Buy a new BMW or invest the money?

I could buy a new M3 for 80k and pay a shitload in taxes: state sales, gas guzzler, property taxes, etc.... or I can buy a cheap beater car and invest the money in stocks since everything's so damn cheap right now. What would you do?

Comments

3 Responses to “Buy a new BMW or invest the money?”
  1. Emma F says:
    August 7, 2009 at 8:17 pm

    I would buy the beater, and invest the rest.

  2. Vae_Victis says:
    August 7, 2009 at 8:17 pm

    If you have $80K to spend on a car, you should be able to do both. Personally, even though I have the income to drive such a car it’s a waste considering depreciation. In 5 years you’ll have a car worth 50% of that whereas the stocks would likely be worth 100K. So ask yourself in 5 years would you rather have a 5 yr old BMW worth $40K or an extra $100k in your portfolio to retire earlier. Buy a used M3 and invest the rest, let the original owner pay for the depreciation and you can pocket and invest the difference.

  3. Sharon T says:
    August 7, 2009 at 8:17 pm

    Buy a nice Buick Lucerne. You’ll have a quality car with lots of luxury and $50K to invest. Great time to invest!

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