A family member of mine got over10% including loyalty a month ago. It was in the DMV area though
Okay, great, so one time, one person got a crazy deal on a rare car, so it must be possible all the time for everyone.
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You can pick one up for 1100 with some work.
National offer is 1200 all in. 36/10
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You forgot the free floormats and floating hubcaps.
I know how I feel about it.
OP, respectfully, youâre completely off the rails in this thread. Whatever you end up doing, I have two suggestions for you.
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Give yourself a cool-down period. Donât run into a deal when youâre over excited about the new car. Your posts with your calculations come across as almost manic. After you want to make a decision, perhaps take some time for the dust to settle, and gain clarity.
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Do not finance anything at 9%. It is quite simply the stuff of nightmares reserved for people with credit scores in the low 400s. Donât buy a loaf of bread at 9%, let alone a car.
I have faith you can do both, make a rational financial decision, and still get a fun car that youâll enjoy.
Good luck
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carfuffle thanks for the level headed reply. i dont like the sound of 9% but thats where the banks are. i have a credit score between 720-740. they said if i was over 750 i could probably get 6%. my last vehicle was at 4.45%.
the current interest rates are what lead me to looking at leases in the first place. 9% seems crazy but i dont see that changing in the next 24 months. what i do see happening in the next 30k miles is a classic bmw 4k-6k repair bill, if that happens i feel like i would of been better off to move back into a lower mileage vehicle when i had the chance.
i adjusted my goal to a used 2021 x5 m50i. i found one at $68,000 if 19k miles. with the equity from my vehicle plus 5k down the payment was around $950 a month. to me that seems pretty reasonable for the current market.
would you have any suggestions? i can absolutely afford to wait 6 months to a year i just dont see anything changing in that time frame.
thanks
Personally I would lay low until your credit gets to tier 1. Maybe take the equity you have now and get a cheap 18/24 month lease to hold you over.
A lot can change in 24 months.
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If heâs 10-20 points away from tier 1, he could probably make a couple payments toward a credit card or something and get tier 1. That alone would make this make a little more sense.
Iâd check more credit unions and lenders as well. No chance 9% is the best out there for you with a 720+ credit score.
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all my cards are paid off. i pay them off in full every month
9% is ridiculous. Do some research.
You should be able to get in the 5%s with minimal effort. Possibly as low as 3%s if you research some credit union rates.
This is an historically bad time for leasing. No reason to rush if you can wait.
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thanks for your opinion. what do you think things would look like if i could get to tier 1 credit? 6% instead of 9%?
i looked at 60 and 72 month loans. i looked at 6% 9% i looked at the loan with just my current equity as well as putting 5k or 10k down. at the end of the day it seems like the 60 month loan would net me more equity in the vehicle but at the expense of a higher payment. and honestly the higher payment price doesnt even all end up in equity.
69k vehicle at 60 months with 6% interest and my vehicle plus 5k down would be roughly $1060 a month. in 3 years id still owe 23.5k and the vehicle would be worth roughly 50k. so id have 26.5k in equity
69k at 72 months with 9% and my vehicle plus 5k down would be roughly $970 a month. in 3 years id still owe 30k and the vehicle would be worth roughly 50k . id have 20k in equity.
the extra $100 per month would be 3600 in 3 years.
it seems like id have 3k more equity if i could get a 6% interest rate but i dont see that being available to me anytime in the next 24 months. so to me waiting doesnt really seem like its gonna help me.
honestly no option really seems good. the only financially sound option is to do nothing (which i fear will end up being a 4-6k bmw repair bill with my current mileage) or upgrade to a newer vehicle but a lower model (which doesnt excite me at all)
appreciate your opinion
6% is absolutely going to be available to you in the next 24 months. Probably in the next 6 months. There is belief that rates should be going down very soon. I think you have a good idea of the market and potential equity down the line but need to focus your time on the interest rates available to you now from various lenders.
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Somewhat likely weâre in recession in 6 months and theyâll be giving these things away. Especially when people start handing back the keys bc of how over extended so many folks are.
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i just called my local credit union and they said they couldnt beat 6% or 9% even with execellent credit
dang you think? really? my local credit union said they couldnt do 6% even for excellent credit
Means credit is drying up making my previous post even more likely. Sit back and see how this plays out.
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This is a phone call, not research. Do some proper research. Start by reading the thread here on credit unions. Someone already posted it for you above.
Iâm done here. I genuinely do hope you listen to the advice youâre getting here, instead of just repeating your own thoughts and numbers.
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thanks! i am listening and apply my position simply to hear you and everyone elses opinion of how i see it. there has been lots of great advice in here and i do appreciate it.
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You need to stop wasting time on this thread and look at the options here:
There are credit unions nationwide right now that will beat your 6% rate even with your credit score.
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Bro it sounds like you had some pent up financial anger and you just need to blow a ton of money pointlessly.
I am all for it, ignore everyone else here and embrace it. You finally got some cash, may as well blow it all by paying 9% interest and insane depreciation on a Beemer. This is the American way!
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