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View Poll Results: 328i, wait or settle for 435i?
328i for a year 8 19.05%
Drive the Lexus and keep checking M3 prices 30 71.43%
435i 4 9.52%
Voters: 42. You may not vote on this poll

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      09-26-2013, 04:30 PM   #23
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Why not just wait to see how much you will actually make from the bonus checks. Then pay of your school loans. Work at your new position and receive your paycheck (with your expected raise) which you can put towards building a nice little savings account. Once you have that money saved look back and see if you really want the car. If by then you still want it, then look for a privately sold car which Iam positive will be way less then what the dealer is trying to steal from you now.
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      09-26-2013, 05:24 PM   #24
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What does your credit look like? If you're just coming out of school I assume it isn't yet 'Excellent' at this point -- so you'll have to factor the (likely) higher interest rates into loan/lease payments you're expecting, or co-sign with your parents to lower the rate.

You're onto something with your Option 3, and also your stated desire to do a Euro Delivery.

Allow me to suggest
Option 4:

Drive the Lexus through the winter, into the spring when ordering for the M4 coupe will likely begin. Use the down payment your parents are giving you, along with at least some of your 5-figure bonus check (maybe 1 of the 2) towards the M4, and order it for Euro Delivery. Doing that will allow you to get it from Steve Thomas BMW or another board sponsor for around $500-$1000 over invoice (if history repeats, and I see no reason why it won't on the M4), because ED orders generally do not come out of dealer allocations. This will also reduce your invoice price by 7% over what it would be for a normal US car. On my 2013 M3, that savings was approximately $5500 -- which covered my plane tickets, and hotel stays in Munich. Can you say free vacation? -- You'll also want to take the loan (not a lease) from BMWFS, even if you don't like their outrageous 3.5% rate, because it'll net you another $1500 in your pocket. You can refinance in 3-4 months and get a better rate elsewhere, but you still pocket those savings. Depending on the down payment amounts and your options/pricing on the M4, your monthly payments could be as low as $500-$750 or so, which should be affordable given the figures you've posted. Finally, doing ED removes any 'drive-off-the-lot' depreciation usually associated with a new car purchase, because of the 7% invoice reduction, so it's the best of both worlds. After the loyalty discount, the BMWFS discount, and the ED discount, I got my new M for what some other threads here are currently asking for 2011s

Best of all, you'll be one of the first of us here on the forum with a shiny new M4

Last edited by nullrouted; 09-26-2013 at 05:33 PM..
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      09-26-2013, 07:15 PM   #25
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Does your mom need a car? No? Then keep driving the Lexus until then.
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      09-26-2013, 08:52 PM   #26
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Do you really believe the used M3 prices will drop precipitously when the new M3 comes out? First, not everyone with a newer car will have the financial wherewithal to dump their 1-2 year old M3 just to get into a new one, and I predict that most of us are fiscally responsible enough to know that it would be a complete waste of money to take the first two years depreciation on a German car just to trade it for another German car. Second, the M4 will not be available for even longer and most "M3" sales have historically been coupes, not sedans. I would not expect that many current coupe owners will feel overcome with the need to get a new M and go for the sedan. That means that there won't be a sudden oversupply of used E92 M3's on the market.

Then, consider that at the time when the M4 becomes available, it will most likely have a decent price increase over the prior generation. Price increases reduce the pool of potential customers.

By the time the new M3/4 becomes available all E9X M3's available will be used and will have normally depreciated. There will also a limited supply of new cars during the months following the release so not everyone who wants to "jump ship" will be able to do so.

Don't count on this purported used M3 bonanza. Just save up and drive whatever is cheapest in the meantime if you really want an M3.
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      09-27-2013, 03:52 PM   #27
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Quote:
Originally Posted by Powaup View Post
Purchasing an M3 these past few weeks has been harder than it seems because apparently now is one of the worst times to buy an E92 M3 especially from a dealership.

I have been to a few dealerships and they are very firm on their price at the moment, I went to Pacific BMW a few weeks back and even though the CPO M3 I was interested in had been sitting on their lot for over 70 days they would not even budge $900. After looking around it seems like I would not get much of a deal from anywhere so I have decided to wait it out.

I just graduated from College and a down payment on a car is supposed to be my graduation gift from my parents (I would make the monthly payments)

Option 1: Since its such a bad time to buy the car I want parents have offered to help me lease a 328i, I would drive the 328i for a year and then hand it over to my mom and she would drive it for the remainder of the lease period. When I am ready to make a purchase on an M3 they would still somewhat help me. At that time deliveries of the F8x M3/M4 will have begun and prices on the E9x M3s should have dropped considerably. Now if I take this deal I would HAVE to drive the 328 for at least 9 months minimum, so if prices for e92 M3s drop in January-February once orders are being placed for M3/M4 I would not be able to do anything until some months down the line. However during that time period I will be able to save more money for the M3.

Option 2: I could just not get a 328 and save myself and my parents some cash and instead wait to see if e92 prices drop and make a purchase once the price is right. However I would be driving my grand mother's Lexus es300 in the mean time (she can not drive anymore), which is a pain to drive and not economical plus I plan on going snowboarding this winter and the 328i would be a much better car for that situation.

