Neil Smalley

Just found out today that the M3 is on my company car list

To see if it's worth the £500 a month in co car tax, vs running one myself I need to know aproximate yearly costs for
o servicing
o tyres
o estimated depreciation
o Insurance I reckon to be 1400 a year.

Now i'm not even sure I want to go for this, but my current lease runs out in 18 months time so I need to act now, if I want to get one.

Scoob's are'nt on the list, although I get a nice wedge to buy my own if I want to(that's how I got mine).

Just needed to run the scenerios past a few people in the know. Yes I know this is a scoob bbs but i'm sure there are more people who've looked at one here than anywhere else I can think of.

DMB

Neil,

you lucky b*****d, m3 on the company car list

mail me with what you need to know (estimated mileage per year etc)and i'll stick it into the computer at work (bm dealer )and see what i can come up with.

DHX

Neil I'm sure there are official sources you could get this info from,or do you just want everybody to know that you have the ability to afford a circa 40k car(or work/own a company that regards you highly enough to provide you with one) I know I am new to this board but I believe in saying it how I see .No offence meant to anybody.

Fullonloon

That has to be one of the most ridiculous things I have read on Scoobynet DHX.

Scoobychick

iTrader: (1)

DHX

Once you've been using this board for a while you will come to realise that it really is a sizeable community full of a wide range of people from all walks of life, and therefore a <B><I>great</I></B> source of information.

I think you'll find that most people that use this board regularly will post on here for info relating to a query they have instead of searching the internet. As you will see from the response to Neils query, you don't have to wait long for an answer

BTW you won't endear yourself to many people on this board if you come on here with that attitude

Sal



[This message has been edited by scoobychick (edited 12 July 2001).]

Gareth Williams

Scooby Chick (Sal)-Couldn't agree more about your comments to DHX...

Neil Smalley-I've done the same sums you're doing now and have decided to buy the M3 with my own money. I've budgeted for the items you listed as follows;
1. Servicing-Assuming a mileage between 12 and 18k a year =£250-£400
2. Tyres-If you go for the 19' option you're looking at £700+ for a set per year.With 18' tyres you'd be looking at around £550-£600.
3.Depreciation- minimal in year 1. My car will cost £42k when it arrives in May '02 and I could sell it 1 year/20k later for £40-£42k without a doubt. Providing I don't sell it back to a BMW dealer however...
4.Insurance-Tesco quoted me (33 years old,3 points SP30,6+years company car driving,M3 with Tracker and garaged)£1150 comp. per year. I'm sure it's possible to dip under the grand with lots of phone calls.
Good luck mate.

Gareth.
P.S. Fuel economy should vary between 16 (track day) ,18 to 22 for 'urban'and 25+mpg on A road/M ways.

RonaldoH

Neil, go for it.

R

Mossman

Jealous! Me!???

YES!!!!!!!!!!

ARRON BIRD

Neil do what I`m doing mate and buy it yourself.
I`ve already done all the sums.
Roll on October production.

Gordo

Great company car list!

For the year just gone its broadly breakeven on car tax vs cash alternative on business mileage up to 10,000 but going forward the tax only gets worse and the CO2 on BMWs is not good at the minute (diesels aside).

Don't forget when working out your opportunity cost to add on the cash alternative (taxed) to the car and fuel tax, including any contributions etc. I'd imagine that when you add on the cash alternative you'll find its much more than £500 a month - Mine came out just under £800 adding in the cash alternative I was effectively giving up and that was for a BM330. You can do a lot with £800 a month was my thinking!

Good luck
Gordo

Dragon

Don't know about the new one...but to give you an idea of an old one...

* 1994 E2 £42,500 new
* Bought for £16,000 in 2000
* Depreciated about £4,400 a year
* Service approx £400 on normal service
* Tyres £150-200 each

Davvers

nobody on the rumour mill heard about all UK M3s having had their engines replaced then!

jjr1

where did you get that from? As I know of a number of M3 owners and none of them have had engine replacements.
You probably are getting confused with a rocker cover that was changed on the first cars in the country?

Dragon

DHX, maybe you should change your user ID to DHL and post yourself somewhere other than on here

Chris L

We will take your comments with a large pinch of salt DHX seeing as you are a newbie. Without appearing to show off, I suspect that there are a fair percentage of people on this board who could afford the circa £40K cars that you refer to. When you look at the amount some people have spent modifying their cars, it can't be far off that figure. However, that is not really the point.

I know Neil well enough to know that it is not the reason why he posted his question. Whilst this is obviously a Subaru board, not everyone owns one (and quite a few people now own M3s), so his question is very valid.

Think before you post and then you don't run the risk of getting half the communities backs up

Chris

Neil Smalley

<BLOCKQUOTE><font size="1" face="Verdana, Arial">quote:<HR>Originally posted by DHX:
<B>Neil I'm sure there are official sources you could get this info from,or do you just want everybody to know that you have the ability to afford a circa 40k car(or work/own a company that regards you highly enough to provide you with one) I know I am new to this board but I believe in saying it how I see .No offence meant to anybody.[/quote]

To everyone who's replied in my defense, a big thank you . I'm not in anyway offended by these comments, I'm too laid back for that.

DHX, i'm I can see how someone may think that if they did'nt know the culture and nature of the bbs.

Sure, I might be able to get the info from other places(I got the tax figure from the BMW site for example). But I know there have been a lot of people looked into the pricing and this kinda thing for the M3 recently and who are willing to save other people the effort(cheers guys ). It's this kind of quick, friendly response that makes scoobynet such a joy to belong to.

