[Nick71692]

Debating financing versus leasing at the moment...quoted ~$1,350/month 12k miles $2k down 36 months. That's tax in for me (6.75%). Wasn't as bad as I thought. I am trading a vehicle with quite a bit of equity I can pocket.

Normally I would purchase but just experienced a downside on another vehicle we ordered and within a month it got rear ended which will now sink the value on trade. Thinking of just leasing the M3 driving it and not worrying about what happens.

[gohawks23]

Originally Posted by Nick71692

Debating financing versus leasing at the moment...quoted ~$1,350/month 12k miles $2k down 36 months. That's tax in for me (6.75%). Wasn't as bad as I thought. I am trading a vehicle with quite a bit of equity I can pocket.

Normally I would purchase but just experienced a downside on another vehicle we ordered and within a month it got rear ended which will now sink the value on trade. Thinking of just leasing the M3 driving it and not worrying about what happens.

Impossible to tell what 1350 means without MSRP/CAP/RV/MF on the deal. Have you calculated payment yourself using leasehackr calc?

PS, probably the worst time to buy/lease a car ever...cash is king now if you can get MSRP on an order.

[Nick71692]

Originally Posted by gohawks23

Impossible to tell what 1350 means without MSRP/CAP/RV/MF on the deal. Have you calculated payment yourself using leasehackr calc?

PS, probably the worst time to buy/lease a car ever...cash is king now if you can get MSRP on an order.

Fair point, MSRP on the car was around $85k and I have a good relationship with the dealer so selling price is 2% under msrp. I dont have any of the other specifics at the moment he just shared the monthly with the other details I mentioned. I can get them, just expected worse in light of the current market conditions.

[gohawks23]

Originally Posted by Nick71692

Fair point, MSRP on the car was around $85k and I have a good relationship with the dealer so selling price is 2% under msrp. I dont have any of the other specifics at the moment he just shared the monthly with the other details I mentioned. I can get them, just expected worse in light of the current market conditions.

Point being YOU should know what payment should be without asking dealer...calculate using MSRP minus 2% for CAP and RV for your term along with MF which I'm sure he is marking up to the max. Edmunds BMW M3 lease forum can give you RV/base MF for your term.

[Nick71692]

Originally Posted by gohawks23

Point being YOU should know what payment should be without asking dealer...calculate using MSRP minus 2% for CAP and RV for your term along with MF which I'm sure he is marking up to the max. Edmunds BMW M3 lease forum can give you RV/base MF for your term.

That's helpful, much appreciated.

[BardG]

Originally Posted by gohawks23

Impossible to tell what 1350 means without MSRP/CAP/RV/MF on the deal. Have you calculated payment yourself using leasehackr calc?

PS, probably the worst time to buy/lease a car ever...cash is king now if you can get MSRP on an order.

Sorry I'm not following: Don't the car companies like to pick up the extra revenue from financing and leasing?

[wtwo3]

Originally Posted by BardG

Sorry I'm not following: Don't the car companies like to pick up the extra revenue from financing and leasing?

He's saying on behalf of the consumer... bad time to finance/lease due to lack of incentives and rising interest rates.

[BardG]

Originally Posted by wtwo3

He's saying on behalf of the consumer... bad time to finance/lease due to lack of incentives and rising interest rates.

Ahhh, I get it, thank you! I paid cash once for an M550, but it seemed like a crappy place to park money. I think I could do better investing it. But with rising rates that may not apply.

[wtwo3]

Originally Posted by BardG

Ahhh, I get it, thank you! I paid cash once for an M550, but it seemed like a crappy place to park money. I think I could do better investing it. But with rising rates that may not apply.

Agreed... Even with the rising interest rates I'd still rather not tie my cash up in a car, especially one that approaches $100k. But different people have different philosophies.

[gohawks23]

Originally Posted by wtwo3

Agreed... Even with the rising interest rates I'd still rather not tie my cash up in a car, especially one that approaches $100k. But different people have different philosophies.

For me it is about conservative balance because I like to have ease of liquidity in times such as now...I like to keep approximately 33% of my net worth in each of cash (CD, high yield MM, paid off car, etc.), RE and 'investments' (funds, stocks, etc.)

I've seen a lot of people have too high a percentage of net worth in 'investments' and then have significant cash flow problems in times like these causing them to sell 'investments' at losses or lesser gains than expected.

Paid off cars/homes are a guaranteed return of whatever current existing interest rate is and also nice peace of mind...especially if you already have a significant monetary position in the stock market.

Personally I'm waiting for RE to tank so I can shift more of my readily available cash in that direction...so my percentages always change but I like to have cash on hand for opportunity...or just to make me feel good. :-)

[wtwo3]

Originally Posted by gohawks23

For me it is about conservative balance because I like to have ease of liquidity in times such as now...I like to keep approximately 33% of my net worth in each of cash (CD, high yield MM, paid off car, etc.), RE and 'investments' (funds, stocks, etc.)

I've seen a lot of people have too high a percentage of net worth in 'investments' and then have significant cash flow problems in times like these causing them to sell 'investments' at losses or lesser gains than expected.

Paid off cars/homes are a guaranteed return of whatever current existing interest rate is and also nice peace of mind...especially if you already have a significant monetary position in the stock market.

