BMW M3 Forum (E90 E92)

BMW Garage BMW Meets Register Search Today's Posts Mark Forums Read


Go Back   M3Post - BMW M3 Forum > M3 (E90 / E92 / E93) > New and Preowned M3 Pricing, Ordering, Tracking / European Delivery / Dealer Reviews
 
E92 Lighting
Post Reply
 
Thread Tools Search this Thread
      10-05-2011, 08:50 AM   #1
Jon335iFL
Brigadier General
Jon335iFL's Avatar
93
Rep
4,842
Posts

 
Drives: This----------->
Join Date: Feb 2009
Location: Jrz :)

iTrader: (14)

Lease or Buy M3?

Looking to get into an E90 M3, And iam not quite sure witch route i want to take. Obviously i have 2 options but need some advice.

If i opt for a finance, Iall most likely be putting about %20 down on the car, Plus
looking to get at the very max a %10 int rate. If not iam walking. However i could get an 09-10 and it will be in the $40-50k range.



Opt for lease, I put much less down, More towards %5 down. I dont own it however it will be brand spanking new. Plus I Have to worry about miles, as i drive ALOT! . All of us know a newer M3 will be in the $70's so its another thing to look at however its a lease so iam not leasing all of that money.




Witch route would you take if you had the option. Thanks alot guys.
__________________


.
Appreciate 0
      10-05-2011, 09:00 AM   #2
THE TECH
BimmerPost Supporting Vendor
THE TECH's Avatar
United_States
157
Rep
13,121
Posts


 
Drives: BPMsport 2012 E92 M3
Join Date: Jun 2011
Location: Kansas

iTrader: (45)

Garage List
Send a message via AIM to THE TECH Send a message via Skype™ to THE TECH
What about doing the 7 MSDs? That should help with the lease.
__________________
Appreciate 0
      10-05-2011, 09:02 AM   #3
nyannitello
New Member
0
Rep
20
Posts

 
Drives: 2011 AW M3 Sedan
Join Date: Oct 2011
Location: United States

iTrader: (0)

I leased my 11' AW M3 9/23/10 and love it. I am a big fan of leasing since I do not keep cars/trucks for more than 24 months or so and I am always in something brand new new with minimal money down and a lower monthly payment (in most cases). I don't daily my M3 though...for someone who is going to drive over 15k a year and plans to keep the car more than a few years I would buy. Then again to be honest if you are near an 10% interest rate I would be shopping for a better rate somewhere...
Appreciate 0
      10-05-2011, 09:11 AM   #4
Jon335iFL
Brigadier General
Jon335iFL's Avatar
93
Rep
4,842
Posts

 
Drives: This----------->
Join Date: Feb 2009
Location: Jrz :)

iTrader: (14)

%10 being the max, looking for a %5 though.
__________________


.
Appreciate 0
      10-05-2011, 09:12 AM   #5
///M_Monster
Enlisted Member
///M_Monster's Avatar
United_States
2
Rep
42
Posts

 
Drives: 2012 E92 MW M3 (ZCP)
Join Date: Oct 2011
Location: St. Augustine, FL

iTrader: (0)

BUY.
Appreciate 0
      10-05-2011, 09:16 AM   #6
F82_SID
Brigadier General
F82_SID's Avatar
64
Rep
3,130
Posts

 
Drives: 2011.5 MR/BB E92 M3
Join Date: Jan 2008
Location: Denver, CO. USA

iTrader: (2)

IMO BMW Select is the best way to go if you want to keep you payment low and still have the benefits of ownership (i.e mod how you want and not have to worry about mileage).

