Bmw Or Lexus?

[Kyle Petree]

Hey guys, I'm looking for a new car. I've wanted a convertible for as long as I've been driving and I'm finally in a position to buy one! However I'm torn between a BMW 335i and the Lexus IS 350 C. They cost about the same, they have similar options but I can't figure out what to get... What do you guys think, if you were buying a convertible what would you choose?

Thanks for the advise!

[smooth1]

Are you buying a new one or used?

[Kyle Petree]

New, I don't think you could find a used IS C, at least it would be difficult.

[nc211]

I think the deciding factor isn't between the two cars, but the road conditions in your area. If you've got rough roads, then I would go with the Lexus, as you know the ride will be more foregiving. If you've got smooth roads though, then I'd give the BMW a try. Granted, the 335 twin-turbo engine I think has had some hiccups, but since it's been out for a couple of years, I would think many have been corrected. It was a new engine to BMW, and you know how that can go sometimes. But, given both cars will be covered under warranty, and you can probably get the service plan included during negotiations on the BMW, I'd say give it a try. They sure are fun to drive! I spent the past few days back home in NC, driving my inlaws 06' X3 - really like that car! You do hear and feel more of the engine in the BMW than you do in a Lexus, but I think that's a given for most cars in general.

[smooth1]

I was also making sure you weren't talking about a used BMW and a new IS-C, or vice versa. I think I would get the BMW though. As much as I would lean on the Lexus, I think I would end up with the BMW. I could go into all my reasons if you want, but my answer is that. The BMW 335i.

[kob1959]

Convertible or not, if you enjoy driving it's BMW hands on. My wife has a Lexus and it's like driving barge after my 535xi. Lexus has it's pluses, but it's not a car for driving. It's a car for riding.

[cduluk]

Hmm, i never thought i'd be saying this but i would go with the BMW.

I guess this is just because i.... well, i've never been a fan of the IS sedan, so you can only imagine how i feel about the IS "convertible" It's just not my style. It is a "cute" car though...

But i think the BMW would be much more flashier for its purpose- being seen going fast. Yes, it might not be on the road in 5 years, but it would probably give you more enjoyment during its short BMW life than 200k miles of... an IS "convertible".

[Kyle Petree]

I had a feeling you'd all say BMW. I was leaning more towards that myself. While I love the Lexus ride, that's what my RX is for. This car is meant to be more sporty, which is what BMWs are made to be. Thanks for all your suggestions, I appreciate it. Now I just have to see if I can afford an M3... I hope so. Whatever I get I'll be sure to post pics when I do.

[SW03ES]

I really like the IS-C...but I think I would go for the BMW too. I have a coworker that has an '08 335 convertible and loves it... I haven't driven the IS-C, but that 355 is the tightest and most rigid convertible I've ever driven.

[denslexusgx470]

It all depends on what you are looking for in your next car. Lexus is more luxurious and reliable compared to BMW. BMW on the other hand, is more sportier (not just looks) but in handling and driving. They really stick up to their "Ultimate Driving Machine" slogan.

If you go with a 335i Convertible, beware that the Sport Package with the run-flats... Those will really make your butt "Run flat" with the way they ride

[SW03ES]

Have you seen the compero test in the latest Car & Driver? They felt the latest 5 series had been engineered more for luxury than sport for the first time ever, first time with power steering ever, floatier ride. It came in 3 out of 4 behind the Infiniti M and the ancient Audi A6...

[Kyle Petree]

Well I got the lease prices on the cars. BMW wants $829/mo for 36 monts with just the first payment down and Lexus wants $754/mo for 48 months with $800 down. I asked what the ISC would be at 36 months and they said it'd be $829 as well, which I dont understand since the 335i is $60,900 compared to $52,005 for the ISC, plus I get no charge scheduled maintenance on the Beamer. I decided to go with the 335i but my credit app was denied because of my limited credit history, nothing bad, I just don't have established credit yet. I'm going to try to get one of my parents to co-sign for me, hopefully that will work.

Have you seen the compero test in the latest Car & Driver? They felt the latest 5 series had been engineered more for luxury than sport for the first time ever, first time with power steering ever, floatier ride. It came in 3 out of 4 behind the Infiniti M and the ancient Audi A6...