Personally I'm waiting for RE to tank so I can shift more of my readily available cash in that direction...so my percentages always change but I like to have cash on hand for opportunity...or just to make me feel good. :-)

I think you and I have had this discussion before

But like I said, just differences in strategy. I usually don't do large buys in the market. I have a standard amount I contribute on a regular schedule, and that more or less helps me "hedge" against market volatility. It's a set it and forget it mentality.

I typically don't like to keep a ton of cash around, just enough as a "buffer" account for my monthly expenses and any small unexpected expenses that may come up. So for me, buying a car in cash would mean moving money from one of my investment accounts, and that to me just doesn't seem like it's worth it, especially if I've already accounted for the monthly expense of a car payment in my budget.

[gohawks23]

Originally Posted by wtwo3

I think you and I have had this discussion before

But like I said, just differences in strategy. I usually don't do large buys in the market. I have a standard amount I contribute on a regular schedule, and that more or less helps me "hedge" against market volatility. It's a set it and forget it mentality.

I typically don't like to keep a ton of cash around, just enough as a "buffer" account for my monthly expenses and any small unexpected expenses that may come up. So for me, buying a car in cash would mean moving money from one of my investment accounts, and that to me just doesn't seem like it's worth it, especially if I've already accounted for the monthly expense of a car payment in my budget.

Ha, maybe (my sit is different too of course since I choose to not work anymore)...I just have seen too many people unbalanced in the market and/or RE that have gone BK because of that...and it is a different audience here of course, but:

Nearly six in 10 Americans don't have enough savings to cover a $500 or $1,000 unplanned expense, according to a new report from Bankrate. Only 41% of adults reported having enough in their savings account to cover a surprise bill of this magnitude.

[wtwo3]

Originally Posted by gohawks23

Ha, maybe (my sit is different too of course since I choose to not work anymore)...I just have seen too many people unbalanced in the market and/or RE that have gone BK because of that...it is a different audience here of course but:

Nearly six in 10 Americans don't have enough savings to cover a $500 or $1,000 unplanned expense, according to a new report from Bankrate. Only 41% of adults reported having enough in their savings account to cover a surprise bill of this magnitude.

Yup I've heard that statistic before and it's eye opening for sure. Have to kind of remove yourself form this bubble to remember that there's people living paycheck to paycheck, struggling to make ends meet. Hard to do on a BMW forum though lol.

[gohawks23]

Originally Posted by wtwo3

Yup I've heard that statistic before and it's eye opening for sure. Have to kind of remove yourself form this bubble to remember that there's people living paycheck to paycheck, struggling to make ends meet. Hard to do on a BMW forum though lol.

Yeah, the college/post college crypto types need to hear my talk...lol

[NightWriter]

I recently joined Navy FCU for the discount/credit they provide. Although their rates are relatively good, and the 60-month rate is advertised "as low as" 2.49%, they quoted me 2.79%, even with my fairly strong (800+) credit score.

So I kept looking for alternatives. Driving around the other day, I saw a billboard sign advertising 1.99% auto loan rates from a local credit union. I figured it was an outdated sign or there were some strings attached, but I looked more into it and found that, indeed, they were offering that rate for any loan term (up to 84 months), and the eligibility requirements were easy (just living or working in my county). I have applied and will likely be proceeding with that loan...

Good rates can still be found out there.

[wtwo3]

Originally Posted by NightWriter

Driving around the other day, I saw a billboard sign

NightWriter out there on the streets like....

[phxF80]

Originally Posted by NightWriter

I recently joined Navy FCU for the discount/credit they provide. Although their rates are relatively good, and the 60-month rate is advertised "as low as" 2.49%, they quoted me 2.79%, even with my fairly strong (800+) credit score.

So I kept looking for alternatives. Driving around the other day, I saw a billboard sign advertising 1.99% auto loan rates from a local credit union. I figured it was an outdated sign or there were some strings attached, but I looked more into it and found that, indeed, they were offering that rate for any loan term (up to 84 months), and the eligibility requirements were easy (just living or working in my county). I have applied and will likely be proceeding with that loan...

Good rates can still be found out there.

Similar situation happened to me yesterday, was a mailer not a billboard… local CU offering 1.5% to refi a car loan or new loan at 1.75. This is in AZ, FWIW.

[AZ-MCRacer]

Originally Posted by phxF80

Similar situation happened to me yesterday, was a mailer not a billboard… local CU offering 1.5% to refi a car loan or new loan at 1.75. This is in AZ, FWIW.

What credit union was it, I am also in AZ.

[phxF80]

Originally Posted by AZ-MCRacer

What credit union was it, I am also in AZ.

I believe it was AZFCU. I think I might have tossed the mailer but will have a look tomorrow.

[masab321]

I have a 2022 M4CX on order. Thinking about leasing the car. What are the lease rates currently (residual % and MF)?

[DealBMW]

Originally Posted by masab321

I have a 2022 M4CX on order. Thinking about leasing the car. What are the lease rates currently (residual % and MF)?

Did you submit a credit application at the time of your order?

[masab321]

Originally Posted by DealBMW

Did you submit a credit application at the time of your order?

I did not. I do have a good credit score 780s. Debating finance vs lease.