Originally Posted by BMW3R
My dealer was willing to give me a return customer credit and some off of MSRP. We did the lease numbers with minimum down and then paying the lease forward. If I paid forward, I would save $4,500 over the 3 years. I didn't know any investments that would pay greater than $4,500 on $35,000 over 3 years.
But if I were to buy the car with minimum down. I would basically be paying the interest on the loan at the beginning and by years 3-5, I would start paying more prinicipal. So, by the time I am ready to sell the car in 3 years, I may be flip flopped.
Those #'s don't make sense. If the car is 70K MSRP your "rent" over 3 years is about 10,700 with 0 down, this is MF of .00275. If you put $35,000 down your "rent" would be about $7,200. That diff is only $3500.
You would make more putting down multiple security deposits and putting the remainding ~$28,000 in a CD. This would also take away your risk of losing money incase of total loss.