From The E28 Wiki

Clunking in Reverse

By rexmo, Tue Jan 31, 2006

Original thread: Car makes a clunking noise in reverse

Problem: My car makes a clunking noise when I put it in reverse.

Solution: Replace broken differential mount.

Difficulty: Straightforward, one big bolt holding differential to mount, four M8 bolts holding mount to unibody. Consider using the M535i part as a replacement, it is beefier.