M4 Upgrade
M4 Upgrade
Hi guys, I recently landed a job at Grant Thornton, (out of college). I'm making a decent amount of money and I've saved quite a bit over the years. I've also had a side hobby buying and selling shoes which has made me some decent money as well.
Here's the thing, I want an upgrade. I've had my G37 for quite some time and for some reason it's lost its luster with me. I test drove the M4 the other day and automatically fell in love.
However, I'm at a cross roads. This is my first major purchase. I'm currently paying rent of around 1.5k, I'm paying off 1k a month in student loans, and the car payment will be roughly $760 a month. It'll leave me with a little over $300 a month to "play" with. I know this doesn't sound like a lot and it most certainly isn't, but I also don't plan on living at my apartment for more than a year. I'm also under my parents insurance, etc.
The car payment will be for 6 years. The car is basically fully loaded, white exterior with red interior, 1k miles and it's a convert. I'm putting my G37 down and around 17k. If I sell all my inventory in shoes, I will still have around 15k left. So it's not like I'm throwing everything away.
Someone please talk sense to me. Please no bashing, just someone whose young seeking friendly advice. Another reason I want to make this purchase is because I feel like in the future I won't be able too if I want to start a family and everything down the line.
I'm financing not leasing.
TDLR -- Buying M4 need advice, will only have $300 a month after all expenses are paid, still do it?
Here's the thing, I want an upgrade. I've had my G37 for quite some time and for some reason it's lost its luster with me. I test drove the M4 the other day and automatically fell in love.
However, I'm at a cross roads. This is my first major purchase. I'm currently paying rent of around 1.5k, I'm paying off 1k a month in student loans, and the car payment will be roughly $760 a month. It'll leave me with a little over $300 a month to "play" with. I know this doesn't sound like a lot and it most certainly isn't, but I also don't plan on living at my apartment for more than a year. I'm also under my parents insurance, etc.
The car payment will be for 6 years. The car is basically fully loaded, white exterior with red interior, 1k miles and it's a convert. I'm putting my G37 down and around 17k. If I sell all my inventory in shoes, I will still have around 15k left. So it's not like I'm throwing everything away.
Someone please talk sense to me. Please no bashing, just someone whose young seeking friendly advice. Another reason I want to make this purchase is because I feel like in the future I won't be able too if I want to start a family and everything down the line.
I'm financing not leasing.
TDLR -- Buying M4 need advice, will only have $300 a month after all expenses are paid, still do it?
Registered Member
Joined: Jul 2014
Posts: 1,301
Likes: 113
From: Tempe,AZ
In my opinion 300 left a month is not much and you wouldn't be comfortable with it, I think it's not a smart financial decision, not sure if your considering gas and groceries in those 300 left over a month but seems like you will be tight, I would wait until you pay some debt off but each their own just some advice
I am paying off the debt, I'm giving 1k a month. Yes I realize $300 isn't sufficient enough for many things, but I feel like I could possibly make it work if I also continue my side hobby and make an additional $500 a month doing that.
What else can I put my money towards?
Also, an M4 would make me happy I guess. Not that I'm feeling low, but I feel like I need excitement and an M4 would fill that void because it's fresh and new.
What else can I put my money towards?
Also, an M4 would make me happy I guess. Not that I'm feeling low, but I feel like I need excitement and an M4 would fill that void because it's fresh and new.
Johnny the reason you posted is so that someone might talk you off of that ledge. I'm here to help. I think it's not a great idea. There are a ton of reasons why you shouldn't do this. The only reason you have for doing it is because you want to.
You don't need this car. You have a car that's better than over 99% of people in the world could ever dream of. It's relatively new. Be content with that. They'll make the M4 forever, you can always get one later when you're in better financial shape.
You can't really afford this car. You know this. $300/month is nothing as far as money goes. If you ever have any financial hardship at all you're sunk. You'll rationalize that you can short your loan payment or rent or car payment or something. Or worse - have to borrow money from your folks or others. Or even worse still, convince yourself to use a credit card foolishly and pay for that mistake for a very long time. You don't want to do that. Bad idea. Having enough money to barely pay for something isn't the same thing as being able to actually afford it. You're not there yet (don't worry, you will be one day).
It's a bad idea financially for you long term. Obviously you know the car is a depreciating asset. And a BMW will cost you more in repair and maintenance over the long run than your G ever will. After the initial period when you've got free maintenance that thing has high potential to become a money pit. Your $300/month will seem like $.25 when you have a breakdown out of warranty. That can happen on any car. Not probably will happen on the M4.