Yes you have a "balloon" payment due at the end of the term but you can turn around and refinance the amount due, or cut them a check for the balance, or just sell the car back and get into something else. My car had a sticker of 74k, I put 12 down, did BMW Select at 2.9% (I think) and my payment is 780. I think I did pretty good. The balloon due at the end of the 48month term is only around 20k. If I put an extra 5k a year on my car then at the end of the 48 months I will actually own it.
__________________
2011/E92/M3/MR/BB/ZCV/ZP2/EDC/2MT
Appreciate 0
      10-05-2011, 09:17 AM   #7
Capt Awesome
Private
0
Rep
96
Posts

 
Drives: e90 335i Msport
Join Date: Oct 2011
Location: Chicago, IL

iTrader: (1)

Penfed CU has rates of 2% for up to 48 months on new and used auto loans. I think that's the best rate out there at the moment unless your local dealer has a promotion going on.
Appreciate 0
      10-05-2011, 09:18 AM   #8
Mr. ///M3 RD
Major General
Mr. ///M3 RD's Avatar
Canada
149
Rep
7,863
Posts

 
Drives: E350 & 280 SL on Weekends :)
Join Date: May 2010
Location: GTA, Ontario - Canada

iTrader: (0)

Garage List
Quote:
Originally Posted by SehrSchnell View Post
Dude, that was pretty hard to read... I'm confused about the 10% finance rate... WTF?! That seems... hmmm... a little high?

Also, never put anything down on a lease - never!
I do agree with you ..... I just put up a poll so this can be better understood
__________________
Cheers, Rolf-Dieter

Life will take us to some interesting places, fortunately The ///M3 will too with a many of us know this very well
---> Click here for some good stuff I found
Appreciate 0
      10-05-2011, 10:25 AM   #9
persian54
Lieutenant General
persian54's Avatar
United_States
285
Rep
15,812
Posts

 
Drives: SL550. Prev: E93 M3/335i/Z435i
Join Date: Jun 2009
Location: The Valley, SoCal

iTrader: (291)

Quote:
Originally Posted by Jon335iFL View Post
%10 being the max, looking for a %5 though.
10% interest rate?
5% rate?

If your credit is that bad, you won't be able to get a favorable lease
Appreciate 0
      10-05-2011, 10:38 AM   #10
Jon335iFL
Brigadier General
Jon335iFL's Avatar
93
Rep
4,842
Posts

 
Drives: This----------->
Join Date: Feb 2009
Location: Jrz :)

iTrader: (14)

Quote:
Originally Posted by persian54 View Post
10% interest rate?
5% rate?

If your credit is that bad, you won't be able to get a favorable lease
Its not, low/mid 700's actually, I just didnt know you could get that good of rates from BMW?!.
__________________


.
Appreciate 0
      10-05-2011, 10:40 AM   #11
persian54
Lieutenant General
persian54's Avatar
United_States
285
Rep
15,812
Posts

 
Drives: SL550. Prev: E93 M3/335i/Z435i
Join Date: Jun 2009
Location: The Valley, SoCal

iTrader: (291)

Quote:
Originally Posted by Jon335iFL View Post
Its not, low/mid 700's actually, I just didnt know you could get that good of rates from BMW?!.
Can you please be a little more elaborate in the way you type and what you're trying to express?

It's a bit difficult to know what you're referring to and what you are saying.....
Appreciate 0
      10-05-2011, 10:53 AM   #12
SamS
Brigadier General
SamS's Avatar
61
Rep
4,579
Posts

 
Drives: 2013 ActiveHybrid 3
Join Date: Jul 2010
Location: Dallas, TX

iTrader: (0)

Quote:
Originally Posted by Capt Awesome View Post
Penfed CU has rates of 2% for up to 48 months on new and used auto loans. I think that's the best rate out there at the moment unless your local dealer has a promotion going on.

This.

I did PenFed for 60 months at 2.49%. I couldn't get the 1.99%, I think BMW rates or higher, or 1.99% caps at 48 months.

OP, doesn't really sound like you got your biz in order if you're expecting a 10% rate.
Appreciate 0
      10-05-2011, 11:21 AM   #13
Dave07997S
Colonel
38
Rep
2,556
Posts

 
Drives: 2013 BMW M3 ZCP Coupe
Join Date: May 2009
Location: Playa del Rey, CA

iTrader: (1)

Quote:
Originally Posted by Jon335iFL View Post
Looking to get into an E90 M3, And iam not quite sure witch route i want to take. Obviously i have 2 options but need some advice.

