks. It’s great though.”
The original water pump in that 3-series had a plastic impeller which would sometimes disintegrate or explode. I believe it was later replaced with a metal impeller so replacement is a good thing. That generation of 3-series (the E46) is really special and despite the repairs I hope the OP is enjoying her car. When taken care of it’s way nicer than anything else available on the used market in the same price range.
Back to the OP, I think I paid around $400-$500 to my local BMW specialist to replace my fuel pump back in 2010, so $700 is on the steep side.