The reason you have all of those shoes is because it's your passion. Don't throw that away for a car you don't need. I collected baseball cards as a kid. No loved it. I had over 12K by the time I graduated high school. I sold them all, most of them to a good friend and fellow collector. Got about $19K in 1988 money. If I still had them today they'd be worth at least $90-95K just for the ones I had back then. If I'd kept collecting (considering the players that have come around since then) I'd have enough extra money to retire 13 years earlier than I will now. Or buy a few M4's.
You should not be paying rent (in most circumstances) and making large luxury item purchases. Things are different where you are than where I live, but $1500 buys you a very nice house here. That's a much better place to put that money because it is gaining value instead of losing it. Buy a house before a new car. You'll thank me years down th road.
You may get the girl with the M4, but with only $300/month to play with, you won't keep her. Lol.
There is ALWAYS going to be something that you'll need that money for. Unexpected expenses are a part of life. Not would suck to have to lose your car to afford them.
TL;DR - WAIT.
You don't need this car. You have a car that's better than over 99% of people in the world could ever dream of. It's relatively new. Be content with that. They'll make the M4 forever, you can always get one later when you're in better financial shape.
You can't really afford this car. You know this. $300/month is nothing as far as money goes. If you ever have any financial hardship at all you're sunk. You'll rationalize that you can short your loan payment or rent or car payment or something. Or worse - have to borrow money from your folks or others. Or even worse still, convince yourself to use a credit card foolishly and pay for that mistake for a very long time. You don't want to do that. Bad idea. Having enough money to barely pay for something isn't the same thing as being able to actually afford it. You're not there yet (don't worry, you will be one day).
It's a bad idea financially for you long term. Obviously you know the car is a depreciating asset. And a BMW will cost you more in repair and maintenance over the long run than your G ever will. After the initial period when you've got free maintenance that thing has high potential to become a money pit. Your $300/month will seem like $.25 when you have a breakdown out of warranty. That can happen on any car. Not probably will happen on the M4.
The reason you have all of those shoes is because it's your passion. Don't throw that away for a car you don't need. I collected baseball cards as a kid. No loved it. I had over 12K by the time I graduated high school. I sold them all, most of them to a good friend and fellow collector. Got about $19K in 1988 money. If I still had them today they'd be worth at least $90-95K just for the ones I had back then. If I'd kept collecting (considering the players that have come around since then) I'd have enough extra money to retire 13 years earlier than I will now. Or buy a few M4's.
You should not be paying rent (in most circumstances) and making large luxury item purchases. Things are different where you are than where I live, but $1500 buys you a very nice house here. That's a much better place to put that money because it is gaining value instead of losing it. Buy a house before a new car. You'll thank me years down th road.
You may get the girl with the M4, but with only $300/month to play with, you won't keep her. Lol.
There is ALWAYS going to be something that you'll need that money for. Unexpected expenses are a part of life. Not would suck to have to lose your car to afford them.
TL;DR - WAIT.
Registered User
Joined: Feb 2015
Posts: 146
Likes: 16
From: chi-town
$300/month is not a good cushion. you keep rationalizing that you can make it work. to me it looks like your mind is already made up. is you G37 paid off? if so, if i were you, i'd wait a year and bank the money you would be saving on not making a $700+ car payment to build up your reserves. then look at getting an m4 (or new Q60???) next year. you may be able to make the $300 month cushion work now, but things change and $hit happens that are out of your control. you need to make sure you can deal with those things in case they do.
regardless, good luck with what you decide.
regardless, good luck with what you decide.
Johnny the reason you posted is so that someone might talk you off of that ledge. I'm here to help. I think it's not a great idea. There are a ton of reasons why you shouldn't do this. The only reason you have for doing it is because you want to.
You don't need this car. You have a car that's better than over 99% of people in the world could ever dream of. It's relatively new. Be content with that. They'll make the M4 forever, you can always get one later when you're in better financial shape.
You can't really afford this car. You know this. $300/month is nothing as far as money goes. If you ever have any financial hardship at all you're sunk. You'll rationalize that you can short your loan payment or rent or car payment or something. Or worse - have to borrow money from your folks or others. Or even worse still, convince yourself to use a credit card foolishly and pay for that mistake for a very long time. You don't want to do that. Bad idea. Having enough money to barely pay for something isn't the same thing as being able to actually afford it. You're not there yet (don't worry, you will be one day).
It's a bad idea financially for you long term. Obviously you know the car is a depreciating asset. And a BMW will cost you more in repair and maintenance over the long run than your G ever will. After the initial period when you've got free maintenance that thing has high potential to become a money pit. Your $300/month will seem like $.25 when you have a breakdown out of warranty. That can happen on any car. Not probably will happen on the M4.