Option 3: The 435 will be out in a few months and my mom works for Oracle so she benefits from the BMW fleet program where she would basically be able to get invoice price+$500 once dealers get a sufficient amount of order allocations available (Who knows how long that would take) so at that point I would be able to lease a 435i for a 3 year period. However I am not as interested in leasing this car and have my mind set on an M3, this is just something worth considering.


Notes:
- In the next 2-6 months I am expecting 2 (1 is more certain than the other) 5 figure bonus checks from my previous job at a law firm
- In 4 months I am expecting a promotion/raise from my new job
- I will not have to pay rent for the next 4 months and will be living alone
- If I do receive the bonuses I plan on using a large chunk of that money to pay back college loans for my father and I. I would also hate to just drop a large chunk of cash on a car before earning some interest through investments.
- If I go with Option 1 I would be able to use $1,000 Ultimate drive incentive and my graduation incentive would be intact for a CPO M3 a year from now (date on my degree is 9/11/2013)


I appreciate any and all feedback negative or positive. I did not expect to drive a 328 right after graduation but as of right now it seems like the smart move to make for 1 year and then I will be able to drive my dream car the M3.
Just pick up an E46 M3 and pay cash and be done with it.

Good luck.
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      09-27-2013, 04:01 PM   #28
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Quote:
Originally Posted by nullrouted View Post
What does your credit look like? If you're just coming out of school I assume it isn't yet 'Excellent' at this point -- so you'll have to factor the (likely) higher interest rates into loan/lease payments you're expecting, or co-sign with your parents to lower the rate.
Case by case honestly.

I had Tier 1 credit and qualified for BMW's top tier when I was 21 and actually still in college (was graduating the month I got my e93 335 back in 09).

Now, getting a mortgage or other large loan (construction, large line of credit, equity, etc) will be difficult as they need a longer history. But auto loans are fairly easy if you've had other types of loans that have been paid off (student, CCs paid on time and used often, etc).

First time auto loans are a bit difficult to get, but if you are Tier 1 with enough income and other credit history, it's not too hard to qualify for the top tier rates.
BMW FS seems to be very lenient from my experience. I've had 5 open Autos with them simultaneous without an issue. Mercedes on the other hand is a PITA, surprisingly Nissan as well (apparently Nissan doesn't like to lease more than 2-3 cars to one individual. Wtf?)




For Op:

Drive lexus, save the cash, and wait for the right buy. There are lease transfers popping up, either on the forum or swapalease/craigslist/etc.

A lease transfer is very simple (I've done it with BMW before). You apply, you get approved, you sign paperwork, you send paperwork, you wait, you get your car (the other party has paperwork to do as well of course)
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      09-27-2013, 09:21 PM   #29
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Quote:
Originally Posted by nullrouted View Post
What does your credit look like? If you're just coming out of school I assume it isn't yet 'Excellent' at this point -- so you'll have to factor the (likely) higher interest rates into loan/lease payments you're expecting, or co-sign with your parents to lower the rate.

You're onto something with your Option 3, and also your stated desire to do a Euro Delivery.

Allow me to suggest
Option 4:

Drive the Lexus through the winter, into the spring when ordering for the M4 coupe will likely begin. Use the down payment your parents are giving you, along with at least some of your 5-figure bonus check (maybe 1 of the 2) towards the M4, and order it for Euro Delivery. Doing that will allow you to get it from Steve Thomas BMW or another board sponsor for around $500-$1000 over invoice (if history repeats, and I see no reason why it won't on the M4), because ED orders generally do not come out of dealer allocations. This will also reduce your invoice price by 7% over what it would be for a normal US car. On my 2013 M3, that savings was approximately $5500 -- which covered my plane tickets, and hotel stays in Munich. Can you say free vacation? -- You'll also want to take the loan (not a lease) from BMWFS, even if you don't like their outrageous 3.5% rate, because it'll net you another $1500 in your pocket. You can refinance in 3-4 months and get a better rate elsewhere, but you still pocket those savings. Depending on the down payment amounts and your options/pricing on the M4, your monthly payments could be as low as $500-$750 or so, which should be affordable given the figures you've posted. Finally, doing ED removes any 'drive-off-the-lot' depreciation usually associated with a new car purchase, because of the 7% invoice reduction, so it's the best of both worlds. After the loyalty discount, the BMWFS discount, and the ED discount, I got my new M for what some other threads here are currently asking for 2011s

Best of all, you'll be one of the first of us here on the forum with a shiny new M4

Thank you for enlightening me! I did not even think about an M4 and the ED discount. I have a LOT of family in Europe I want to visit so If all goes as expected I will follow your suggestion. I was approved for 1.9% APR without a co-signer when I was at BMW Pacific thanks to Graduate program which will last until 9/11/2014 so I will be able to use it for M4
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      09-27-2013, 09:33 PM   #30
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Originally Posted by tdott View Post
How much debt do you have?

My opinion is not to buy a car until you've paid off your student loans. Even if you make 100k/yr still pay off your loans, it shouldn't take long.
about $23K in student loans total 15K at 6.8% 3.5K at 6% and another 3.5k at 5.8%. I plan on eliminating all of this debt this year if possible, if not a large chunk and then pay double the required monthly payments. Aren't those interest rates really high?? or do all college loans have those same rates? I remember people telling me college loans wouldn't be more than 3% just a few years back, the rates on the parents loans are 7.8%!
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