I love the way the new M looks. I'd take that over a 5 series, it seems so bland anymore.

[SW03ES]

Lease payments are very hard to compare. The ES and RX are really cheap to lease but thats because Lexus subsidizes the money factors and residuals, if you move to say a GS or an IS the lease difference is huge even though the price difference is not as huge.

The cosigner will work, they want to see either prior car credit or a mortgage for a lease. Its actually harder to get approved for a lease than a loan because the lease is actually riskier because theres no equity build over time...

[nc211]

Kyle - not saying good deal / bad deal here. Just wanted to toss some numbers out before you sign the lease agreement. With all of the "close out" specials starting to hit the automotive world in general, and with interest rates at record lows across the board, several places are offering 0% financing on 5 year terms now. Some are so desperate, they're offering 0% for 6 years. It's going to continue to get better as the 2011 models hit the floors too (always does). $829 a month equates to either $30,000 in rent payments for 3 years, or $50,000 in ownership payments on a 60 month schedule. At 0%, you're buying the car 100%, not paying interest to borrow the money (ok, maybe a couple hundred in hidden fees and such "app fee, doc fee, etc..") Plus, you don't have to give the car back, worry about mileage limits, damage waivers, etc... Just food for thought before pulling the trigger.

Umm....I haven't been on in a bit...notice somebody has a new avatar picture!!!

[SW03ES]

Indeed ;)

You're just not going to get 0% financing on a Lexus. They have 1.9%, but thats only on the ES and thats brand new, when I leased mine it was 2.9%.

If you can't write the lease off for business, I wouldn't lease with rates this low. In fact I thought about it, and still do, what will the climate be in 3 years, etc...

Remember though...leases do have interest...and low interest rates help leases too...

[denslexusgx470]

Yes it was a shocker to see the new 5 getting defeated when a few months ago they did a comparison with the old E60 5 series and it won against all their competition even against the new E-class. I dont know what they did to the new 5, but I was fortunate enough to test drive the new 535i at an Ultimate Driving Experience event at my local BMW dealer.

To be honest, it felt like a big disappointment. I didnt get to drive anything bigger than a 528i on the previous E60 5 series, but the new one (with a bigger engine than my 528i) felt heavy and had the same power as mine. Most of the guys on the 5 series forum don't even like the design of the new 5 as most of them changed out to the remaining 2010s they could get their hands on.

They'll improve on it down the road I guess. I hope. My dad liked the new 535i. Looks like he has now converted to BMW but I still love Lexus even though BMWs are fun to drive. :)

[Kyle Petree]

Well I stopped at my BMW dealer today and they got in just this week a Black 328i convertible that is perfect! I had my Mom come with me and she cosigned, while on the way home they called and told me that the BMW financial called and most likely it'll be approved so I should be picking it up Tuesday!

Just wanted to toss some numbers out before you sign the lease agreement. With all of the "close out" specials starting to hit the automotive world in general, and with interest rates at record lows across the board, several places are offering 0% financing on 5 year terms now.

I did some checking on Lease vs Finance, they had crazy low finance rates (.9% for 60 months) but they payments would be almost $900/mo and I can't afford that, the lease is about $250 less per month.

[LEXIRX330]

Well I stopped at my BMW dealer today and they got in just this week a Black 328i convertible that is perfect! I had my Mom come with me and she cosigned, while on the way home they called and told me that the BMW financial called and most likely it'll be approved so I should be picking it up Tuesday!

Just wanted to toss some numbers out before you sign the lease agreement. With all of the "close out" specials starting to hit the automotive world in general, and with interest rates at record lows across the board, several places are offering 0% financing on 5 year terms now.

I did some checking on Lease vs Finance, they had crazy low finance rates (.9% for 60 months) but they payments would be almost $900/mo and I can't afford that, the lease is about $250 less per month.