If i opt for a finance, Iall most likely be putting about %20 down on the car, Plus
looking to get at the very max a %10 int rate. If not iam walking. However i could get an 09-10 and it will be in the $40-50k range.



Opt for lease, I put much less down, More towards %5 down. I dont own it however it will be brand spanking new. Plus I Have to worry about miles, as i drive ALOT! . All of us know a newer M3 will be in the $70's so its another thing to look at however its a lease so iam not leasing all of that money.




Witch route would you take if you had the option. Thanks alot guys.
The fact you drive a lot of miles and maybe need to put down 5% (not a smart idea with a lease, think minimum drive off) I would vote you attempt to buy. I lease my vehicles, as I am self employed and I am able to take advantage of the tax write off afforded to me by leasing. If the only way you can afford a brand new M3 is by leasing than I would look at used and buying vs. leasing new.

One other thing..this is constructive criticism, you really need to spell check and re-read your posts before you finalize your post. Maybe english is not your native language, if it isn't my apologies for my ignorance. Your post was kind of hard to read and when making a post regarding finances it is even more important. Just an FYI, its which not witch route would you take...

I am not the spelling or grammar police, my business partner dogs me out all the time and I probably made a few errors here. Its just if I were you I would make an extra effort critiquing your own post before hitting the post button, especially if the post is regarding finances.


Dave
__________________
2013 M3 Coupe-MR/BLK ZCP, ACM test pipes, BPM Stg2 dev. tune and Megan catback, AFE Stg2. with C/F elbow
Previous rides: 2011 M3 Coupe-MR/Blk
2007 Porsche 997C2S Speed Yellow/Blk sport seats
2004 BMW M3 Imola/Blk
Appreciate 0
      10-05-2011, 11:55 AM   #14
ES_TRADER
Colonel
68
Rep
2,703
Posts

 
Drives: 328i, 335i, M3, 535i, X5, 36M
Join Date: Oct 2010
Location: OC

iTrader: (3)

Garage List
2014 Ford Raptor  [0.00]
2012 328i E92  [5.00]
2013 X5  [0.00]
2013 335i F30  [4.00]
1990 Toyota Previa  [0.00]
1997 E36 M3  [5.00]
2011 E92 M3  [0.00]
2011 535i  [0.00]
it feels better to own a M3 vs rent a M3....id be cool with renting but the whole mileage restriction thing is a big turnoff to me....however, if you own a business, leasing has better tax advantages, but you can still write of a purchase...so really...just buy it...it depends on your situation
Appreciate 0
      10-05-2011, 12:09 PM   #15
jphughan
Brigadier General
jphughan's Avatar
United_States
39
Rep
3,474
Posts

 
Drives: 2011.75 M3 E92 6MT
Join Date: Mar 2011
Location: Austin, TX

iTrader: (0)

Quote:
Originally Posted by Dave07997S View Post
If the only way you can afford a brand new M3 is by leasing than I would look at used and buying vs. leasing new.

Dave
Nothing against leasing as it definitely has its advantages: potential write-offs, not having to deal with depreciation due to accident history, making it somewhat cheaper for those who don't like to keep a particular car very long, etc -- but if you're going to lease make sure you do so for those reasons and NOT "Wow it's like I get the same car but my payments are a whole lot less!!" That's what all the salespeople want you to believe, but that's not how it works in reality -- and you'll find out whenever you go to get your next car. Financing a car means you'll actually have some equity on the car you're trading in, whereas a lease you walk away with nothing. If you're ok with that because you'll just want to hop into another lease, that's all well and good, but just be aware that that strategy, while it does have its perks, in the long run is definitely NOT cheaper than financing. Serial leasers are paying the extra cost for the benefit of always having a new, in-warranty car, but it ain't cheap.

