[RagingKileak]

Hola,

Just wondered if anyone else had noticed....

So I've been offerred a C63 AMG, Audi TTRS or Lexus IS-F on finance deals around 5-6% (most commonly 5.5 or 5.9) by main dealers in each case, as well as a number of external finance companies commonly offering me deals around 5.9% on an M3 I might secure privately elsewhere.

The deals offerred by BMW are usually around 12%.

For example a 2008, £35k M3 weighs in at £750 pcm with a £7000 (ish) deposit, whilst a brand new C63 AMG with some spec (£65k) weighed in at £4500 deposit and £802 pcm thereafter.

WTF?

Matt

[creepy coupe]

Matt I'm paying less then £750 pa and a smaller depo on a new M3. I can put you in touch with someone if you're serious?

[KadeSdad]

Originally Posted by creepy coupe

Matt I'm paying less then £750 pa and a smaller depo on a new M3. I can put you in touch with someone if you're serious?

I was also paying around that figure for my M3 but had a massive balloon payment at the end of the term (if I kept the car of course)

[creepy coupe]

Originally Posted by KadeSdad

I was also paying around that figure for my M3 but had a massive balloon payment at the end of the term (if I kept the car of course)

I'm just walking after two years.

[RagingKileak]

Hi Gents,

Thanks for the advice.

I'm favouring a PCP-type option (Deposit - Monthly's - Balloon) based upon a car I have found privately at the moment. I doubt I could live with a 2 year lease as I will want to change after 12-18 months I would guess!

I am basically just pi$$ed off about the shocking quotes being offerred by BMW. How do they expect to shift cars like that???

Currently, I am looking at £4600 + 24x£420 and then a balloon of about £8000 for a car around £27,000 that I have found elsewhere. That means monthly payments that feel 'cheap' to me and mean I can justify a purchase.... Much more and I would probably be tempted to just stick with the Golf forever lol!!!

Matt

[creepy coupe]

Originally Posted by RagingKileak

Hi Gents,

Thanks for the advice.

I'm favouring a PCP-type option (Deposit - Monthly's - Balloon) based upon a car I have found privately at the moment. I doubt I could live with a 2 year lease as I will want to change after 12-18 months I would guess!

I am basically just pi$$ed off about the shocking quotes being offerred by BMW. How do they expect to shift cars like that???

Currently, I am looking at £4600 + 24x£420 and then a balloon of about £8000 for a car around £27,000 that I have found elsewhere. That means monthly payments that feel 'cheap' to me and mean I can justify a purchase.... Much more and I would probably be tempted to just stick with the Golf forever lol!!!

Matt

Matt. On a nice used M3, what you plan makes sense. For me I didn't want to own a two year old E92 M3 , when it's end of life.

Good luck with your search though.

[RagingKileak]

Originally Posted by creepy coupe

Matt. On a nice used M3, what you plan makes sense. For me I didn't want to own a two year old E92 M3 , when it's end of life.

Good luck with your search though.

Thanks mate.

The favoured car I'm looking at appears to be cracking and I reckon (based on pure geography and circles of friends) you might well know it!!!



Regards
Matt

[creepy coupe]

Originally Posted by RagingKileak

Thanks mate.

The favoured car I'm looking at appears to be cracking and I reckon (based on pure geography and circles of friends) you might well know it!!!



Regards
Matt

Oo Oo- you tease, I need more info

[RCUK]

Whats a real pisser ... in the US on the 5 series forum they been discussing 0% finance on offer from BMW!!

[RagingKileak]

Originally Posted by creepy coupe

Oo Oo- you tease, I need more info

It's not Ed's lol....

Matt

[SpmnE9zero]

Originally Posted by RCUK

Whats a real pisser ... in the US on the 5 series forum they been discussing 0% finance on offer from BMW!!

Yeah things here are a bit different it appears.
Got my 06 330 used 2.5 years ago and got 2.9% on used. New was 1.9% at the time.

[PaulBailey@ltbmw]

¿Theory?
BMW is BMWFS
Audi is VWFS
Mercedes is Chase/Chrysler

[daviddennis]

Are your figures correct?
All the payments and deposit and balloon don't even add up to £27000!

[M3-FAST]

I agree with Creepy. Why have a 2 yr old one when you can have brand new for the same money?

