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I went though this on e36 platform (very similar steering rack, ZF anyway), unless you change/overhaul the whole rack (for e36 it could be bought at the dealer, a sack of happiness for couple of hours of joy) it doesn't really change anything (tight it - no change, tight it more - steering is getting stuck, no return of the steering wheel as described above)...
I have seen bended and/or corroded racks (pretty much impossible to fix this, as it will leak no matter what you replace), so be aware when buying a used one...
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"If everything seems under control, you're not going fast enough.” Mario Andretti
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