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Old 09-06-2012, 02:20 PM
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thumper_330 thumper_330 is offline
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Location: St. Louis, MO
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Mein Auto: 2012 K1600GT, 2008 M3
Originally Posted by 55 View Post
Just curious: if you guys have cash to buy, would you lease, and if yes, what is the reason? I've never leased, but I am not saying I am right, I might consider one day.
First; I'm kind of amazed that this thread got resurrected from the dead... and I know I posted in here way back when too... but here goes.

I did have the cash to buy my car last year when I wrote the paperwork; had about $60K mostly wrapped up in stocks. While said stocks had taken a bit of a hammering in the preceding two years, back then they were holding their value or inching a little higher. As a result, I made the decision to lease based upon the following facts;

1. I don't tend to keep cars anyway. A couple of years and I move on. I have ADD when it comes to vehicles, and I happen to like fast German cars.
2. For the three years I would drive the leased car, the maintenance would be mostly covered by BMW and thus I had minimal extra expense there.
3. At the end of the three years, if I decide I really liked the car I could buy out the lease (still might). I was undecided about the DCT having only had a couple of test drives so really didn't want to commit to a long-term DCT car if I didn't like it.
4. I am finding in recent years I want to keep my investments more mobile and flexible. A leased car is relatively easily reassigned with minimal or no extra outlay, whereas selling a car in the first three years opens up a world of hurt.

So the result? Well, my stocks made a lot more money since then... some surprisingly so. Had I cashed out those stocks for my ~$45K car I would have made only 25% of the gains in the stock market that I did, and I would have lost another ~$10K in depreciation on the car. That just didn't seem like a good value proposition to me, so I chose to lease.

My longer term goals with money are to change the structure of my investments in the next 18 months, and quite probably continue leasing cars for the forseeable future. Having said that, I REALLY do like my 135i and may actually buy out the lease (or my girlfriend might... if we can keep her Jag running that long!)
2001 E46 BMW 330i Sport Package 6MT *SOLD*
2004 BMW R1150GS - *SOLD*
2004 E60 BMW 545i Sport 6MT - *SOLD*
2012 BMW 135i - Deep Sea Blue / Terracotta / DCT *SOLD*
2012 BMW K1600GT - Vermillion Red Metallic
2008 BMW E90 M3 - Interlagos Blue / Silver / 6MT