Xoutpost.com - Ok, Decision Time.. 335?

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Don't do it bud. Keep the X.

I didn't buy a new car till last year, F150. But I needed something to beat on, and it will be sold next year. This isn't a car I want to keep long term. Should come out better than a lease in the end. Plus in 6k miles, this shit has been to the dealer 3 times, on a towtruck.

So I bought used, maintained it, and saved money with all my previous cars. I never owed the bank anything till I bought my first house.

Ok so that being said, I bought my house at 27. NYC, so I paid through the nose, to the tune of $650k. Obvious mortgage through the balls too. Best move I ever made. House is better than any car, ever. More houses, is even better. After rent collected, my out of pocket payments toward my primary house is less than most anyone pays for rent. Equity, refinancing, you name it, will further your future investments, and give you better buying power. Like taking equity out and straight up buying a new car if you want.

Lease is also like rent. You know that, you are in the field. So you put $4k down, lease for 3 years, that is $18k, and then you give the keys back. You can't even sell it to make some money back. Look at your X, look how long you had it, and you can still sell something to put money down toward another car.

I was/am in a similar boat, I graduated may.

I was just about to sign the lease for a 13 328xi (these things are a lot closer to the 335 than in the past). Until i shopped around.

Yes I am making good money but it is shocking how fast it goes once you have big boy bills.

Instead I bought my x5 (06 4.8is) put 10k down and it is 200/mo. Much more manageable. You have to factor in insurance as well. Of coarse you will pay this on any vehicle but a lease has to have full coverage and will be more because of its value. You may be able to afford it on paper. But wait until you start seeing how much taxes REALLY take out and how quick it goes every weekend when you want to go do fun things, travel, party, impress girls, build your hobbies, whatever floats your boat.

Saving is a serious discipline and starting off with something like a leased car is a step in the wrong direction.

Just my $.02

+1

On all the advice here. Especially read closely the comparison between your top maintenance- a new transmission- vs the lease (and full insurance and taxes) on the 335. Remember: You lose that job due to down sizing and you're still on the hook for the lease + taxes. Then your credit takes a dive.

Keep the X. Establish an aggressive savings plan for a house. Get at least 3-5 years into your new role before you do anything big. Dump any pay increases either into retirement or house savings. Buy your house FIRST.

When the time comes, you don't want to marry a chick who is more impressed by a new car than home ownership. She'll cost you more than 10 X5's.

Quote:

Originally Posted by Ricky Bobby (Post 910093)

Nazario,

Think about it this way, if you were to make the big repairs necessary to get another 50, 60, 70k miles out of it, you would still own your car outright and not have any debt besides repairs. This enables you to save double, on the rent you are saving living at home for the time being, and on the car payment.

Trust me, our generation has most of it all wrong. I know countless guys who are on the cusp of turning 30, still live at home with their parents but are leasing a new car every two years and have no money. Trust me, its better to just keep what you already own in pristine condition as long as you can (and you know the X can age very gracefully), save the extra money for a house in the future. Most of my friends are struggling with affording a house, because they spent their early 20s with all these rewarding indulgences after college, and partied their asses off.

Think about it, you live in a nice area and I'll give you an example. Lets say my house cost between 300-400k for example, I live 20 mins from you. To have the 20% down payment, you need to save up between 60-80k, in addition to closing costs, and any house repairs. You could be up to 100k before long.

You and I speak the same language...listen to this man...personal debt is something that is of great concern...at your age, it is not necessary to put yourself in a bad spot financially, just to purchase a nice car...I say just drive the X so that you can save for a house...You will see that in the long run, you will be happy seeing your bank account continue continue to move in the black...

Just my 2 cents though...up to you what you do in the end...:thumbup:

Naz, did you say "I LOVE my X5, 110k miles in perfect condition?
Perhaps taking a deep breath and running the numbers might be in order. Frustration can cause one to make
Rash decisions when the facts point to a more balanced decision. Seriously think about
The cost to repair vs a car payment and you may change your mind. As I've said to others
Who love their X, It's a good idea to put money away each month for eventual repairs.

But if the money you save is about the same as a car note then again maybe you
Have the answer. Either way there's no free ride.

Wish you the best. B&R

Thanks for knocking sense into me guys...

I guess its just that my X5 has been to 4 different shops in the past 2 weeks, i see the bills starting to pile up for the "unknown" repair.

As far as buying house, yes, that is priority. But as stated above, even a new tranny will be less than the lease payment on a 335, plus i'd be left with nothing at the end of 39 months.

I am a finance person, and will be working in Real Estate Finance, so, my goal is to buy a multi-family house, rent out one side and hopefully recoup some of that investment. Living at home, and having a 20 min commute to work is definitely something that will help my finances. Just not sure how long living with "mom and dad" will work out for me--could definitely hinder relationships and things like that in the future (holy crap i'm actually growing up)

regardless, i guess now is not the time for a new car. If i can get this "problem" fixed on my X5, i am sure it will be good as new. just hoping new things do not start hitting the fan on it.

as far as other things, i already have a retirement account and investment account earning for me :) At my age, the Roth IRA made the most sense. Had it going for 2 years now.

I have never been a big spender, so i have $ saved up for a rainy day, I will continue to keep that way. Thanks for the help guys

One problem with the lease deals you see all the time is that the mileage is ofter limited to 10k or 12k. Go over that, and it costs quite a bit.

I know Naz is worried about upcoming repairs that could easily overwhelm the cost of a lease on a 3 series. So here's an idea not yet suggested...buy an aftermarket warranty on your X5. It will cost a small fraction of the cost of the lease, you will still have no debt...and virtually eliminate your risk. On the X5, I would just buy a drivetrain warranty...all the other common repairs are less likely to break the bank; especially if you do them yourself, (ie...window regulator onece a year!)

Quote:

Originally Posted by Naz24 (Post 910043)

I'm not a lease type... but at my age to finance would be tough. and to buy out right would also be tough.

I do own my X5 outright..

I'm just looking down the barrel at my repairs for the X5. who knows

2-4k per year on repair ....still cheaper than new car payment.

Don't do it. Get going with your job first and see how that goes before dropping major coin. Plus, I have seen photos of the f32 4 series coupe and you will kick yourself. It looks absolutely amazing.

3800 going towards new transfer case next week.

Yup, I'm keeping her.