Mine was 2100 deposit and 700 per month. List price with all options was circa £55k

Or you can take a 4 yr pcp which will bring the monthlies down and then hand it back under the halfs and thirds once you have paid half of the finance off

Is that what you did Del?

[M3-FAST]

The 5k saving on deposit means you could hand a lease one back 7 months early and still have paid the same as the used one.

[Palmnuts]

I don't see what the problem is Matt?

The new C63 has a lower deposit, a lower APR and better residuals so why not just enjoy all that whilst also buying the better car??

[quattrogmbh]

Mercs typically appear cheaper as their Balloon figures are rather optimistic.

They want the car's back at the end of the lease to sell again. Setting the balloon optimistically means most are likely to hand the cars back and they get a cheap stream of used metal.

[RagingKileak]

To be honest I'm looking at a lot of cars and loads of different numbers. I've even considered your old car Andrew!

Anyhow, no matter what I do, I keep coming back to one car...

Matt

[SteveC]

Originally Posted by RagingKileak

Hi Gents,

Thanks for the advice.

I'm favouring a PCP-type option (Deposit - Monthly's - Balloon) based upon a car I have found privately at the moment. I doubt I could live with a 2 year lease as I will want to change after 12-18 months I would guess!

I am basically just pi$$ed off about the shocking quotes being offerred by BMW. How do they expect to shift cars like that???

Currently, I am looking at £4600 + 24x£420 and then a balloon of about £8000 for a car around £27,000 that I have found elsewhere. That means monthly payments that feel 'cheap' to me and mean I can justify a purchase.... Much more and I would probably be tempted to just stick with the Golf forever lol!!!

Matt

Hi Matt,

Must be something wrong with that calculation

£4600 Deposit
£10,080 24 months @ £420
£8000 Balloon
________________
£22,680 total repayment

Based on a £27K purchase price, there's a £4320 shortfall in the repayments. Add a 6% APR and the shortfall is >£5K

The problem looks like its in the final payment. Unlikely a car will depreciate 70% in 2 years

Cheers!

[SteveC]

Originally Posted by quattrogmbh

Mercs typically appear cheaper as their Balloon figures are rather optimistic.

They want the car's back at the end of the lease to sell again. Setting the balloon optimistically means most are likely to hand the cars back and they get a cheap stream of used metal.

By definition, if the balloon payment is optimistically high, they generate an expensive stream of used metal.

However, if this is the strategy across the entire dealer network its pretty damned clever because if everyone is giving lease cars back to dealers because dealers are paying a high price for them (high balloon payment), it lowers the overall depeciation on Mercedes cars, meaning that Mercedes sell more new cars (because the leases are cheaper) and used car punters pay relatively more for a used Mercedes than another brand.

By comparison, BMW are making lots of profit on their financing and ensuing that the used cars they take back are very profitable.

Its called 'the marketing mix'

[gIzzE]

Originally Posted by RagingKileak

Currently, I am looking at £4600 + 24x£420 and then a balloon of about £8000 for a car around £27,000.
Matt

Tried to call you a couple of times Matt.


Those figures are wrong.

At 6% apr, with a 4600 deposit, if you paid £460 a month that would leave a balloon of £13500.

Don't get caught up with short leases.

£27000 over 60 months with will pat that off for £431 a month at 6%

After 18 months or 2 years you would still owe the same as as if you were paying £231 over 2 years with a big balloon.
Difference is you won't suddenly get £13500 coming out your account on month 24, and if you want to keep the car longer you can, or if the car is in negative equity you can keep it another 6-12 months and just ride it out till it is worth what you owe.


The way finance works these days means they can not charge you for interest on the period you have not owned the car, so take it for 60 months and swap when ever you want.
If you can afford to do it over 48 months even better. £520 a month.

[creepy coupe]

Originally Posted by M3-FAST

I agree with Creepy. Why have a 2 yr old one when you can have brand new for the same money?

Mine was 2100 deposit and 700 per month. List price with all options was circa £55k

Or you can take a 4 yr pcp which will bring the monthlies down and then hand it back under the halfs and thirds once you have paid half of the finance off

Is that what you did Del?

No Mate. I went depo + 23 x payments of £670 then walk away or have the option to buy at the end, but I can't imagine I'll do that. The payments also include £1k worth of road tax over the 2 years.