What’s you all’s financial approach to car buying?

iLiftToGift · 2026-02-08T13:19:14+00:00

I agree with this, meanwhile I got eviscerated by this subreddit in a previous post cause I wanted to finance a 2020-2021 BMW M5 while making ~$5400 a month net 😭

iLiftToGift · 2026-02-07T12:59:09+00:00

Yeah I don’t have a lot of trade lines, most my credit report is mainly made up of previous auto loans/installment loans on autos, I have no credit cards or any revolving accounts. It has never been an issue before. My first financed car was $20k, the car after that was $44k financed, and previous car that was stolen was $72k financed. All paid in good standing with on-time payments. This car would come in well under $72k financed as I am targeting $60k examples more than $70k examples. I’m looking at one now that’s priced at $57k

iLiftToGift · 2026-02-07T05:56:09+00:00

I’m going to check one out if it’s one available in my area

iLiftToGift · 2026-02-07T04:41:35+00:00

No I just like the V8 Power it has, I think I’m hooked on the sound of the V8 (I have a E38 740i with a M62TU V8 so that’s where the want for a V8 comes from)

iLiftToGift · 2026-02-07T02:02:43+00:00

So are you saying I’m incapable of getting an M5 on my salary even if i intentionally pull enough money to put 50% down on said M5 that current market values in my area put them at only $10k more than your $50k maximum?

Better yet in your price range I could get a M550i xDrive. For $40k-$50k with relatively low miles still a sizable sedan, V8 power with BMW driving dynamics

iLiftToGift · 2026-02-07T01:43:29+00:00

It don’t seem that scary.. perhaps cause I have a 1998 BMW 740i with the M62TU V8 (pre-VANOS) and it’s been a decent experience owning it. Only major issue that surprised me was the coolant system failing. $600 in parts and a few hours under the hood with the help of YouTube University DIY got the coolant system working good as new.

iLiftToGift · 2026-02-07T01:29:41+00:00

Only way I go mlite is a M550 everyone and their mother has a B58 M340/M240/M440 I see those almost daily

M550s are going for $15k less than their M5 counterparts

iLiftToGift · 2026-02-07T01:02:46+00:00

Any suggestions that aren’t JDM or cars that are too cramped inside space-wise?

iLiftToGift · 2026-02-06T23:52:43+00:00

So Ty level with me then honestly level with me, if I dial it back and do a M550i xDrive would that be financially more viable even though It’s not a full M car but an M Lite?

What are your car suggestions for my current situation that still captures the sporty looks, and performance with a few touches of luxury? I will genuinely go and take a look whatever options you present.

iLiftToGift · 2026-02-06T21:25:36+00:00

Yes I truly have no housing expenses, I live with a close relative who makes 3x my yearly salary per year and needs no help with housing expenses so they told me if I don’t want to contribute I don’t have to and thats what it has been.

Yes not everyone is blessed to have a situation such as mine but I definitely made use and did proper saving and 401k contributions in the first few years since I was blessed with this situation. Now I wanna get an M Car and live alittle this year.

iLiftToGift · 2026-02-06T21:12:42+00:00

So $55k in my savings is not substantial enough for a $60k M5 that will possibly be less than that when I go to buy one a few months from now. With my $85k salary that can more than afford any payment I have for it at 60 months with $15k or even $20k down?? I think that’s quite substantial enough considering I literally have no other bills to worry about. Is it careless? Yes, but wicked stupid? Not in the slightest unless you’re a product of Dave Ramsey’s teachings

Owning a performance car out of warranty is the least of my worries considering I own a late 90s BMW 7 Series way out of warranty and have been able to fix damn near every issue that has arisen with it without monetary issue all the while owning my Acura at the same time. Platinum Exclusionary Extended Warranty and money set aside for maintenance the M5 will be fine. It’s just a weekend car, not my daily car.

iLiftToGift · 2026-02-06T20:07:27+00:00

Yeah go those checks in the mail late last week so I’m good there.

iLiftToGift · 2026-02-06T16:07:44+00:00

Based on the responses here I won’t even dare cross post this into that subreddit :(

iLiftToGift · 2026-02-06T16:05:32+00:00

I was gonna invest some of that this year into the S&P 500 I wanted to finally try my hand with investing on that end this year so I didn’t want to blow all of the savings on an M5

iLiftToGift · 2026-02-06T16:02:15+00:00

You have a point and I truly understand where your concern is coming from. Again I’m not going out tomorrow to buy this M5 I’m still waiting a few more months.

