Decisions, decisions, decisions...

[akim47]

Hello... I'm new to the forum and have found some good information here and am also seeking a guidance...

I'm looking to get back into an SUV (had a brief experience with an 07 Yukon Denali that we sold at the height of the oil price bubble)... Anyways, my wife's C300 just isn't cutting it as a baby hauler and we are looking at a family wagon...

I started looking at the X5, the Audi Q5, and the Porsche Cayenne (I have a 997). The Cayenne is too expensive to be a baby hauler. We looked at the Q5 and although it looks nice, is a bit on the small side and I found the 2.0T engine to be a bit underwhelming. We liked everything we saw regarding the x5 (E70) and decided this was the car to get.

I am not posed with the dilemna of what to get. Our options are:

1) Purchase a 2008 X5 3.0. Around $36K with low miles.
2) Lease 2011 X5 3.5. Around $650 per month for 36 months.
3) Purchase 2011 X5 3.5. Around $50K including holiday cash.

The first option seems really attractive as we've found a decent model with 25K miles on the clock. Extended warranty is good until 2014. Dowside is that it has the old 3.0 motor, the 6 sp tranny, and the plastic bumpers. I think BMW did a really great job with the 2011 refresh. I'm not really looking for a loaded X5, the only requirements are bluetooth and power liftgate (for the wifey). Other than that, it's just the baby mover/grocery getter... My wife's criteria was something nice with aesthetic appeal (we live in the OC)... The 2008 seems like a good solution as it's the latest model (E70) at the cheapest price wth a good warranty.

The second option of leasing is attractive for a certain reason. I've always purchased my cars. However, I've cost myself a boat load of money by selling my cars so quickly. In the past 3 years, I've bought a Lexus GS, Yukon Denali, Mini Cooper JCW, Mercedes C300 and 997 Carerra S. I think leasing might actually save me some cash as I took a bath on every vehicle sold. Pretty soon, the Porsche will be the only car in the garage... When I calculate out the current lease offers, it seems like a pretty attactive deal as you get the $2500 holiday cash to reduce your cap cost. Also, seems like you are getting a pretty good money rate. So all else equal, not a bad choice.

The last option is just to go and buy the truck and try to negotiate the best deal possible. I read about people getting $500 over invoice (before holiday cash) and getting a car out the door in SoCal for under $50K. Can anyone confirm or deny this? If I can get a brand new 2011 for just over $10 more than it'd cost me for a used 2008, this could be the most attractive offer...

I've noticed a ton of people going the new route instead of the used. Are new cars the better deal? Should the 2008 be priced below $36k?

Thanks.