WHO CARES about lease vs purchase vs paying cash .. That wasn't the question, lol... I can make my own financial decisions... my parents let me, really they do!! LOL

Lets get back on track.. Bottom line? Cars will continue to be swapped every 2-3 years... I am not going to drive a car to the ground, just to keep it 4-5 years... thank you..

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1995 E320 smoke silver / parchment

The difference is with most brands the bank they own is floating them. So, if MB financial offers a considerably cheap leasing program, they get their units moved, make 1-2% APR on the lease term, and get good steady stream of CPOs at the end of the run.

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1985 500SL Euro w/ AMG bits 130k
1984 300SD Turbodiesel 192k
1980 240D Stick China 188k
2001 CLK55 AMG 101k
2007 S600 Biturbo 149k Overheated Project, IT'S ALIVE!!!

Head 'em up and LEASE 'em out.

Plain and simple.

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'06 E320 CDI
'17 Corvette Stingray Vert

No way you can make the same deal. No way whatsoever. Paying cash for a new car to sell it in 3 years is NOT less than a lease. No way whatsoever.

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'06 E320 CDI
'17 Corvette Stingray Vert

Really?

Regarding car choice, I would buy the used E320/350; IMO, you will get more car for the money and avoid taking a hit on a new car. You should be able to find a decent, low-mileage example for $30k. I'm considering buying a used one for one of my kids (probably in the $15-20k range), it's a good solid car for the price.

I guess you should just go out and find whatever $30,000 car you like the best. The E350 will be a pretty safe bet if unscheduled repairs is all you care about. BMW's program is hard to beat, though. from 0-50,000 miles you don't even have to worry about oil changes or wiper blades, its all covered for free.

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1985 500SL Euro w/ AMG bits 130k
1984 300SD Turbodiesel 192k
1980 240D Stick China 188k
2001 CLK55 AMG 101k
2007 S600 Biturbo 149k Overheated Project, IT'S ALIVE!!!

I understand that it might be a better deal than you can get from the local bank, but you are still paying more than a cash deal. I leased one new car when I was young, stupid, and broke; it allowed me to drive a car that I couldn't really afford without a down payment. In the long run, I paid too much but I thought I needed a new car. I should have bought something I could afford and saved my pennies. I wouldn't have listened to anyone either, but some of us eventually grow up.

Leasing is the only way to go for this guy.

He'll likely be in a new 400 HP Mustang GT anyway. Or a new E350 or BMW.

No way he can afford buying anything this pricey for 2-3 years outside a lease. None whatsoever.

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'06 E320 CDI
'17 Corvette Stingray Vert

That's really the best advice, buy whatever you like in your price range. It doesn't really matter what anyone else thinks, you're the one who has to drive it. Maybe, you will discover that you don't have to replace your car every 3 years if you find something you really like.

Not quite.

The used "$30,000 E350" will be worth $10,000 (if that much) in 3 years - it'll be 6 years old.
A new 2011 E350 lease for 2-3 years will not exceed that out-of-pocket any more than a smidgen. Besides, the new E350 will be 100% net repair cost free. The used E350 will be an at-risk net expense, and be worth jack at 6-years of age.

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'06 E320 CDI
'17 Corvette Stingray Vert

It looks like we may be having a problem with wants v/s needs here.
If there is a genuine need for such a car, like a job that requires you to transport high end clients that would be unimpressed & so not do biz with some one in a cheaper car, then Joe has the right advice.
If the car is only to build ones ego & impress the neighbors, then lease/finance will be a fool & his money are soon parted.
It is concerning that there is a blanket limit of $700/month, makes one think that it could be a case of ones ego being bigger than ones pocket !
Apart from the sort of situation describe initially, if you are burning a car every couple of years, you may be considering the wrong models. Best get something that does not have the built in longevity. Go for something that will give the cheapest total running cost with the required reliability over the few years you plan on having it. Probably a 4 cylinder ricer. As the OP has stated, he doesnt have the money to pay for the car anyway.

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Grumpy Old Diesel Owners Club group

I no longer question authority, I annoy authority. More effect, less effort....

1967 230-6 auto parts car. rust bucket.
1980 300D now parts car 800k miles
1984 300D 500k miles
1987 250td 160k miles English import
2001 jeep turbo diesel 130k miles
1998 jeep tdi ~ followed me home. Needs a turbo.
1968 Ford F750 truck. 6-354 diesel conversion.
Other toys ~J.D.,Cat & GM ~ mainly earth moving

Good points, based on the OPs posts (and the fact that he currently drives a mustang) I assumed he did not "need" this car. Based on the limit of $700, I assumed he couldn't really afford it anyway. If I'm wrong, he should go for it; otherwise, he should buy something in his price range.

My friend is in a smiler situation as you, he drives about 30k-40k miles a year for work. He is on some sort of plan with his company and gets most of his vehicle costs reimbursed, but as part of the deal the car can't be older than 3 model years. He has a 2007 Camry now with about 100k on it that will have to be traded in at the end of the year.

What he does is buy a new Camry or Accord every 3 years, pretty much loaded with the V6, they go for about what your looking to spend, $30kish. If you drive a lot you pretty much have to buy, the wear and tear and mileage kills you in a lease, although 20k isn't to bad you might be able to lease something. Either way its going to be a few bucks a month, he buys the cars and pays $1k a month so he isn't upside down come trade in time.

When you drive that much you want to consider the overall running costs. For example does the car require premium or regular gas? His current Camry gets 30mpg on regular, so fuel costs are reasonable. How long are the tires going to last and what are they going to cost to replace? With cars like the BMW that use run flat performance tires you will be buying a set every year. With something like a Camry or Accord you can get 2-3 years out of a set of tires and they are cheaper to buy. My friend would like to get a high end car but the running costs are pretty high and its just not worth it when you run the numbers. Your better off having two cars, which is what he does. He has a fully restored 1967 Mustang that he drives on the weekends.

Out of your choices the Mustang makes the most sense, but I would get the V6 version and enjoy the better fuel mileage.

Personally I would never lease unless my company was paying for it, eventually I'll do what my uncle does and just pay cash for a new E class or BMW every 3-4 years.

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2016 Corvette Stingray 2LT
1969 280SE
2023 Ram 1500
2007 Tiara 3200

yosshimura,

mind if i ask what you your age and profession? don't read anything into the question, i'm just curious.

Ben

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Ben
1987 190d 2.5Turbo

There lies the problem. 20k/year is not that much. I have easily put that much on my SD per year for the last three plus years for easily 1/10 of the money more likely closer to 1/30 the cost he has spent on cars driving the same amount. He WANTS to drive a new car. He does not NEED to drive a new car.

I probably could sell my car right now for what I paid for it 3.5 years ago. Tell me again that all cars are a depreciating asset...

I agree with Craig. If the guy can afford $700/month then he should by a $1000 car and put the $700 per month into a car savings account. 700 x 12 = $8400. In one year he could buy a very nice car for $8400 cash.

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2009 ML320 Bluetec
1985 300CD
1981 300TD

Past Mercedes
1979 300TD
1982 300TD
2000 E320 4Matic Wagon
1998 E430
1984 300SD
1980 300SD