View Full Version : Car Question/Options
Option one.
BMW 325i
Leased car coming up on the end of the 3 yr lease. Payoff 20K. Edmonds valuation 21-22K. Buy out the lease and keep the car. No financing. Could sell the car in a month or so but still would lose money due to taxes. about 1,400.
Option 2:
Turn in said car lease new one,328i 28 months, 60$ more a month. $1K down which includes first payment and fees. Have car payments and pay interest.
lease a Lexus IS350 :hat:
meatpile
01-03-07, 09:24 AM
You have to add to the $1400 cost of taxes the cost of oppportunity lost ( you should easily be able to earn 5% on that ), the additional depreciation, and maintenance.
$1400 + $3152.50 ( 5% opportunity cost on $20k for 3 years ) + $5k depreciation ( I'd guess ) + prolly about $2k in maintenance costs, although this could be higher or lower. If you need brakes after the 4 year BMW deal, it's gonna cost you. Also tires. Those 2 things are $2k.
So - the cost of keeping old car = about $11552.50 - if you only earn 5%, only depreciate $5k, and only have $2k of maintenance.
Cost of 3 year lease prolly about $18000, I'd guess.
Cost you about $6-$7k for the new one over the term. Just depends on what you want. They're both nice. The new one is the new E90.
You have to add to the $1400 cost of taxes the cost of oppportunity lost ( you should easily be able to earn 5% on that ), the additional depreciation, and maintenance.
$1400 + $3152.50 ( 5% opportunity cost on $20k for 3 years ) + $5k depreciation ( I'd guess ) + prolly about $2k in maintenance costs, although this could be higher or lower. If you need brakes after the 4 year BMW deal, it's gonna cost you. Also tires. Those 2 things are $2k.
So - the cost of keeping old car = about $11552.50 - if you only earn 5%, only depreciate $5k, and only have $2k of maintenance.
Cost of 3 year lease prolly about $18000, I'd guess.
Cost you about $6-$7k for the new one over the term. Just depends on what you want. They're both nice. The new one is the new E90.
Thanks. I have pretty much come to the conclusion that the new car is the way to go just for the on going maintainance and small issues with the old car that need to be looked at. In my mind it is a either/or situation. I think the maintainance will be higher than your projections.
meatpile
01-03-07, 09:37 AM
I think the maintainance will be higher than your projections.
Yeah - but when you buy a new one, the depreciation expense is guaranteed.
When cars need repair the money doesn't piss me off nearly as much as the time and hassle. The same can be true with a new car - who cares about a warranty if you spend all your time hanging out at the dealer with you fucking car? Not worth it.
Plus - there's always a cost to selling a car - the ad, the time, not always getting what you hope, etc. I learned that the hard way, and I learned that selling cars sucks balls.
Yeah - but when you buy a new one, the depreciation expense is guaranteed.
When cars need repair the money doesn't piss me off nearly as much as the time and hassle. The same can be true with a new car - who cares about a warranty if you spend all your time hanging out at the dealer with you fucking car? Not worth it.
Plus - there's always a cost to selling a car - the ad, the time, not always getting what you hope, etc. I learned that the hard way, and I learned that selling cars sucks balls.
Turned my last two 325s and although I made some of the money back the whole hassel with the title and taxes is a pain in the ass. I am with you on the the time thing. I am convinced it is a given that you will lose on a car, that is why I hate them, but the deal is how to minimize the loss.
either one of you have a bmw front license tag like this that you dont want?
http://www.autothing.com/images/Products/License/Brand%20License%20Plates/BMW/BMW-License-Plate-CB.jpg
either one of you have a bmw front license tag like this that you dont want?
http://www.autothing.com/images/Products/License/Brand%20License%20Plates/BMW/BMW-License-Plate-CB.jpg
I don't.
Turn the car back in and buy an accord or camry that is a couple years old and under one of those certified pre-owned warranties. You will save a lot of money and probably have a better car in the process.
You will save a lot of money and probably have a better car in the process.
rofl..you seriously think a camry or an accord is a better car than a bmw?
well...he's not comparing apples to apples...
well...he's not comparing apples to apples...
you got that right
You will save a lot of money and probably have a better car in the process.
rofl..you seriously think a camry or an accord is a better car than a bmw?
Who puts a BMW plate on a jeep?
chipshot
01-03-07, 12:33 PM
You will save a lot of money and probably have a better car in the process.
rofl..you seriously think a camry or an accord is a better car than a bmw?
performance and drive, no
reliabillity, yes
Shrapnel
01-03-07, 12:36 PM
When cars need repair the money doesn't piss me off nearly as much as the time and hassle.
That's because you're old money
LS430
Good car. Don't need anything that big.
Good car. Don't need anything that big.
my buddy swore by BMW until I convienced him to buy a Lexus.....now he won't drive anything else.
i've driven about everything and Lexus is just simple the best car there is.
my buddy swore by BMW until I convienced him to buy a Lexus.....now he won't drive anything else.
i've driven about everything and Lexus is just simple the best car there is.
Had a lexus and liked it. Again, lexus is more of a luxury car. BMWs are tighter and the ride is not as soft as a lexus. BMW can out perform a lexus. Plus a BMW is not all that more expensive than a lexus.
Buddy of mine went the other way. 450 lexus to a 7 series BMW.
An Accord or Camry would be more reliable, better on gas, cheaper to maintain and repair, easier to find a place to service them. Sure the BMW is a little nicer ride but for the money it is just not worth it. The guy I used to work for had a BMW 740 and it was a nice car but unless I win the lotto I would never buy one. Most of what you are paying for is the symbol on the hood.
