F30POST
F30POST
2012-2015 BMW 3-Series and 4-Series Forum
BMW Garage BMW Meets Register Search Today's Posts Mark Forums Read
BMW 3-Series and 4-Series Forum (F30 / F32) | F30POST > 2012-2019 BMW 3 and 4-Series Forums > General F30 Sedan / F32 Coupe / F36 Gran Coupe Forum > Autoweek: Furious 3 Review/Update, interesting residual value numbers
Post Reply
 
Thread Tools Search this Thread
      01-31-2013, 10:06 PM   #23
DarkTrigger
Professional
 
DarkTrigger's Avatar
 
Drives: 335i MPPK
Join Date: Oct 2012
Location: LB, SoCal

Posts: 973
iTrader: (0)

Quote:
Originally Posted by tony20009 View Post
Buying is cheaper if you plan to keep your car for 6+ years, not 5, provided you pay for the car in fewer than 5 years.

If you are one who will have a car note every month and then trade in your purchased car, leasing will be cheaper always.

If you buy your car and keep it for 10 years, you are financially better off than in either of the two scenarios above.\

After a certain point, you don't really lose much in car value at all. For example, in 2007, I was offered $5000 for my 1993 318i with 158K miles on it. I paid a bit over $20K for it new in 1993. (I didn't accept the offer, I gave the car to a relative.) I've seen several ads on the Internet where they are still selling for about that price.

So, by simple math, that comes out to around $1000/year in value lost on the car. So, it seems if you keep your car for a very long time, you'll be quite satisfied with the price you can sell it for even when it's very old. I know I would be very happy if in 2021 or so, someone offers me $5000 or $6000 for my E92. Here in 2013, though, $15000-$16000 feels like I'm being ripped off.
+1 Very true.

Although, I must say I didn't even think about a used car. Used car 3-4 years old is probably the best deal since you're getting a relatively new car without all that horrible depreciation of the first few years of a new car.

I was just bringing up the differences between leasing and purchasing. If you lease cars for 10 years versus buying 1 car for 10 years then buying another, it only makes financial sense to buy it.

Personally, I plan to keep this car until it no longer runs. We'll see how long that is, hopefully it's more than 10 years
DarkTrigger is offline   United_States
0
Reply With Quote
      01-31-2013, 10:13 PM   #24
JohnVidale
Seismoguy
 
JohnVidale's Avatar
 
Drives: 2013 328ix Mojave/Venetian
Join Date: Jan 2013
Location: Seattle

Posts: 180
iTrader: (0)

My logic is that my 328ix is exactly the car I want - I see nothing else preferable (at any price) for my needs. Right size, plenty of pep, good mileage for my conscience, Consumer Reports calls reliability great, luxurious, very safe, looks good, and has most of the electronic gadgets that seem useful.

Luckily, I can afford it. If I were buying next year, perhaps the best car would change.

Last edited by JohnVidale; 02-01-2013 at 12:46 AM.
JohnVidale is offline   United_States
0
Reply With Quote
      02-01-2013, 04:29 AM   #25
GB72
Private First Class
 
Drives: F30 335i M Sport Melbourne red
Join Date: Jan 2013
Location: uk

Posts: 136
iTrader: (0)

I believe I got a good deal on mine, it's a December 2012 335i m sport with pro nav and a good spec, pre registered brand new the list price was £45000 and I paid £31800, even though I think I got a good deal I know I'll still feel financial pain when I come to sell!
GB72 is offline  
0
Reply With Quote
      02-01-2013, 09:16 AM   #26
ToyotaBMW
Lieutenant
 
Drives: Whitetintedwindows
Join Date: Dec 2012
Location: Canada

Posts: 419
iTrader: (0)

I think this is the problem when BMW financial makes it so cheap to lease new vehicles. It creates a huge supply of used vehicles and hence supply is greater than demand for used BMW's and any other brand that has cheap leases.
ToyotaBMW is offline  
0
Reply With Quote
      02-01-2013, 09:30 AM   #27
BavarianFanatic
Too much is never enough
 
Drives: Too Many
Join Date: Mar 2008
Location: SE PA

Posts: 1,738
iTrader: (0)

Quote:
Originally Posted by ToyotaBMW View Post
I think this is the problem when BMW financial makes it so cheap to lease new vehicles. It creates a huge supply of used vehicles and hence supply is greater than demand for used BMW's and any other brand that has cheap leases.
You have it backwards. The leases are cheaper because of higher residual values. Economics 101.
BavarianFanatic is offline   United_States
0
Reply With Quote
      02-01-2013, 09:42 AM   #28
shivaswrath
Brigadier General
 
shivaswrath's Avatar
 
Drives: 2012 335i
Join Date: Apr 2008
Location: Lost in NJ

Posts: 3,073
iTrader: (3)