DHX, I hope you stay around long enough to realise that not only is scoobynet a great resource for Impreza's but pretty much everything else. There are also loads of active members who don't own scoobies.

I also know there are a few people on this bbs, to whom 40K is nearly pocket money. To me, as with most people here's it's not. If I was loaded I would'nt be asking about running costs etc etc.

So thanks for the info guys. At the moment it's looking 50/50 financially 50% says get the M3, the other half says keep hold of the scoob and don't blow all your money.

ptholt

Whilst holidaying in portugal and talking with some German friends we were told that production of the M3 had stopped following a large number of engine let go's and that those already delivered in Germany were being recalled and that untill it was sorted production was stopped.

Other than that, i've heard nowt official.

all i know is i want one and i want one NOW !
not in x months/years.

ARRON BIRD

My M3 is in production October for November delivery.
No problems.
My dealer has had their demmo for 6 weeks and the first customer car left the showroom 2 weeks ago.

MattOz

Anyone else see that advert in the back of Autocar about 3 weeks ago that had new RHD M3's for 29,800 inc VAT? Made me think......

Matt

Des

I just ordered an M3 myself and when I asked
the dealer what the expected servicing costs
would be he was unable to tell me. Thankfully someone on the bbs (thank you Mr
Williams) has been able to help... DHX
relllaaaaaaxxxx. Besides if we are only asking these questions to show off our tons of money, its probably because we are trying to compensate for something ;-)

DMB

Neil you have mail

DHX

Sorry guys maybe I've misunderstood what this site is all about.I will think before I post next time.

DMB

DHX

mate, it doesn't mean anything
what neil asked for he can get from a dealer but the community can tell him how it really is not glossed up. You get more info from a wide range of people in the know than you get from official sources

Neil Smalley

No probs DHX. Stick around, and lurk a little

sonu

Neil

I own an M Coupe, so I'd imagine that servicing would be similar for an M3?

It needs servicing every 5/6 months depending on driving style . This usually means an Inspection and an oil service. The Inspection is very expensive, between 450 and 650 depending on whether it's inspection 1 or 2. Oil service is about 120-150.

Thanks

Sonu

Jon Jonzz

Gareth,

My main business is tax advice, but I often get involved with car purchases. I think your estimate of nearly zero depreciation for a 12 month old M3, especially for nearly 2 years hence, might prove wildly optimistic.

I would never advise any of my clients to base a purchase on such a low figure for depreciation. I have owned a few BMWs over the years, and the really low depreciating ones are lowly equipped 3 series.

If you are basing the affordability of a purchase on this feature, I would suggest you review it.

Gareth Williams

Jon Jonzz,

Thanks for your reply. I think I should just clarify my thoughts. If there is a list of 10 reasons why I'm buying an M3, depreciation is at no.11 on that list, with F-U-N being at no.1 . I too have had a few BMW's and yes a modest spec, lower in the range model will normally hold their value well.
It's also worth mentioning that depreciation is a factor on EVERY car and the sooner we all have that reality check it's then about limiting the financial damage by buying the right car in the right spec/colour scheme and at the right time. However the M3 is a different proposition, as anyone who drives one can confirm. Relatively speaking (prepare to don fire proof suit!)it's good value when you look at the performance and general road manners, compared to 996/M5/RS4/355/360 etc (All great cars, but alot more money to buy and run). Also BMW will never sell more than 500 M3's a year in UK so it will continue to be a sought after car because of this. I therefore hope (never guaranteed, but that's life!) that considering all the factors my car shouldn't depreciate that much. Also choosing the right spec helps as you often see M3's advertised with £3-4,000 worth of options at £46 to £49k, some £4-5,000 above the UK list price. My car will be an SMG model with a few hi-fi/security and safety options to take it to around £42k.
As you're you're a tax adviser you'll be delighted to know that by opting out of my company car scheme I'm better off by £200+ a month....should help towards the (possible) depreciation!!.
Regards,

Gareth.

Jon Jonzz

Gareth, I agree - life is too short to buy a car merely for its low depreciation.

The question which I would be asking myself is "could I afford the purchase, if the depreciation is nearer to 25% in the first year?"

Having had my bank balance hit heavily over the years through high car turnover (20+), I try to only acquire cars for a minimum of 3 years. On that basis, quite a few cars don't even make my short list. I have had my Audi S3 for over 2 years, and the finance company have given a guaranteed residual value of 59.5% over 3 years. Fortunately, I have been very pleased with it, and may well get another next year. However, a P1 for around £390 per month is tempting.

Chins

Depreciation on cars my favorite subject

I really cant see the M3 depreciating 25% in its first year. Although it is best to budget for it - 25% maybe a touch high 20% should be worse case. This of course will get worse a few years in.

As Gareth says there is limited supply and quite long waiting lists. Premiums for quick supply are 3-5k apparently. Year old cars will sell very close to list, so buy a basic M3 and in a year my guess is 32k trade in.

Jonathan

Andrew O'Hara

I have to agree with Jonathan and Jon Jonzz here and the advice given by certain specialists. The least depreciating M3 is the most basic M3. I'm not too sure on the depreciation issue as at present the M3 is the product to have and will be for probably 9-12 months more, simply due to the lack of supply and high demand for the car.

I have already been offered a profit of between £3-£4K by two people (and they have offered to finance the car) when I take delivery of mine in April 2002, because they have buyers lining up for M3's..decisions, decisions...£3-£4K profit or a years FUN for very little cost ...I wonder whether the new M3 will be as much fun as my old E30 M3 EVO Sport, looks like I'll find out in a few months



[This message has been edited by Andrew O'Hara (edited 16 July 2001).]