[ADHD]

Well Ive been lurking this site for some time as Im about to buy a new 325xi..I see lots of people comparing leases and the deals they get here in other threads but cant really find anyone who has paid cash for their car..
Id rather just buy the car and not deal with payments and what not so I figure I should get a good deal u think???
Here is what Im shooting for..
325xi
Sparkling Graphite
Premium package
Steptronic transmission
cold weather package.
the msrp is 38,995 for this beast.What do u all think I should Offer them for this car cash??? I see alot of people are paying about 1000k over invoice on a lease but maybe with cash I could get it for less???
Ive bought chevys before and can get them much cheaper than invoice
but I know BMW's are different so any advice on what I should offer the dealer would be great...
some dealers have been emailed and all just tell me msrp..Not sure what the deal is??? please help??

[jkcali2ooo]

I offered cash and got 5% off msrp for my car. Good Luck

[Rocket850]

Well, I'm sure some financial gurus here can give better advice than I can but here is my philosophy:
I pay cash for everything...I hate having to make payments. The only loan me and the wife had was for our house and we paid that off in 12 years. When you don't have monthly payments for things it really empowers you, gives you the ability to save at a high rate.

[USAF BMW]

more power to you

[Carnage]

I will say it does help. I paid cash for mine in May of last year and got it for dealer cost at a time when the car was selling for sticker price and above depending on the city you lived in and good deals where out of the question. No matter the enivronment one constant always holds true, "Cash is King."

[jkcali2ooo]

Finance your vehicle if your opportunity costs to investments such as stocks or real estate are reasonably profitable or at least enough to offset the APR. If you have extra money and/or money that you would not be using (i.e. sitting in the bank even in a savings acct), then clearly use cash unless you can forsee a reasonable expense where the benefits of having cash would outweigh purchasing your car with cash.

Benefits of cash:
From my experience, the buyer typically retains more control over a sale when using cash. (+ can usually bargain for throw-in items such as floor mats YMMV)

Always feel free to walk away from the sale if you are not getting what you want, even if you really want the car. It will show that you are not desparate and you can always come back later or talk to another sales rep. But for those of you who are desparate...

[ADHD]

Wow you guys are awesome thanks for the replies...basically my situation is this..
I recieved an inheritance and have horrible credit! so financing would screw me in the end so purchasing the car outright I think is the best option! I just off the phone with dealer and she did a regional search and no luck for the car so who knows i may settle for something different! Any ideas!

[xcalibr]

Originally Posted by jkcali2ooo

Finance your vehicle if your opportunity costs to investments such as stocks or real estate are reasonably profitable or at least enough to offset the APR. If you have extra money and/or money that you would not be using (i.e. sitting in the bank even in a savings acct), then clearly use cash unless you can forsee a reasonable expense where the benefits of having cash would outweigh purchasing your car with cash.

I smell an econ major...

Originally Posted by ADHD

Wow you guys are awesome thanks for the replies...basically my situation is this..
I recieved an inheritance and have horrible credit! so financing would screw me in the end so purchasing the car outright I think is the best option! I just off the phone with dealer and she did a regional search and no luck for the car so who knows i may settle for something different! Any ideas!

have them do an order for you --it takes about 2 months, but it's worth the wait if you have something else to drive in the meantime. 325XI is super rare in CA... They had two at BMW Fremont, but not even close to the options I wanted, so I ended up ordering. If you could get the time off from work, think about doing a euro delivery also...

[mosport70]

My rule of thumb: Never finance an asset that depreciates.

House: Yes (over the long-term housing generally appreciates)

Car: Never (loses value immediately)

Stocks/Mutual Funds, etc: Maybe (if you can stomach the potential for loss/margin call in the short term)

Credit Card Purchases: Never (Almost all credit card purchases are consumable so they have no lasting value)


To justify financing a car and putting your cash in an investment (savings, CD, money market, etc), that investment would need to earn enough interest or capital appreciation (net of tax) to exceed the borrowing cost on the car. Show me a relatively risk free investment that will accomplish this.... you would be lucky to find one.

If you finance a car so you can pay down credit card debt with the saved cash then that would be tough to argue against (19% credit card vs 7% car loan).

Of course, all this being said, if you are into instant gratification this strategy won't work for you since saving takes patience.

Just my opinion.

[ADHD]

alright i sucked it up the one the dealer had transfered had light grey interior and didNOT like it! I ended up with the normal 325i
Atleast i got what i wanted just not allwheel drive!
I ended up with JEt BLACK
Black dakota leather
dark walnut burl trim
priemium package
steptronic transmission
thats what i got for 38k out the door!
plus i bargained the floor mats and key chains and a nice polo shirt!

[h_curtis]

Originally Posted by mosport70

My rule of thumb: Never finance an asset that depreciates.

House: Yes (over the long-term housing generally appreciates)

Car: Never (loses value immediately)

Stocks/Mutual Funds, etc: Maybe (if you can stomach the potential for loss/margin call in the short term)

Credit Card Purchases: Never (Almost all credit card purchases are consumable so they have no lasting value)


To justify financing a car and putting your cash in an investment (savings, CD, money market, etc), that investment would need to earn enough interest or capital appreciation (net of tax) to exceed the borrowing cost on the car. Show me a relatively risk free investment that will accomplish this.... you would be lucky to find one.

