Quote:
Originally Posted by DocWeatherington
Quote:
Originally Posted by bimmerfanpk2020
Exactly. Bmw select ends up being 150-200 less than a 72 month finance. Which I do not believe is justified on a car like this. I do not intend to pay the car off (most likely trade in or sell after 3 years). Bmw select at 5.29 comes out to about $1180 vs a 3% 72 month comes out to $1300. Much more interest on the select I feel
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The follow up is....
On the bmw select vs the the 72 month. At the 3yr mark which will put you near the current residual rate based upon 12or 10k per year.
Does the math work out better to lease assuming the payment maybe higher but... Tax shelter and confirmed dump price.
Again if there is a ton of value you can always cash it out. But with buying if the recession is bad and rates at that point are 10% plus how many folks will be buying luxury items that are 3yrs old.
Idk- 200x36 is 7200 of payment not paid.
Also have to think of it as the bank is going to get all there money on the front end so a larger chuck of the first few years monthly will be interest vs principal.
You can always add to either an exit sooner and it would apply to principal.
What does a lease look like? |
This a great analysis honestly..I'll have to actually sit down and do the math. I know MF on leases is about equivalent to 5.76% so looking around $1500-$1600 on a lease