Quote:
Originally Posted by DerekS View Post
My guess is the tested car had all season tires, which always result in longer stopping distances compared to summer performance tires.
No, i meant that's really good. I mean REALLY GOOD...that's only a few feet behind supercars (will more than a few feet):http://www.motortrend.com/features/m...t/viewall.html

Quote:
Originally Posted by jtuds View Post
No, the 4.7 people hang their hat on was not from a standstill.
I see. Yeah, from my seat of pants, feels as fast as my Evo, which was clicking off quarters, with descent shifts, in the 13's.
__________________
2012 335i Mineral Gray
M Performance Whore: PPK|Exhaust|Brakes|Performance Suspension Struts & Springs|LSD|Black Kidney Grilles|CF Spoiler and Mirror Caps|Bav Stage 1|400Ms|BMWF30.com
shivaswrath is offline   United_States
0
Reply With Quote
      02-01-2013, 09:45 AM   #29
shivaswrath
Brigadier General
 
shivaswrath's Avatar
 
Drives: 2012 335i
Join Date: Apr 2008
Location: Lost in NJ

Posts: 3,073
iTrader: (3)

Regarding leasing versus financing, I run my own business and actually write off the loan payments...with the mileage I place on the car, the lease option would almost be similar in monthly payments...

Unsure what's financially better or not, but my loan is 6 years, warranty is 6 years - if I'm not squeaking and having issues at that point, I'll keep on driving the 335i. I was just surprised that when BUYING a $50k car, it essentially depcreciates $10k a year per 20k miles I put on it...
__________________
2012 335i Mineral Gray
M Performance Whore: PPK|Exhaust|Brakes|Performance Suspension Struts & Springs|LSD|Black Kidney Grilles|CF Spoiler and Mirror Caps|Bav Stage 1|400Ms|BMWF30.com
shivaswrath is offline   United_States
0
Reply With Quote
      02-01-2013, 09:55 AM   #30
SamS
Brigadier General
 
SamS's Avatar
 
Drives: 2013 ActiveHybrid 3
Join Date: Jul 2010
Location: Dallas, TX

Posts: 4,528
iTrader: (0)

Quote:
Originally Posted by kobechrome View Post
I just sold my 2006 E90 325i for 10k private party. 107k miles. Exactly 7 years old.
Two weeks ago, I sold my 2006 Honda Accord (7 years old) to a dealer (not trade, cash sale) for $9500. The MSRP on the Honda was about $26K, and mine had a few dents. That is ridiculous that BMWs depreciate so much over the same time period.
__________________
SamS is offline  
0
Reply With Quote
      02-01-2013, 09:59 AM   #31
shivaswrath
Brigadier General
 
shivaswrath's Avatar
 
Drives: 2012 335i
Join Date: Apr 2008
Location: Lost in NJ

Posts: 3,073
iTrader: (3)

Quote:
Originally Posted by SamS View Post
Two weeks ago, I sold my 2006 Honda Accord (7 years old) to a dealer (not trade, cash sale) for $9500. The MSRP on the Honda was about $26K, and mine had a few dents. That is ridiculous that BMWs depreciate so much over the same time period.
Exactly, that was more my point...you purchase a car for $26-50k. Both end at $10k.

I mean, it REALLY HAS TO BE the Ultimate Driving Machine in order to justify the insanity.

Regardless, when I traded in my Evo VIII for the TSX, I was depressed and underwhelmed with the driving experience. The most difficult 50,000 miles I have driven in 20 months.

When I traded in the TSX for the BMW (mind you I made $2,000 profit off of the trade in, go Acura!), I've only had smiles when driving the car since.

I feel like the cost of maintenance on the BMW must add to the depreciation value...
__________________
2012 335i Mineral Gray
M Performance Whore: PPK|Exhaust|Brakes|Performance Suspension Struts & Springs|LSD|Black Kidney Grilles|CF Spoiler and Mirror Caps|Bav Stage 1|400Ms|BMWF30.com
shivaswrath is offline   United_States
0
Reply With Quote
      02-01-2013, 10:00 AM   #32
Tsuvoi
Banned
 
Drives: 2013 F30 328i
Join Date: Oct 2012
Location: New York

Posts: 272
iTrader: (0)

Quote:
Originally Posted by DarkTrigger View Post
I can't believe I'm hearing all this talk. Buying a car IS a smarter decision if you plan on keeping it any more than 5 years. Anyone with a little background in finance will tell you that!