The reason you have all of those shoes is because it's your passion. Don't throw that away for a car you don't need. I collected baseball cards as a kid. No loved it. I had over 12K by the time I graduated high school. I sold them all, most of them to a good friend and fellow collector. Got about $19K in 1988 money. If I still had them today they'd be worth at least $90-95K just for the ones I had back then. If I'd kept collecting (considering the players that have come around since then) I'd have enough extra money to retire 13 years earlier than I will now. Or buy a few M4's.
You should not be paying rent (in most circumstances) and making large luxury item purchases. Things are different where you are than where I live, but $1500 buys you a very nice house here. That's a much better place to put that money because it is gaining value instead of losing it. Buy a house before a new car. You'll thank me years down th road.
You may get the girl with the M4, but with only $300/month to play with, you won't keep her. Lol.
There is ALWAYS going to be something that you'll need that money for. Unexpected expenses are a part of life. Not would suck to have to lose your car to afford them.
TL;DR - WAIT.
You don't need this car. You have a car that's better than over 99% of people in the world could ever dream of. It's relatively new. Be content with that. They'll make the M4 forever, you can always get one later when you're in better financial shape.
You can't really afford this car. You know this. $300/month is nothing as far as money goes. If you ever have any financial hardship at all you're sunk. You'll rationalize that you can short your loan payment or rent or car payment or something. Or worse - have to borrow money from your folks or others. Or even worse still, convince yourself to use a credit card foolishly and pay for that mistake for a very long time. You don't want to do that. Bad idea. Having enough money to barely pay for something isn't the same thing as being able to actually afford it. You're not there yet (don't worry, you will be one day).
It's a bad idea financially for you long term. Obviously you know the car is a depreciating asset. And a BMW will cost you more in repair and maintenance over the long run than your G ever will. After the initial period when you've got free maintenance that thing has high potential to become a money pit. Your $300/month will seem like $.25 when you have a breakdown out of warranty. That can happen on any car. Not probably will happen on the M4.
The reason you have all of those shoes is because it's your passion. Don't throw that away for a car you don't need. I collected baseball cards as a kid. No loved it. I had over 12K by the time I graduated high school. I sold them all, most of them to a good friend and fellow collector. Got about $19K in 1988 money. If I still had them today they'd be worth at least $90-95K just for the ones I had back then. If I'd kept collecting (considering the players that have come around since then) I'd have enough extra money to retire 13 years earlier than I will now. Or buy a few M4's.
You should not be paying rent (in most circumstances) and making large luxury item purchases. Things are different where you are than where I live, but $1500 buys you a very nice house here. That's a much better place to put that money because it is gaining value instead of losing it. Buy a house before a new car. You'll thank me years down th road.
You may get the girl with the M4, but with only $300/month to play with, you won't keep her. Lol.
There is ALWAYS going to be something that you'll need that money for. Unexpected expenses are a part of life. Not would suck to have to lose your car to afford them.
TL;DR - WAIT.
Thanks for your response. You always give very sound advice which is why I still love coming to this forum.
I know I should absolutely NOT be paying rent which is why it's killing me inside that ALL that money is going to a black hole. I've always been against that, (although an M4 definitely is a money pit lol). With the shoe market though, it's not like these will gain astronomical values in the future. I could still keep a few and still clear 12k easily after putting down 17k-20k on the car. I've made a lot of shoes recently and I guess I just wanted to reward myself.
Yes I absolutely know $300 isn't a lot, but I didn't factor that I will make probably an additional $4-500 a month extra selling shoes on the side.
Other people are telling me I can put the money towards a multi family home which is what I've always wanted to do so I can collect rent, put that towards the mortgage, and build equity. However, an M4 is / was my dream and I can potentially make it happen if I sacrifice a few things. I can also wait it out, but I'm also an impulsive person sometimes. This is the exact car I'm looking for with only 1k miles with every package I want and it's even convertible. It's also very very local to my home in NJ which makes it very convienent. I wouldn't have to buy some car out in TX/FL to get a good deal. It's a 2016 and I haven't seen a better price. So it's very tempting and making me really want to pull the trigger.
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Have you driven the e90 / e92 M3? Might scratch some of the same itch at a much lower price point.
Also, the new M cars sound like absolute dog sh-t, IMO. A guy down the street had one, and every time he drives by, it's just bleh. Same with the new Maserati QP.
Also, the new M cars sound like absolute dog sh-t, IMO. A guy down the street had one, and every time he drives by, it's just bleh. Same with the new Maserati QP.
Registered Member
Joined: Apr 2015
Posts: 1,062
Likes: 158
Nowadays if you're young, single, childless and not putting 20% of your take home in retirement you're making a mistake. I understand the appeal of having nice things now that you're adulting.
Take some money and stick a turbo on your G. It will put a big grin on your face and you'll have a lot more money to live on.
Take some money and stick a turbo on your G. It will put a big grin on your face and you'll have a lot more money to live on.
