1990 525i temp guage went hot then clunking noises started

[Unregistered]

I know what you're going to say. However, I was about 2 miles form home and didn't want to call for a tow.

It's a 1990 525i with 236k miles. The valves need adjusting and I'm trying to drive it until it dies without putting much into it.

I'm trying to decide now if it's worth fixing.

I was driving last night when the temp guage went hot. I stopped for a while then drive a little more then stopped when it got hot again. I didn't have far to go. When I was almost home, it started making some low grunbling, clanking noises - not a good sound.

At one stop I took the resevoir cap off and coolant came gushing out, like it has been stopped up with no place to go. Then it went down considerably after me mashing the water pump hoses.

I suspect the water pump seized up but I don't know.

My question is, does it sound like serious engine damage (the clunking while hot) and is it worth fixing? I realize it's hard to tell much without seeing it but any help is much apprreciated.

I bought the car 3 years ago for $4000 and have not put much into it. I just don't know is this is a good time to put it to bed before I spend good money after bad.

Many thanks!

[Unregistered]

I forgot to add that the body is in pretty good shape. There are a few other minor things wrong with the car like the steering has developed a loose spot. LIke you're driving along and the steering all the sudeen has a fraction of slip or bump.