But I agree if you're expecting 10% APR or even 5%, you might want to dodge this bullet completely.
__________________
11 M3 E92 Le Mans | Black Nov w/ Alum | 6MT | Premium 2 | Convenience | 19" | EDC | Prem Audio | Moonroof | BMW Apps | Yoko AD08 R | Vorshlag Adjustable Camber Plates | StopTech ST-60 380mm BBK | Castrol SRF Fluid | ModMyNav.com rear camera | OEM Euro Sunglasses Holder
Appreciate 0
      10-05-2011, 12:56 PM   #16
persian54
Lieutenant General
persian54's Avatar
United_States
285
Rep
15,812
Posts

 
Drives: SL550. Prev: E93 M3/335i/Z435i
Join Date: Jun 2009
Location: The Valley, SoCal

iTrader: (291)

When you say you drive a lot, what's "a lot" ?

I have people who think driving 12k miles a year is a lot...that's normal

now, if you drive 20-25k per year, that's a completely different ball game..
Appreciate 0
      10-05-2011, 01:02 PM   #17
rye m3
Lieutenant
rye m3's Avatar
Switzerland
10
Rep
489
Posts

 
Drives: 2011.75 E92 M3
Join Date: Apr 2011
Location: New York

iTrader: (2)

Quote:
Originally Posted by Dave07997S View Post
The fact you drive a lot of miles and maybe need to put down 5% (not a smart idea with a lease, think minimum drive off) I would vote you attempt to buy. I lease my vehicles, as I am self employed and I am able to take advantage of the tax write off afforded to me by leasing. If the only way you can afford a brand new M3 is by leasing than I would look at used and buying vs. leasing new.

One other thing..this is constructive criticism, you really need to spell check and re-read your posts before you finalize your post. Maybe english is not your native language, if it isn't my apologies for my ignorance. Your post was kind of hard to read and when making a post regarding finances it is even more important. Just an FYI, its which not witch route would you take...

I am not the spelling or grammar police, my business partner dogs me out all the time and I probably made a few errors here. Its just if I were you I would make an extra effort critiquing your own post before hitting the post button, especially if the post is regarding finances.


Dave
+1!
Too worried about the payments; can't really afford the car.
__________________
E92 M3 MR on Red/Black ZCP Sound
Carbon

2007 997S - sold
2003 E46 M3 Steel Grey on Red- sold
1997 E36 M3 Arctic Silver on Black- sold
Appreciate 0
      10-05-2011, 01:20 PM   #18
Dave07997S
Colonel
38
Rep
2,556
Posts

 
Drives: 2013 BMW M3 ZCP Coupe
Join Date: May 2009
Location: Playa del Rey, CA

iTrader: (1)

Quote:
Originally Posted by richpuer View Post
it feels better to own a M3 vs rent a M3....id be cool with renting but the whole mileage restriction thing is a big turnoff to me....however, if you own a business, leasing has better tax advantages, but you can still write of a purchase...so really...just buy it...it depends on your situation
The tax advantages are greater with leasing than purchasing. Also, a good lease you still build equity. I lease my vehicle and I guarantee I feel I own it. I always sold my M3s at the end of lease and put some coin in my pocket. The only car that this didn't work for me was my 997S, these things just depreciate so badly.

If the lease has a low residual and a great money factor you will build equity just as if you purchased the car. Manafacturers subsidize leases to move vehicles with high residuals but terrible money factors...these are the leases that you will definitely be doing the "three and flee".

Dave
__________________
2013 M3 Coupe-MR/BLK ZCP, ACM test pipes, BPM Stg2 dev. tune and Megan catback, AFE Stg2. with C/F elbow
Previous rides: 2011 M3 Coupe-MR/Blk
2007 Porsche 997C2S Speed Yellow/Blk sport seats
2004 BMW M3 Imola/Blk
Appreciate 0
      10-05-2011, 01:44 PM   #19
SirLance99
New Member
0
Rep
17
Posts

 
Drives: 2001 Mercedes C 320
Join Date: Sep 2011
Location: Lexington, Ky

iTrader: (0)

Quote:
Originally Posted by Dave07997S View Post
The tax advantages are greater with leasing than purchasing. Also, a good lease you still build equity. I lease my vehicle and I guarantee I feel I own it. I always sold my M3s at the end of lease and put some coin in my pocket. The only car that this didn't work for me was my 997S, these things just depreciate so badly.

