Don't we all love to dream?

During the hockey game 2 BMW ads--525i for $409/month, X5 for $499/mo. I did my own calculations, and the X5 at 5.9%, 36 mos., 3k down would be about $1155/mo. These things are made in SC, right? Fuggetiboudit.

If leasing is a great thing, why pay $1155/mo when you can pay $499? Lease--a 5-letter dirty word if you ask me.

Dang, that fight with Fedoruk and Pilar was rough. It's amazing these dudes are only our size but I think we're mistaken if we think we could fight like that!

 

How do you get $499 a month into $1155 a month?

Basically when you lease a car, lets say a $60,000 car, you'll pay somewhere around $30,000 after 3 years and not keep the car. The car will lose some value anyway, however this allows people who otherwise can't afford a $60,000 car drive one.

I know to lease my Jaguar they wanted $850 a month with $3,500 down. To me thats nuts, but plenty of people do it.

Erik

 

Sometimes it's not as nuts as it sounds. If you are self-employed and you have your company lease the car the payment and maintenance, oil-changes, etc...are deductible. Sometimes this makes better sense than having the company own the car and take a 5-year depreciation. Also, if you are talking about high-end cars, for people who are good investors it's better to leave the money invested than have it tied up in a depreciating asset.

 

Uhhh... you did your math wrong. Plus, those prices you saw on the commercials were for leases. Manufacturers never put purchase rates on TV ads.

Just for kicks, I checked out a loaded M3 Coupe on the BMW site and the lease payments for that were only around $700 for 36 months, whereas the 5-year purchase payments were about $1000.

 

I think leasing is the best way when a car is over the $35,000-$40,000 mark. I wouldn't want to pay over $700.00 a month on a purchase for 5 years and then at the end of the term your left with something thats worth less than half of what you paid for.

 

Cars really aren't assets if yout think about it. More like liabilities that don't pay for themselves.

 

That sounds better...

$700 for a loaded M3 isn't that bad...how much down?

Erik

 

My thoughts exactly.....


Adam

 

If you only keep a car 2-4 years leasing is by FAR the best way to go.
The only way you make out better is if you buy a car, pay it off in 5 years and then drive it another 3-5 years. I don't know about all of you but I'd much rather drive a new car every 3 years.

 

Yeah my track record is usually about 2 years with a car. I hope to keep my max longer to get my money out of it since it is the first car I have paid a good amount for. But I dont know if I would keep it the 8 - 10 year mark you chose.

SuDZ