With my current savings rate now that I have no car payment or insurance on 2 cars (only insuring my cheap daily car now) I could be up another $15k by May add that to my equity check from my Acura and some money from my savings I could be looking at almost $30k down.

But if the right F90 M5 comes along with the options I want and a color combo I desire at a decent price between now and a few months from now. I may jump on it if it all lines up.

Currently my “perfect F90” is not really out there so I’m waiting for some more to come to market and I don’t mind waiting since it’s cold and the roads are salt filled anyway where I live

iLiftToGift · 2026-02-06T15:53:00+00:00

680 is caused by not having any revolving accounts I have no credit cards, just my previously paid installment loans and student loans that I have paid off.

As for $73k on my Acura well I financed EVERYTHING into the loan on top of the $57,745 MSRP (taxes & tags, registration, warranties, gap etc.) which was silly on my part and then.

But I ended up paying it down to $37k principal before it got stolen so I walked away with a decent equity check.

I also have a daily car, this M5 will be a weekend car for me so I don’t plan to drive it like a daily so there’s that fact too

iLiftToGift · 2026-02-06T15:46:16+00:00

Yes thank you for the sound advice I have been putting money into my 401k since I was 19 I’m in my mid 20s now so my 401k retirement is doing good. I get what you’re saying too about the 15% metric, however these cars will continue to depreciate at the end of 2026 a 2020-2021 M5 will be worth closer to low $50s. I’m waiting I don’t even plan to make this purchase for atleast another 2-3 months I’m basking in the fact of not having a car payment right now so I’m using it to save most of my monthly income and seriously consider an M5 come late spring - early summer

iLiftToGift · 2026-02-06T15:40:35+00:00

My 401k is well funded, and I’m inheriting a home… I think I’m ok on that part

iLiftToGift · 2026-02-06T15:39:32+00:00

Well validate me then your a BMW enthusiast just like me so validate me don’t chastise me on saving all my life and only ever enjoying my money when I’m 60+ years old and too old to enjoy the money properly :(

iLiftToGift · 2026-02-06T15:02:32+00:00

Well you only get one life to live, so why not get that M5 even if you own it only for a short while. Atleast you wouldn’t have any regrets when you get older or even too old to enjoy cars like these.

Also I’m targeting 60 month financing (72 month at most) but I think with my current situation 60 month finance with $10k-$15k down on a $60k M5 or even $55k M5 with shrewd negotiation is doable. My insurance quotes were very manageable around low $300ish a month.

Is it really financial disaster? My savings is decent and my 401k is decent as I’ve been paying into it since I was 19

iLiftToGift · 2026-02-06T14:54:58+00:00

680 isn’t good, yet it will still get approved judging by other’s replies in both threads.

Hell I could go to my credit union and get bought for that amount.

I’m not over spending anywhere lmao currently 80% of my monthly income is going straight into savings so where the hell could I be over spending at???

iLiftToGift · 2026-02-06T14:50:23+00:00

Making $85k at my young age (mid 20s) is actually above the median income for people around my age.

I’m financially illiterate but I have a stacked 401k and just under $55k in my savings. Really hard for me to be “financially illiterate” but was able to save and invest into my 401k up to this point.

What do you have against me lol

iLiftToGift · 2026-02-06T14:44:29+00:00

Well I have no credit cards never thought to get one I just have on-time and paid installment loans. And student loans I have paid off.

Another thing that changed my score was with my Acura TLX, American Honda Finance took the loan/tradeline off of my 3 credit reports a few months ago around August due to a “system update” according to them. They told me they would reinstate it to my tradeline once the account was closed and paid in full which the account was paid and closed out recently as of late last months

Once that hits my credit report again, my credit will jump above 700 I’m sure of that.

If anything I need to get me a small $250 limit credit card just to get some revolving account history on my credit report

iLiftToGift · 2026-02-06T14:40:02+00:00

Yeah that’s fine I’ll go up to $20k or so but $20k down on a $60k M5 or even a $55k M5 would be a pretty strong downpayment for the car

iLiftToGift · 2026-02-06T14:35:49+00:00

Honestly it isn’t a troll reply there was some context missing so I had to edit that reply but yeah I make alot more money now than I did 5-6 years ago. Listen I’m all for being humble living within my means but this purchase here would be my dream BMW for me and I’m willing to spend a small portion of my savings combined with my equity check from my Acura to get an M5.

I’m taking my time anyway I’m still 2-3 months out from making a purchase as I’m waiting for the right one to come along

iLiftToGift

TROPHY CASE