If the lease has a low residual and a great money factor you will build equity just as if you purchased the car. Manafacturers subsidize leases to move vehicles with high residuals but terrible money factors...these are the leases that you will definitely be doing the "three and flee".

Dave
Can you please elaborate on this a little more. I'm going to lease as well as I'm self employed but do not know what you're saying on this. Thanks
Appreciate 0
      10-05-2011, 01:52 PM   #20
SamS
Brigadier General
SamS's Avatar
61
Rep
4,579
Posts

 
Drives: 2013 ActiveHybrid 3
Join Date: Jul 2010
Location: Dallas, TX

iTrader: (0)

Quote:
Originally Posted by SirLance99 View Post
Can you please elaborate on this a little more. I'm going to lease as well as I'm self employed but do not know what you're saying on this. Thanks
I've leased a vehicle in the past where I've been able to profit by selling the car (truck, in this case) before I've turned it in.

A few months before the lease was up, I took it to Carmax. They gave me an offer on the spot which was a few hundred higher than my payoff amount. I took them up on the offer. They filed all the paperwork, and cut me a check within 24 hours. You could use the same concept with a private buyer, but the paperwork can get a bit tricky.

Just as an aside, that was the last time I leased. I really prefer straight purchase/finance these days. I feel it offers me the most flexibility.
Appreciate 0
      10-05-2011, 02:42 PM   #21
FVM3
Major General
FVM3's Avatar
115
Rep
5,739
Posts

 
Drives: e92 m3, f30 328i
Join Date: Sep 2010
Location: Los Angeles

iTrader: (2)

i cant understand what exactly you are typing
Appreciate 0
      10-05-2011, 02:53 PM   #22
persian54
Lieutenant General
persian54's Avatar
United_States
285
Rep
15,812
Posts

 
Drives: SL550. Prev: E93 M3/335i/Z435i
Join Date: Jun 2009
Location: The Valley, SoCal

iTrader: (291)

Quote:
Originally Posted by Dave07997S View Post
The tax advantages are greater with leasing than purchasing. Also, a good lease you still build equity. I lease my vehicle and I guarantee I feel I own it. I always sold my M3s at the end of lease and put some coin in my pocket. The only car that this didn't work for me was my 997S, these things just depreciate so badly.

If the lease has a low residual and a great money factor you will build equity just as if you purchased the car. Manafacturers subsidize leases to move vehicles with high residuals but terrible money factors...these are the leases that you will definitely be doing the "three and flee".

Dave
This was actually one reason that motivated me to get the M3 lol

The SLK still had about 4 or so months left, but the offer I got from CarMax and the dealer was $1500 more than the payoff at the time.
Also, I would have had to spend $400+ on Service C, AND paid a $600 deposition fee..

So $1500 in my pocket, and $1k saved... no brainer.
Drive off on the M3 was under $2k, so it worked out great.
Payments were a lot more a month...but it has been so worth it

I doubt I'll be able to do the same with the M3 though...I think my residual was 65%?
And on the new Z4, I think it was 82%?
No way I'll be able to sell either of these prior to lease end for profit...

Low residual = higher monthly, but chance to make $ back from selling the lease
high residual : lower monthly, lower cost overall most likely, little chance of making $ back from selling the lease
Appreciate 0
Post Reply

Bookmarks

Thread Tools Search this Thread
Search this Thread:

Advanced Search

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Forum Jump


All times are GMT -5. The time now is 05:45 AM.




m3post
Powered by vBulletin® Version 3.7.0
Copyright ©2000 - 2014, Jelsoft Enterprises Ltd.
1Addicts.com, BIMMERPOST.com, E90Post.com, F30Post.com, M3Post.com, ZPost.com, 5Post.com, 6Post.com, 7Post.com, XBimmers.com logo and trademark are properties of BIMMERPOST