I need some advice with this car situation...

[ScrimpAndSave]

I have 1998 BMW 528 with $146,000 miles for it. The trade in value is around $3,000 and the private sale value is about $3,700.

I really like this 2006 Infiniti G35 with 24,000 miles and it is $17,995 (on Kelly blue book it is worth $20,800). It has a totally clean carfax report, too. My dad is a friend of the dealership owner and he has $18,000 into the car. He originally listed it for $21,000 but it has not sold because people have been buying brand new cars. This dealer is offering me $3,500 for my trade in.

I could finance the car through my credit union at 4.99% and aggressively pay it off in about 2 years.

Should I wait for the BMW to die before I buy a different car? Should I trade the BMW in now while it is still worth something? I'm trying to make the best decision possible. Here are my reasons for doing it.

1. The car I want blue books for $20,800 and only has 24,000 miles on it. It is essentially a new car with a clean carfax report and also a very good maintainence record. Still under factory warranty.

2. My BMW is starting to have some expensive repairs that add up to almost as much as the car is worth.

3. Looking into emunds and consumer reports, the infiniti has great reviews and is rated very well.

4. I don't have any debt so everything I make from cleaning houses and extra curricular things from school could help me pay it off quickly. My loan would be for about $14,000.

5. It is DANG pretty.

Here is a link to it:

2006 Infiniti G35, $17,595 - Cars.com

[Beccagold]

Is your only down payment going to be the trade in? You most likely won't be getting the full $3000 from a dealer for your BMW.

[ScrimpAndSave]

I forgot to add that the dealer is giving me $3,500 for my trade in. I will edit and add that. Thank you.

[am_vanquish]

You should call into Suze Orman's show & see what she tells you to do!

Also, my DW has an '06 G35, same color, but a coupe. It is a blast to drive.

If I were trying to make this decision in your shoes, I'd ask myself 2 questions:
(1) How would the additional monthly payment for the car affect my % of gross monthly income that's tied up in debt payments? This should include mortgage, student loans, etc.
(2) How would the additional monthly payment for the car affect the "survival period" of my EF? That is, if you lost all sources of income, how long would the EF last with/without the car payments?

Obviously there are other considerations, but that's what I'd think about first.

[wincrasher]

That is low miles for a 4 year old car. Sounds like a fair deal to me. I wouldn't sweat paying it off so soon - 1) the rate is really low 2) the car has a ton of miles left in it.

I've known people who swear by Infinity.

BMW's are great cars, but if you are getting to that point of the constant repairs, get rid of it.

[tifnglen]

I have nothing to add but: It is VERY pretty!!!

[ScrimpAndSave]

I don't have a picture of it...but the dealership is also offering a 2007 Honda Accord EX-L that has 43,000 miles on it for $12,959. It blue books for $17,600. Clean car fax...I think this might be the "smarter" choice for me...although it is not the "fun" choice!

It is also black inside and out with leather interior...so it isn't a bad looking car...

I am going to test drive it tonight.

No picture, but here is the ad:

2007 Honda Accord EX-L, $12,995 - Cars.com

[wincrasher]

Black on black is alot of upkeep to keep it looking nice.

I'd still go with the Infinity - a much nicer car, half the mileage.

[minnie1928]

I say go for the Infinity. The BMW is gonna cost you some serious money once things start to go (I have experience here... ). Plus, it's a really good looking car at a great price!!

[ActYourWage]

Didn't you just purchase a house a few months ago? Do you have car fever already? Why don't you sell your BMW for 3,000-3,500 and get a $3,000 dollar vehicle, then save like crazy and get one this time next year. Those vehicles are a dime a dozen, there will be one out there ready for a purchase.

[ScrimpAndSave]

I really love this one.

It is a 2006 Lexus SI but it has 71,000 miles on it.

2006 Lexus IS 250, $17,995 - Cars.com

[snafu]

Where do you fall in that 50-30-20 continuum of needs/wants/savings? Given your financial history [doing what you say you will do], your solid employment, and the fact that you live within your means, buy the car you love and enjoy the reliability factor and the sheer joy of it!