Quote:
Originally Posted by Resjudicata
assuming your 2007 Ford Expedition EL XLT 4D SUV 4WD, is in mint condition; your value ($5k) is a closer to a max sale value to a private party; and their (3k) is full black book auction dealer wholesale value. I'd be surprised if any dealership offers more for your trade without fiddling the other numbers.
That said the rest of your numbers looks good. a personal side note, why lease for 5 years instead of buying?
I'd imagine a 2-3 year lease would be better; and/or a straight 5-6 year purchase loan.
I'd think short lease would be better? or long buy loans? but a long lease?
that's my 2 cents, but I don't know.
|
Thanks for the insight! Regarding the financing, the BMW Select program is not a lease program, it is a finance program, specifically a ballon financing program. So the first 59 payments are relatively low and similar to lease payments (as opposed to a traditional car loan), and the 60th payment is the balloon amount. I like this option as it is the best of both worlds for me - lower monthly payments with the benefits of ownership vice leasing. As far as the balloon payment at the end of the loan, I already have finances in place to take care of that when the time comes - but I typically pay off my cars at the 5-6 year point of ownership anyway. And if for some reason the car does not work out, I can always sell or trade it in for something else and I will have decent equity in the car due to my larger downpayment up front.
As far as the trade, I agree that I am pushing (past) the limit of what my SUV is worth for a trade (and it is far from mint condition). I know I could get more via private sale vs trade in. However, I made it very clear to the dealer what my terms were regarding how much I wanted for my trade IF he wanted to make a deal now. Just part of the negotiating process as other areas of the deal may need to be adjusted to compensate for the lower trade value (actually I am counting on it). Or I could just put my SUV up for sale now and see what happens - if the X7 in question gets sold, I am fine with that outcome too as I am not in any rush. The trade is just one of the different points of leverage I am using to try to get the best deal for me.
I think the deal I am asking for is in line with some of the better, more aggressive deals that have been posted here. The dealer will still make a profit on my deal - it is just a matter of how bad he wants to sell this X7, especially with all of the other stuff that is going on right now. I am just trying to do my part to help get our economy back on track
.....
Still awaiting the dealer's response....