Help! Majorly upside on a car, looking to lease into something that would dissolve the neg equity

bmw
dealer

#41

The purpose of the lease is to dissolve the negative in 36 months as opposed to riding out the remaining $500 for the 56 months I have left.

I can walk away from the car in 33 months and start on a clean slate. At least that’s what I’m trying to do.


#42

Don’t have enough details to critique the deal but a 330e seems like an interesting flex for a family. Smaller trunk than a normal 3 series and a fairly typical small back seat for a compact car. Have you tried putting a car seat into the back seat? Can someone sit comfortably in the seat in front of car seat. What about putting the stroller in trunk? Can you fit anything else in there.

I had this same debate for second car an ended up with an Accord sedan due to trunk and back seat size. Just food for thought.


#43

There’s no “dissolving” negative equity. Period. Full stop.

In a certain number of months you can walk away from your Accord and own it and save a couple hundo a month.

Your logic escapes me. By a lot.


#44

I agree with others, seems like a compact car isn’t really going to fit your situation. At the same time you’re trying to rid yourself of 8k in negative equity but you technically own this car.

Before getting yourself into something that’s even tighter both figuratively and financially speaking, why don’t you try to pay down on the car for a few more months, that extra $250+ in payments you’re looking at could get you a lot closer to paying off the car and at the same time you’ll catch up with depreciation eventually closing the gap on what you owe on the car and what you could sell it for.

Yes I know how it is like, having 2 young kids myself I can totally understand the need for space, I sold my old G35 coupe the moment I found out that we’re having our first child. And hopped into an old Matrix from there. A lot of people here are giving you great advice (to avoid further financial troubles), especially the part about the beggars can’t be choosers, and unless money is no object in your case I mean be open to some other options too that will ultimately get you to where you want to be. I’ve seen some Cali deals for like Equinox’s for around $300 a month in payment and that’ll give you plenty of “space” for a growing family.


#45

I want this guy to manage my money…Oh, their is a $850 Kia I can lease you.


#46

The buy rate for Bmw is .00188 - pretty damn high I wouldn’t want to be paying the interest on that 8k at that. Maybe Infiniti, their mf is much lower and there are deals to be had.


#47

Just because I’m really curious, could you answer these questions?


#48

Regardless, the fact remains OP can be into an additional car for not much more than the negative equity will add to the cost of a replacement car.

It might not be a German flagship halo car. However, and I know this to be true:

You don’t want your 0-3 year old in your German halo car, anyhow. The way they can make messes is otherworldly. Have you ever seen crayons in the map pocket after a 100 degree weekend in the sun?


#49

Would your opinion change if it was TWO Germany Halo cars? Would be like $1000/month for the pair so kinda like buy one get one half off right? Then he has the opportunity to alternate cars.

As for the payments, “Future” him will figure it out… he seems like a smart guy


#50

This is my daily. I have three cars. An X1, RX350, and this Honda. I bought the Honda to be a beater/daily, but the baby came out of nowhere. I gave the X1 to my elderly mother, and don’t want her to worry about having a car seat. We are using the RX as the transporter right now, but wife will go back to work after maternity leave in a few months. I need to make sure I can take baby to appointments, etc and have space for grandma to be with us, since I am taking care of her as well.

I appreciate those who have offered insight to the situation and have offered well to do advice. Those who came in criticizing and talking down to me, I hope you achieved your goal of making yourself feel better about yourselves.

Cheers.


#51

Give mom the Accord. Take back the X1.

Done and done.

FWIW you did set a tone by calling dealers “assholes.”


#52

I don’t see how being treated badly by a few dealers here in Houston and me expressing my frustration offended anyone? But I have edited it for your satisfaction.

Thanks for the input.


#53

Yup. Mom takes the Accord. Perfect solution.


#54

They are treating you poorly because it’s clear you don’t know how to negotiate a lease from your posts and why you have ended up with negative equity 2 times in a row.

Do you want people to help you here or just want sympathy?

Also, grandma is going to be pretty much sitting on the dashboard when jr is behind her in a 330e, so still baffled by the car selection.


#55

Did it twice with German sedans. Even sold them privately. I don’t see the problem as long as you take care of your cars and teach your children the same.

The 330e OTOH raises specific questions around trunk space, etc.

Rolling neg is bad enough due to being taxed again but as someone said above paying a high BMW MF is a double whammy.


#56

I tried to teach her not to vomit, but she was a slow learner on that for a period of time.

:bat:


#57

If there is a chorus of people saying the same thing, you should probably listen. You’re not being treated badly, you’re being treated like somebody who really needs somebody else to help them handle their finances.

If you cannot afford to pay the $8K of negative equity off in cash, you should take out a balance transfer credit card with 0% intro APR for 12-18 months, cash a check from that credit card for a 3% one time fee and pay that off in equal installments over the term. You should not be rolling it into a BMW lease where you’ll pay sales tax @ 6-7% and 5% APR, full stop.

If you do not have the cash to pay down the negative equity or the credit score to get a 0% intro credit card, you should not be buying a BMW. But hey, like everybody here is saying, if you want to make another stupid financial decision that you’ll regret in 12 months, go ahead.

e/ I’ve done the math for you and using the standard BMW mf and a tax rate of 6.25% for Houston TX, the total of your payments to escape $8K of negative equity is $9.1K over the 3 year period.


#58

Second (or third) using the X1 for family duty. Been using our ‘16 for family duty since my son came home from the hospital. It’ll get you through just fine. Recommend a Britax Marathon clicktight once you need a convertible seat to maximize front passenger room.


#59

Everyone is offering pretty solid advice, it may not be your dream car status type of decision but from the facts alone people are trying to help you see the forest behind the trees.

Also, car seat lady is a great website for learning the ropes for car seats etc and even has suggestions for going 3 way across with some smaller car seats too. For as long as I could manage it I always tried to keep my kid in the middle seat until I had my second child anyway where I had to take both outboard seating positions. All car seats in mid-sized or compact sedans and coupes would literally be the same where the front seat needs to be set at the most forward setting. I would also recommend taking the car seat you are using to try in the car’s backseat installed.


#60

How is it even possible to be $8k upside down on a Honda Accord?