An Accord or Camry would be more reliable, better on gas, cheaper to maintain and repair, easier to find a place to service them. Sure the BMW is a little nicer ride but for the money it is just not worth it. The guy I used to work for had a BMW 740 and it was a nice car but unless I win the lotto I would never buy one. Most of what you are paying for is the symbol on the hood.
Respect. I LOVE cars, but I just can't pay for them. Of course, I've got $45k in cars now, but that's paid for and PURELY for the kids safety and ease of transport. Luxury/Performance/SUV's are just insane - get a corolla and take a trip or do something else memorable. In the long run, having driven that car won't make you happier (although driving a total shitter is no way to be happy either), but those big experiences will...
Respect. I LOVE cars, but I just can't pay for them. Of course, I've got $45k in cars now, but that's paid for and PURELY for the kids safety and ease of transport. Luxury/Performance/SUV's are just insane - get a corolla and take a trip or do something else memorable. In the long run, having driven that car won't make you happier (although driving a total shitter is no way to be happy either), but those big experiences will...
I'm printing this out and stapling it to my wife's forehead.
meatpile
01-03-07, 04:01 PM
get a corolla and take a trip or do something else memorable. In the long run, having driven that car won't make you happier (although driving a total shitter is no way to be happy either), but those big experiences will...
Or do both. :hump:
That said, the options he stated in the beginning were:
Option one.
BMW 325i
Leased car coming up on the end of the 3 yr lease. Payoff 20K. Edmonds valuation 21-22K. Buy out the lease and keep the car. No financing. Could sell the car in a month or so but still would lose money due to taxes. about 1,400.
Option 2:
Turn in said car lease new one,328i 28 months, 60$ more a month. $1K down which includes first payment and fees. Have car payments and pay interest.
If money is not a concern then do whatever you like the best. If a new one makes you happier then get it if you like the current one keep it. The nature of the post makes me think it is about money, in which case buying a BMW does not make financial sense.
meatpile
01-03-07, 04:54 PM
The nature of the post makes me think it is about money, in which case buying a BMW does not make financial sense.
The nature of the post was exactly this:
Option one.
BMW 325i
Leased car coming up on the end of the 3 yr lease. Payoff 20K. Edmonds valuation 21-22K. Buy out the lease and keep the car. No financing. Could sell the car in a month or so but still would lose money due to taxes. about 1,400.
Option 2:
Turn in said car lease new one,328i 28 months, 60$ more a month. $1K down which includes first payment and fees. Have car payments and pay interest.
It involves money. It involves BMWs. It involves a decision based on BMWs, risk, convenience, fun, and money.
I'm sure he could cut his transportation costs in a variety of manners - but that was not the nature of the post.
Shrapnel
01-03-07, 05:03 PM
The nature of the post was exactly this:
Option one.
BMW 325i
Leased car coming up on the end of the 3 yr lease. Payoff 20K. Edmonds valuation 21-22K. Buy out the lease and keep the car. No financing. Could sell the car in a month or so but still would lose money due to taxes. about 1,400.
Option 2:
Turn in said car lease new one,328i 28 months, 60$ more a month. $1K down which includes first payment and fees. Have car payments and pay interest.
It involves money. It involves BMWs. It involves a decision based on BMWs, risk, convenience, fun, and money.
I'm sure he could cut his transportation costs in a variety of manners - but that was not the nature of the post.
`
Southern_Yankee
01-03-07, 08:05 PM
Option one.
BMW 325i
Leased car coming up on the end of the 3 yr lease. Payoff 20K. Edmonds valuation 21-22K. Buy out the lease and keep the car. No financing. Could sell the car in a month or so but still would lose money due to taxes. about 1,400.
Option 2:
Turn in said car lease new one,328i 28 months, 60$ more a month. $1K down which includes first payment and fees. Have car payments and pay interest.
Option 3:
Tell the lender to fuck off and come get the car. Settle with the collection agency for 25% of what's owed or $5K. Take the other $15K and buy a boat...all before it hits your credit report. :xyxthumbs:
meatpile
01-03-07, 09:47 PM
Option 3:
Tell the lender to fuck off and come get the car. Settle with the collection agency for 25% of what's owed or $5K. Take the other $15K and buy a boat...all before it hits your credit report. :xyxthumbs:
He doesn't owe anything. It's a lease that's expiring.:drums:
i'm looking to sell a 97 accord wagon. about 90k on it.
Southern_Yankee
01-04-07, 07:34 AM
i'm looking to sell a 97 accord wagon. about 90k on it.
did you ever get that steering column fixed? :newsmile31:
Pretty good deal. Titanium white with a black interior. 4.6% interest rate.
i'm looking to sell a 97 accord wagon. about 90k on it.
ask PhotoGuy:couto:
meatpile
01-04-07, 08:46 AM
Pretty good deal. Titanium white with a black interior. 4.6% interest rate.
Check this forum for BMWFS money factors:
Roadfly... (http://bimmer.roadfly.com/bmw/forums/financing/)
A guy named 'Tarry' posts the numbers. As of this morning he does not have 1/2007 numbers. The dealer will try to mark this up. It is absolutely negotiable. They will also add to it to offset the gap insurance, which they claim comes with the lease, but they charge for it in the form of interest rate.
i'm looking to sell a 97 accord wagon. about 90k on it.
how much.
I got some immigrants that need transport. Does it float?
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