Seems like people who are leasing are trying to justify. Leasing is almost ALWAYS worse, unless you run your own business.
Ease off dude, this is buying new vs buying used. That's what people are referring to. Buying old is a good financial move.
Tsuvoi is offline  
0
Reply With Quote
      02-01-2013, 10:09 AM   #33
DarkTrigger
Professional
 
DarkTrigger's Avatar
 
Drives: 335i MPPK
Join Date: Oct 2012
Location: LB, SoCal

Posts: 973
iTrader: (0)

Quote:
Originally Posted by ft1337 View Post
Ease off dude, this is buying new vs buying used. That's what people are referring to. Buying old is a good financial move.
The original post WAS about that. However, everyone keeps talking about leases. Also, if you look, I had another post which identified buying used a much better finnancial choice than new, but not leasing over the long run.

I don't even think you can lease a used vehicle, but the leasing posts are most prevalent, therefore, we're back to the lease vs buying discussion.

I don't care either way, people do what makes them happy, plus we're all financially dumb for buying a BMW, otherwise we'd all have Toyotas which hold their value the best.
DarkTrigger is offline   United_States
0
Reply With Quote
      02-01-2013, 10:17 AM   #34
SamS
Brigadier General
 
SamS's Avatar
 
Drives: 2013 ActiveHybrid 3
Join Date: Jul 2010
Location: Dallas, TX

Posts: 4,528
iTrader: (0)

Quote:
Originally Posted by ft1337 View Post
Buying old is a good financial move.
As long as you don't mind paying tens of thousands to drive around in someone's old car that they farted in all day for the past few years
__________________
SamS is offline  
0
Reply With Quote
      02-01-2013, 10:46 AM   #35
Jamesons Viggen
Brigadier General
 
Drives: '98 M Roadster stg 2+ S/C
Join Date: Jul 2012
Location: Rochester Hills MI

Posts: 3,552
iTrader: (3)

I think the car in the test if the Modern Line, that means no sport suspension.
__________________
'98 M Roadster stg 2+ S/C @ 13psi(cracking 500hp this summer) +'13 EBII M Sport 328i 6mtFOR SALE
Jamesons Viggen is offline   United_States
0
Reply With Quote
      02-01-2013, 10:57 AM   #36
tdizzle
Lieutenant Colonel
 
Drives: 2012 335i Sport
Join Date: Aug 2012
Location: Memphis

Posts: 1,768
iTrader: (0)

Quote:
Originally Posted by kobechrome View Post
I think it was around $33,500 (not including taxes/title/fees). It was pretty barebones and I got $500 over invoice.
Interesting, I sold my FX4 F-150 for $12k trade in at the dealer for my 335. I'm sure I couldve gotten around $15k private. It MSRP'd $37k, I forget what I paid for it though, probably around your $33k though. It was also 7 years old when I traded it in, but I "only" had 82k miles.
tdizzle is offline   United_States
0
Reply With Quote
      02-01-2013, 11:07 AM   #37
kobechrome
Captain
 
kobechrome's Avatar
 
Drives: 2013 F30 335xi
Join Date: Dec 2005
Location: Ashburn, VA

Posts: 700
iTrader: (0)

Garage List
Quote:
Originally Posted by tdizzle View Post
Interesting, I sold my FX4 F-150 for $12k trade in at the dealer for my 335. I'm sure I couldve gotten around $15k private. It MSRP'd $37k, I forget what I paid for it though, probably around your $33k though. It was also 7 years old when I traded it in, but I "only" had 82k miles.
Good ole bmw depreciation
__________________
kobechrome is offline   United_States
0
Reply With Quote
      02-01-2013, 12:35 PM   #38
BavarianFanatic
Too much is never enough
 
Drives: Too Many
Join Date: Mar 2008
Location: SE PA

Posts: 1,738
iTrader: (0)

Quote:
Originally Posted by SamS View Post
Two weeks ago, I sold my 2006 Honda Accord (7 years old) to a dealer (not trade, cash sale) for $9500. The MSRP on the Honda was about $26K, and mine had a few dents. That is ridiculous that BMWs depreciate so much over the same time period.
I've been driving an E32 750iL for the last 8 or so years that I bought for $600. Original sticker was north of $80k. I don't mind being on that side of the curve.
BavarianFanatic is offline   United_States
0
Reply With Quote
      02-01-2013, 12:45 PM   #39
snowghost
Lieutenant Colonel
 
snowghost's Avatar
 
Drives: '13 335i M-Sport 6MT
Join Date: Jul 2010
Location: SoCal

Posts: 1,849
iTrader: (1)

Quote:
Originally Posted by DarkTrigger View Post
I can't believe I'm hearing all this talk. Buying a car IS a smarter decision if you plan on keeping it any more than 5 years. Anyone with a little background in finance will tell you that!

