Quote:
Originally Posted by weeo
Oh and one question...did anybody consider an extended warranty, either BMW or aftermarket? They are expensive and complicated beasts.
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I did - got the BMW OEM extension to 7yr/160k km full factory warranty with no deductible. It wasn't cheap but a nav screen replacement is north of 2500 apparently. The economics worked for me since I plan on keeping these beauty for some time hence the warranty and PPF, etc that I did.
Three very importance things that you should consider.
1. These warranties can be purchased often for significantly less than the retail pricing (dealer invoice was several thousand less than retail on my warranty, I saved over 2k). Especially if negotiating during purchase. Do not pay retail pricing. I stuck with the BMW OEM warranty to avoid pissing contests with third party vendors.
2. When making a decision, don't judge prices on the listed warranty durations marketed as "5yr vs 6yr vs 7yr." Think of them as actually a "1yr vs. 2yr vs. 3yr extension" of the normal 4yr factory warranty. Eg "7yr extended warranty" is actually just a 3 yr extension of the normal 4yr. Your paying for a 3 year extension. Same goes for kms. Thus you will see that a 3 year extension can be purchased for less than twice the cost of a 1 year extension. They hope to get people to buy the "less expensive they will say" 5yr (1 yr extension) which is actually the most expensive per year of warranty added.
3. Finally, for me, it gives me added value if selling my vehicle as a private sale in the future - for example sometime near the end of the warranty. Warranty is transferable in a private sale to another individual. Therefore, I would estimate to get back at least half of the value of the warranty at time of sale because my vehicle will be worth more - i can offer a private sale M5 with a factory warranty no deductible (eg 8 months warranty left if sold at 6yr,4mo). This would place my car at a distinct advantage compared to others in the market because the purchaser is getting a hassle free security blanket on his/her purchase.
My 0.99 cents
PS. However, if anyone plans on modding with a piggy / chip / flash then that puts the whole drive train warranty component potentially at risk - that would change the metrics for me. I'm not modding so it was not a factor in my decision.