Kyle first off if you get the car congrats. What I am going to post next is just my opinion. My sister in law is kind of looking at doing something similar and I have been talking to her about it. One she is my sister in law and two I am her boss. I will give you the same advise I have given her even though you did not ask for it. If you can not get the car on your own you don't need to get it. I am sorry you do not need to go and get a BMW if mommy has to co sign for the loan. I feel that considering it is a lease then that is even more reason that if you cant get it on your own you dont need it. Leasing a car for over 650 a month and you can't write off the lease payments is not a great idea. I am sure that you can make the payments but why to have a new car? Now having said this it is your money, and your life so do what you want. I am not trying to be a jerk but just posting a honest observation. Maybe you are rolling in the dough ...and you can laugh at me! I do know this much there is no way the payments should be 900 a month financing this car at .9%. Are you putting anything down? What is the purchase price?

[Kyle Petree]

Well I stopped at my BMW dealer today and they got in just this week a Black 328i convertible that is perfect! I had my Mom come with me and she cosigned, while on the way home they called and told me that the BMW financial called and most likely it'll be approved so I should be picking it up Tuesday!

Just wanted to toss some numbers out before you sign the lease agreement. With all of the "close out" specials starting to hit the automotive world in general, and with interest rates at record lows across the board, several places are offering 0% financing on 5 year terms now.

I did some checking on Lease vs Finance, they had crazy low finance rates (.9% for 60 months) but they payments would be almost $900/mo and I can't afford that, the lease is about $250 less per month.

Kyle first off if you get the car congrats. What I am going to post next is just my opinion. My sister in law is kind of looking at doing something similar and I have been talking to her about it. One she is my sister in law and two I am her boss. I will give you the same advise I have given her even though you did not ask for it. If you can not get the car on your own you don't need to get it. I am sorry you do not need to go and get a BMW if mommy has to co sign for the loan. I feel that considering it is a lease then that is even more reason that if you cant get it on your own you dont need it. Leasing a car for over 650 a month and you can't write off the lease payments is not a great idea. I am sure that you can make the payments but why to have a new car? Now having said this it is your money, and your life so do what you want. I am not trying to be a jerk but just posting a honest observation. Maybe you are rolling in the dough ...and you can laugh at me! I do know this much there is no way the payments should be 900 a month financing this car at .9%. Are you putting anything down? What is the purchase price?

Frankly I find that extremely insulting, maybe I'm taking it the wrong way but I don't care. I work my a** off as an IT Manager 50+ hours a week and if I want to spend my money on a $50k+ car I will. I'm only 20 and my credit report only contains three credit cards that I pay off every month, that is why I need a co-signer. Sure I could go buy a Hyundai and not need a co-signer but why buy a cheap $25k Korean car when I can afford a BMW? I COULD make $900/mo payments if I felt like it, I just don't want to. I get bored with cars so fast that in the long run it makes more financial sense to lease. On the other hand the RX is the one car that after a year and a half I still like it as much today as the day I bought it, that's why I'll pay it off and drive it until it won't anymore. Also buying/leasing a car through BMW financial looks excellent on my credit report, by the time I'm ready to buy a new car after this or a house they'll see that and be more willing to give me a loan and I will be able to do that on my own.

[LEXIRX330]

Kyle trust me you are taking it the wrong way. If you work hard and that is what you want to spend your money on then do it. It is your choice. You said that you can not afford $900 a month payments yourself so therefore you are leasing the car. I will bet that most people will agree with me that this is a bad financial move. 20 years old and you have 3 credit cards and you can't finance a 50k car then the fact is that you can't afford a 50k car and that is why the bank is requiring a co signer. So what happens if you get laid off is your mom supposed to make the payments on your car?

Look I am not trying to tell you what to do. I am glad you are working and have a good job that is more than an awful lot of people can say. So get the car and enjoy it. All I know is that you do not want to have to work to make payments! That is a fact and if you get in that position you won't enjoy that car as much as a paid off Hyundai.

[Kyle Petree]

Kyle trust me you are taking it the wrong way. If you work hard and that is what you want to spend your money on then do it. It is your choice. You said that you can not afford $900 a month payments yourself so therefore you are leasing the car. I will bet that most people will agree with me that this is a bad financial move. 20 years old and you have 3 credit cards and you can't finance a 50k car then the fact is that you can't afford a 50k car and that is why the bank is requiring a co signer. So what happens if you get laid off is your mom supposed to make the payments on your car?