Seems like people who are leasing are trying to justify. Leasing is almost ALWAYS worse, unless you run your own business.
You can still write off an owned car for tax purposes as well.
__________________
F30 Sapphire Black 335i 6MT|2PE|4AB|LCSW|ZDH|ZMM|ZPP|ZCW|ZDA|ZDB|ZTP|5AC|4 15|688|Dinan Stage 1 Suspension and Shockware ECU tune
Previously - F30 335i, E46 M3, E39 530i, E46 325i
snowghost is offline   United_States
0
Reply With Quote
      02-01-2013, 12:50 PM   #40
shivaswrath
Brigadier General
 
shivaswrath's Avatar
 
Drives: 2012 335i
Join Date: Apr 2008
Location: Lost in NJ

Posts: 3,073
iTrader: (3)

Quote:
Originally Posted by snowghost View Post
You can still write off an owned car for tax purposes as well.
That's what I'm doing...my accountant said any cost associated with a company car can be written off (lease/loan/maintenance).

For now..
__________________
2012 335i Mineral Gray
M Performance Whore: PPK|Exhaust|Brakes|Performance Suspension Struts & Springs|LSD|Black Kidney Grilles|CF Spoiler and Mirror Caps|Bav Stage 1|400Ms|BMWF30.com
shivaswrath is offline   United_States
0
Reply With Quote
      02-01-2013, 01:37 PM   #41
Jamesons Viggen
Brigadier General
 
Drives: '98 M Roadster stg 2+ S/C
Join Date: Jul 2012
Location: Rochester Hills MI

Posts: 3,552
iTrader: (3)

Quote:
Originally Posted by shivaswrath View Post
That's what I'm doing...my accountant said any cost associated with a company car can be written off (lease/loan/maintenance).

For now..
That's what I am doing as my business partner and I are forming an LLC. Win!
__________________
'98 M Roadster stg 2+ S/C @ 13psi(cracking 500hp this summer) +'13 EBII M Sport 328i 6mtFOR SALE
Jamesons Viggen is offline   United_States
0
Reply With Quote
      02-01-2013, 02:29 PM   #42
snowghost
Lieutenant Colonel
 
snowghost's Avatar
 
Drives: '13 335i M-Sport 6MT
Join Date: Jul 2010
Location: SoCal

Posts: 1,849
iTrader: (1)

Quote:
Originally Posted by SamS View Post
As long as you don't mind paying tens of thousands to drive around in someone's old car that they farted in all day for the past few years
Yeah check out the Top Gear episode where they do forensics on used cars, and find boogers, feces, blood, scabs, skin and semen amongst other things.
__________________
F30 Sapphire Black 335i 6MT|2PE|4AB|LCSW|ZDH|ZMM|ZPP|ZCW|ZDA|ZDB|ZTP|5AC|4 15|688|Dinan Stage 1 Suspension and Shockware ECU tune
Previously - F30 335i, E46 M3, E39 530i, E46 325i
snowghost is offline   United_States
0
Reply With Quote
      02-01-2013, 03:12 PM   #43
dd1981
Kapetan Svog ivota
 
dd1981's Avatar
 
Drives: 2012 335i sport
Join Date: Dec 2010
Location: Chicago

Posts: 1,678
iTrader: (0)

Garage List
Quote:
Originally Posted by kobechrome View Post
I don't think the argument is lease vs buying. From a pure financials perspective, buying probably wins out every time. I think the point the poster is trying to make is that buying NEW is "stupid" when compared with buying USED. The most economical way to acquire cars is to buy a 3 yr old used car (when depreciation hits hardest) and then drive that thing to its death, into the ground, sputtering, crawling all the way to the car's grave - then repeat cycle.

However this explanation doesn't account for lifestyle, culture, happiness, what people want to do - its just a pure numbers game. If it makes you happy to have new cars, or lease and drive new cars every 3 years - more power to you if you have the financial means. People have the right to spend their $$ however they want to achieve happiness. Plus, the guy arguing against leasing cars surely has other areas in his lifestyle where there is waste/excess - so its all relative and in the end not really that "stupid."
wow well put, I could not agree more.
__________________
Custom Modified OEM Muffler,
back
dd1981 is offline   Serbia
0
Reply With Quote
      02-01-2013, 07:52 PM   #44
pruettfan
Lieutenant Colonel
 
Drives: 2006 330i
Join Date: Jul 2009
Location: Oro Valley, AZ

Posts: 1,511
iTrader: (0)

That residual is about right for a 5 year old car with what will likely be 80,000 miles. Remember residual is not based on retail value it is based on a wholesale value. My 06 330i at 5 years was worth less than that if you look at wholesale, the retail was about 16k.
pruettfan is offline  
0
Reply With Quote
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 01:50 PM.




f30post
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