You're young (be very thankful for that), your dream car will still be around down the road. If you can get onto a home for even less than your rent I'd surely look into that first. Around here houses are renting for about 20% more than the same house would cost monthly w/ a mortgage.
That 2016 M4 that is tugging at you will be pretty much the same a couple years later and could be had for a much cheaper price. As long as you can get it w/ an extended warranty (a MUST w/ all BMWs) that would be a sound plan and you'll be building equity rather than throwing that monthly house payment away.
I've been in your shoes (couldn't help the shoe reference, lol) and gave in to the "itch", don't do it.
That 2016 M4 that is tugging at you will be pretty much the same a couple years later and could be had for a much cheaper price. As long as you can get it w/ an extended warranty (a MUST w/ all BMWs) that would be a sound plan and you'll be building equity rather than throwing that monthly house payment away.
I've been in your shoes (couldn't help the shoe reference, lol) and gave in to the "itch", don't do it.
Hi BB,
Thanks for your response. You always give very sound advice which is why I still love coming to this forum.
I know I should absolutely NOT be paying rent which is why it's killing me inside that ALL that money is going to a black hole. I've always been against that, (although an M4 definitely is a money pit lol). With the shoe market though, it's not like these will gain astronomical values in the future. I could still keep a few and still clear 12k easily after putting down 17k-20k on the car. I've made a lot of shoes recently and I guess I just wanted to reward myself.
Yes I absolutely know $300 isn't a lot, but I didn't factor that I will make probably an additional $4-500 a month extra selling shoes on the side.
Other people are telling me I can put the money towards a multi family home which is what I've always wanted to do so I can collect rent, put that towards the mortgage, and build equity. However, an M4 is / was my dream and I can potentially make it happen if I sacrifice a few things. I can also wait it out, but I'm also an impulsive person sometimes. This is the exact car I'm looking for with only 1k miles with every package I want and it's even convertible. It's also very very local to my home in NJ which makes it very convienent. I wouldn't have to buy some car out in TX/FL to get a good deal. It's a 2016 and I haven't seen a better price. So it's very tempting and making me really want to pull the trigger.
Thanks for your response. You always give very sound advice which is why I still love coming to this forum.
I know I should absolutely NOT be paying rent which is why it's killing me inside that ALL that money is going to a black hole. I've always been against that, (although an M4 definitely is a money pit lol). With the shoe market though, it's not like these will gain astronomical values in the future. I could still keep a few and still clear 12k easily after putting down 17k-20k on the car. I've made a lot of shoes recently and I guess I just wanted to reward myself.
Yes I absolutely know $300 isn't a lot, but I didn't factor that I will make probably an additional $4-500 a month extra selling shoes on the side.
Other people are telling me I can put the money towards a multi family home which is what I've always wanted to do so I can collect rent, put that towards the mortgage, and build equity. However, an M4 is / was my dream and I can potentially make it happen if I sacrifice a few things. I can also wait it out, but I'm also an impulsive person sometimes. This is the exact car I'm looking for with only 1k miles with every package I want and it's even convertible. It's also very very local to my home in NJ which makes it very convienent. I wouldn't have to buy some car out in TX/FL to get a good deal. It's a 2016 and I haven't seen a better price. So it's very tempting and making me really want to pull the trigger.
750$ a month car note and 300$ left a month after expenses (+side jobs). Why do people buy new cars knowing they'll have to take a huge depreciation hit as soon as it hits the streets? So they can be the first to have it? I just couldn't do it as I think 750$ a month car note is ridiculous.
Is your G37 stock? You could modify it like putting a IPL kit on it, wheels, exhaust so you can fall in love with it again.
Is your G37 stock? You could modify it like putting a IPL kit on it, wheels, exhaust so you can fall in love with it again.
Registered User
Joined: Nov 2007
Posts: 52
Likes: 1
From: Houston,TX
I agree with the majority of the comments by all. No matter what age you are, if you only have $300 wiggle room in your finances, you need to re-think the budget. Purchase the duplex like Black Betty said and get some positive income coming your way.. Plus, I don't purchase new cars.. I generally purchase a car about 1 year old with under 20k miles so I don't lose my rear in depreciation. I know you might get a slightly higher interest rate on a used car, but it doesn't equal the depreciation hit you will get on the brand new car.. Also... If you do purchase the duplex, compare the rates between 20yrs vs 30yrs. Don't put yourself in a bind financing at 20yrs if the budget is close. You can always finance at 30yrs to bring the payment down and send additional funds when you can afford to pay extra towards the principal. Use a mortgage calculator to see how many months can be shaved off your mortgage by simply sending a little bit extra toward the principal... Just my 2 cents.. Good luck...