Look I am not trying to tell you what to do. I am glad you are working and have a good job that is more than an awful lot of people can say. So get the car and enjoy it. All I know is that you do not want to have to work to make payments! That is a fact and if you get in that position you won't enjoy that car as much as a paid off Hyundai.

Yea, I know where your coming from, you sound like my parents... LOL. However I'm leasing the car because I'll inevitably want something different after a few years so in my case it makes more sense to lease, I can afford to buy it, I just choose not to. The salesman told me the reason they denied my application was because of 'limited credit history' not that I couldn't afford it or because of bad credit, I just didn't have enough and that's why I needed the co-signer.

[LEXIRX330]

Kyle sound like your parents are real smart people! lol

Enjoy the car. I enjoy my toys too. I just am amazed by how many parents will co sign a loan for something that they think is a bad idea. ( not talking about you Kyle ) I see parents that end up with a car that they don't want but end up paying for because they have signed their name on it. I know that I will never co sign any loan for my kids. I never needed my parents to co sign for me and since I was 19 - 20 I could get loans with no problem.

Kyle if you saw some of the business loans that I have and just the bills that come in to my business it would make you fall out. When I bought the business and the bank sat down to look over my finances I was given a 250k loan for the downpayment with not much more than a handshake from the President of a bank. I am not against buying or leasing a nice car just don't strap yourself for a car. And I hear you saying that you can afford it. How long could you afford it if you lost your job? That is something that most 20 year olds don't consider. "what can I afford monthly"

This old man (31) won't bust your balls anymore. Have fun you are only young once then in a blink of an eye you will be telling some 20 year old this! Be sure to post some pics of the new ride!!!

[SW03ES]

I think the issue is when people lease a car because they cannot afford to finance the car, much like people took on adjustable rate interest only loans to buy homes because they couldn't afford the payments on a 30 year fixed rate P&I loan. All of these different ways of financing a car or a home are really just financial management tools, you are taking on debt to pay for something and you are just structuring that debt in the way that works the best for you.

With the tighter lending restrictions out there in many ways the only way to get started building credit is to have a parent cosign on a car or home...

Also buying/leasing a car through BMW financial looks excellent on my credit report' date=' by the time I'm ready to buy a new car after this or a house they'll see that and be more willing to give me a loan and I will be able to do that on my own. [/quote']

This is not really true. Who you finance something through means nothing in regards to your credit score. A loan from BMW financial or Hyundai Motor Credit has the same benefit and drawbacks.

You actually could probably buy a house now without anybody cosigning. You have three tradelines (the credit cards) which the PMI companies want to see (assuming you are putting less than 20% down) and if your score is 680 or above, you could buy a house. The problem with buying a house now that you have the car loan is they have to take that payment into account when calculating your ratios. Lenders anymore won't lend over 43% or so of your gross monthly income on the back end, meaning ALL your monthly payments added up...including the car payment.

When it comes to financing a car they want to see previous car credit or a mortgage or they will probably want to have a cosigner. Leasing is also harder to get approved for than car financing and they generally will never lease to someone who has not had car financing before or a mortgage.

House is actually less risk than a car to a lender...and a car lease is substantially riskier than a finance. I bet you could have gotten the financing on your own...but the lease is another story.

[Kyle Petree]

So as you may or may not already know I bought a 2011 328i Convertible... I am so glad I bought this over the IS C; it may not be as fast to 60 but it makes up for that in the corners. This car feels so planted, I can take a corner that says 35mph at 60+mph. I now understand why it's a 'drivers' car, it feels so connected. I took it out today for a photo shoot, here's the pics...

[LEXIRX330]

So as you may or may not already know I bought a 2011 328i Convertible... I am so glad I bought this over the IS C; it may not be as fast to 60 but it makes up for that in the corners. This car feels so planted, I can take a corner that says 35mph at 60+mph. I now understand why it's a 'drivers' car, it feels so connected. I took it out today for a photo shoot, here's the pics...

Looks great! Enjoy!!! BMWs are a load of fun to drive.