If you finance a car so you can pay down credit card debt with the saved cash then that would be tough to argue against (19% credit card vs 7% car loan).

Of course, all this being said, if you are into instant gratification this strategy won't work for you since saving takes patience.

Just my opinion.

I live by the same rules, but I confess, I think I will finance this time. At 1.9%, it is hard to pass up. I hope my investments will pay off better than that.

[ashecnc]

Originally Posted by ADHD

alright i sucked it up the one the dealer had transfered had light grey interior and didNOT like it! I ended up with the normal 325i
Atleast i got what i wanted just not allwheel drive!
I ended up with JEt BLACK
Black dakota leather
dark walnut burl trim
priemium package
steptronic transmission
thats what i got for 38k out the door!
plus i bargained the floor mats and key chains and a nice polo shirt!

Welcome to the jet black family

[scubajag]

Pay cash, go European delivery, and you will get a very good deal.

[goIrish]

Um, if you've got horrible credit I'd use the inheritance to fix the bad credit not buy a $40k car.....but that's just me.

[ADHD]

Originally Posted by goIrish

Um, if you've got horrible credit I'd use the inheritance to fix the bad credit not buy a $40k car.....but that's just me.

well buying a 40K car on finance wouldnt help me at all..it may help my credit but a cost of 16% which is bout 20k in the long run is not to prettty to me at all..So I bought the car and I will invest some more and probably go buy some small pieces of jewelry on credit and get a couple secured credit cards..any other ideas on getting credit???

Originally Posted by Ethirtynine

I'm curious why you want awd in LA

Well I ended up not getting the XI and got the I but I did want it due to the fact that im a mammoth and MT high season pass holder.. The awd in snow wouldve been nice but now that im thinking about it there going to make u put chains on either way in a car..

Anyhow went to DTM Autowerks today ..picked me up some 19" M5 wheels and tires along with some H&R springs..Car looks great..
he installed everything for me and anwered all my 1k questions I think i asked him about our cars. Exellent customer service and he gave me a smoking deal on everything installed.. I also want to say thanks to ASH for directing me to him. for who knows what I wouldve ended up with for some ungodly price!.
Going to wash the car and take pics in the morn its got some bugs from the Crest..( :rocks: )
Its a whole new car..I really wish I wouldve taken a picture of the car before..oh well anyone need some 100mile take offs. 16x7's??????

[Hej]

Originally Posted by goIrish

Um, if you've got horrible credit I'd use the inheritance to fix the bad credit not buy a $40k car.....but that's just me.

Agreed. Finance the car, and pay it off with the first payment.

[h_curtis]

Originally Posted by ADHD

Anyhow went to DTM Autowerks today ..picked me up some 19" M5 wheels and tires along with some H&R springs..Car looks great..
he installed everything for me and anwered all my 1k questions I think i asked him about our cars. Exellent customer service and he gave me a smoking deal on everything installed.. I also want to say thanks to ASH for directing me to him. for who knows what I wouldve ended up with for some ungodly price!.
Going to wash the car and take pics in the morn its got some bugs from the Crest..( :rocks: )
Its a whole new car..I really wish I wouldve taken a picture of the car before..oh well anyone need some 100mile take offs. 16x7's??????

Glad to see you went all out. You will be back in the bad credit line in not time and will be paying 20% for a home mortgage. Hey you gotta live.

[sblument]

I compromised a little. I put $20k down, borrowed the rest with the 2.9% deal with 5 year amort...but overpaying to pay it off in a year or so. My total interest cost will be just $500

[ADHD]

Originally Posted by h_curtis

Glad to see you went all out. You will be back in the bad credit line in not time and will be paying 20% for a home mortgage. Hey you gotta live.

Actually budddy I never got out of the bad credit line and probably wont for another couple years..
And my mortgage is at 6% and i only owe 150k so in all reality Ill bet you are in more debt than me!
I have no car payments at all! NO credit cards!
my 1700sqf house is the only thing keeping me in debt...

Anyhow I did go all out and will be dumping more cash into as well very soon...not sure what else is next but im sure ill come up with something!
the list 4 today is:
Bluetooth phone
Ipod connection..
Any tips on the ipod connection??? Ive been reading the thread about it and the links are all dead of where to get one. Anyone have an angle???
illl probably just drive to best buy and buy some M/M 3.5cord for know but id like to integrate it into the system like all my other cars!

[goIrish]

Ok, so before the flamefest starts.... Just curious, Looks like your debt is managed well, but what got you into bad credit in the first place?

hei had a good idea with financing it, then pay it all off at once. That would really help you out big time. There are no penalties for early payoffs.

[ADHD]

yes irish that was something I was thinking bout! Basically what happend was when I was 19 I rearend a lady parked in the middle of the road she was looking at the house for sale!(in the middle of the street parked right after a hill) had no choice but to slam into her... So basically she didnt get anyof my information and it took her 4 years to track me down and 30k later she was suing me for everything!!
So I said your funny lady but ahh your not getting shit! went down the next day and filed bankrupcy and sold all my assets to my father at the time to protect myself! so long story short thats the only thing runing my credit..
I litterly have no credit i just had it pulled last week from a friend and he commented on how it better to have no credit than shitty credit so atleast thats good to now..

[SP330]

sorry to hear that man^ hope everything works out for you well