Take a look at a 2-3 year old used car of the type you want vs cost of a new car. Worth it to make the comparison before buying.
OT: Buying/Leasing a new car
- Thread starter Plum Street
- Start date
Take a look at a 2-3 year old used car of the type you want vs cost of a new car. Worth it to make the comparison before buying.
This is a smart way to let the original buyer eat the depreciation.
IMO, doing this mandates that you purchase a mechanical warrantry for the entire car. It's an additional expense, but with today's cost of repairs it's like term life insurance, especially for those wanting to use the car 7 to 10 years.
Research of the vehicle is available on line for you to determine if regular work was done or anything above and beyond, also accidents...
This is so true. The Dave Ramsay enthusiasts will sound the alarm but with modern cars if the plan is to keep it for a while an extended manufacturers warranty is a good idea. So many computers and electronics on cars that weren’t there even 5 years ago. It’s like comparing a cell phone from 15 years ago to a new iPhone... whole different world
I think you and I were talking a bunch back a few months ago when I was asking about options for extending a lease or negotiating the buy-out price. The general consensus of opinions by most in that thread was against my ability to do this. So this thread provides the perfect opportunity to come back now with THE FACTS as I am in my final lease month on the 2017 BMW 330xi Sport Model I was leasing. Recall that part of the big reason for my interest in doing one of those 2 things was becasue I was 14k miles under the contract miles and had a car with under 30K total miles. (it was an exec car with 7k miles on it already).
Well BMW financial gave me 4+ options.
1) based on the market they took $6 off my residual buyout price. Also saving the cost of the lease-end inspection and other fees.
2) They will let me extend my current lease at current contract price for 1 or 2 months no questions asked. Then do whatever I want from there.
3) The will do the same for up to 6 months if I show I am buying a new BMW.
4) They will actually re-calculate and re-contract the lease on this car for 12/18/24/30 or36 months.
ALL of the ideas I had turned out to be real options and I was very pleasantly shocked to see such creative flexibility.
So on avg. we put 7.5k miles per year on the car, meaning the car will still have under 70k miles in 5 years. Its in absolute Cherry condition. So I am getting it for a bit under $19k (net of all savings)..just over $20k with taxes. Considering a new lease would require like $3k down anyway and I can sell this in 5 years for $5k. My actual NET expense for the next 5 years is about $14.5k WITH basic maintenence so my monthly all-in cost to own is aound $240-250.
(I still do my own oil and brake work...and maybe another set of tires so the annual German Car Maint. cost doesn't concern me.)
