[vohit4rohit]

Hi guys - I'm trying to decide if should I sell my '07 6spd manual 328i by tomorrow. I've had it for a little over 2 years and have spent $5k out of pocket on maintenance and repairs via aftermarket warranty.

I'm wondering how much I could expect to spend on M&R over the next 3 years, until I hit 90k miles. I'm currently at 65k miles, bought it at 48k. I average roughly 8k miles a year.

My aftermarket warranty expires in 8 months, so I'll have to go to non-BMW German repair shop by the time I hit 70k miles. I'm sorta handy, but don't feel confident doing work myself.

I've replaced both rear window actuators, battery, and brakes/rotors in the past year. A couple months ago I had an engine coil replaced, and heard I'll eventually have to have them all replaced. I haven't had the fuel pump replaced, but I heard that's a common issue.

All in all, I'm trying to figure out if it makes more sense for me to lease a 2015 335i 6spd at $450/mo (after minimum driveoffs + 7 MSDs) or to pay $444/mo for the remaining 33 months I have left on my loan (and then sell the car).
All in all, if I can expect to spend $6-8k on repairs, I think I'm going to sell the car.


Thanks for the advice!

[tuned2ride]

150$ /month is my motto. It worked for me so far.

[Androdz]

tuned?

[csu87]

$4 billion give or take a couple

[Bent_remy]

Alot.

[Antetokounmpo]

Originally Posted by Androdz

tuned?

An N52 tune would have a negligible effect.

[vohit4rohit]

Thanks for the help everyone! I ended up leasing the 2015 335i 6sp. M sport/Premium/Tech/Winter/Drivers Assistance+, fully loaded ($59,650 MSRP). $3150 in MSDs, $1700 drive-offs, $450/mo incl taxes. 3yr/36k. I sold the 2007 328i for $14,000 to a wonderful owner who wants to preserve the art of manual.

In the end my monthly payments remain the same, and I'm paying a $1700 premium over the 328i, which would have sold for the same amount i'd have put into repairs in 3 years.

All is well in the world, and I'm loving the 335 already.

[wilbur_the_goose]

but you have lost your equity. In 3 years, you'll have no equity in the car that you're paying $450/month to "rent".

[BB_cuda]

He got $14,000 didn't he?

Edit: oops, he had 33 payments left at 444/month. I'm sure payoff was less than 33•444=14,652. Call it another 600 or 700 interest that he saved. So he got 14 and that's likely what was principle left on loan. You're correct sir. He got nada out of the old car Except for not eating further repair costs.

[wilbur_the_goose]

Yeah. Car leases are nasty. Once you get in, it's really tough to get out of leasing over and over.

Cars are so expensive today, that I prefer to think them like real estate - except they're almost always a depreciating asset. BUT - it's often better to buy a house than to keep renting forever.

Plus, in states like Pennsylvania, a lease comes with a 9% tax on each and every payment.

[Meeni]

To save on $3k in repair in this forseable future, you lost the full equity of the old car. This is a bad financial decision. However you get to enjoy a new car with a better engine, so in the end it's up to your preference, but you didn't make a financially minded choice here.

[Wilt]

First of all, separate 'maintenance' from 'repairs' in your mind! Assuming start with 65K, add 8K per year (73k in 1 yr, 81k in 2 years, 89k in 3 years, 97k in 4 years, and assuming current tires are 'half gone' (15k left on tires)...

Maintenance you can expect between 65k-95k...

• Oil and filter changes
• Microfilter changes
• Engine air filter changes
• Tires
• Brake fluid change (next year, and every two years)
• Brake pads and rotors in about 3 years)
• Windshield wipers
• battery
• Fuel filter change
• Spark plugs at 100k
  

Repairs you are likely to need between 65k-95k

• All belts replaced
• Hoses replaced (power steering, coolant)
• oil filter housing gasket
• valve cover gasket
• New clutch
• Water pump & thermostat
• Pulleys and tensioners on a/c, alternator, and power steering

Repairs you might need

• fuel pump

[Wilt]

Originally Posted by wilbur_the_goose

Yeah. Car leases are nasty. Once you get in, it's really tough to get out of leasing over and over.

Cars are so expensive today, that I prefer to think them like real estate - except they're almost always a depreciating asset. BUT - it's often better to buy a house than to keep renting forever.

Plus, in states like Pennsylvania, a lease comes with a 9% tax on each and every payment.

Car leasing is not that hard to stop doing...you just get over the

1. lower monthly cost of a lease
2. need to have a new car every 3 years

...and get past the $350 or so lease, and afford the $600 loan payment, which is the major hurdle when budgets are thin!
If you cannot afford the 20% down payment, you HAVE TO rent. And houses carry the cost of property tax and insurance, on top of the loan.

Cars absolutely depreciate...you pay for 3 years of depreciation in your monthly lease payments! $40k cars are worth $4k at best after 10-15 years.

And if you buy the car, you pay sales tax on the ENTIRE amount.
If you lease, you pay sales tax on the amount of depreciation loss which is amortized across the lease payments.

[wilbur_the_goose]

For the sales tax, it depends on the state. Here in PA you only pay sales tax on the difference between the price of your trade vs the purchase. And, for a lease, you pay 9% tax on every payment.

Wilt is absolutely right. Cars are likely our only major purchase that will eventually go to zero.

I think that leases are targeted to two groups - businesses that can write them off as a business expense, and people that want a nice car but can't really afford it.

Intelligent frugality is the key to happiness, especially as you get older.