Trading “down” from an M135i

[IgnitionMS]

Hi all

After some opinions and advice.

Currently have a BMW M135i (3 door, manual, lots of options) purchased it from BMW second hand and have kept it serviced and under warranty with BMW.

Car is in good condition, has been reliable (have the comfort blanket of the warranty) has a great spec and great performance and is all the car I realistically need for the foreseeable.

The problem is I currently work from home and am barely using it, I have been offered £13k from WBAC and I reckon I could get £15k for it privately.

Me and the Mrs are also saving up for a deposit for a house.

I’m stuck as to what to do

1. I could sell the car push the money towards a house deposit and buy a shed to cruise around in. However, once we have purchased a house I wouldn’t really want to take out a personal loan to buy another one (I purchased this car outright)

2. Sell the car and “trade down” for something like a BMW e38, I’ve always wanted an e38, so could scratch that itch and also bank the cash difference

3. Keep the M135i and just carry on saving towards a deposit as the car is new(ish), reliable and all the car I could ever need.

Appreciate any opinions or shares of previous experiences

[ukwill]

Sell the car and buy a cheap lease to cover the next 2-3yrs, whilst you buy a house and settle in.

[757]

Number 1 - Shed makes more sense. Least you will have an 'asset' worth something when you sell it, and put towards something else.

Personally, I wouldn't want to lease, and put what...£3/400 on a lease a month, that's good money towards other things (which you have laid out you need to save for).

[Canon_Fodder]

Getting my own house would take priority over a nice car all day long for me...

If contemplating shedding, are you ok with spanners OP, or do you know someone who is? That helps I think...

[IgnitionMS]

ukwill said:

Sell the car and buy a cheap lease to cover the next 2-3yrs, whilst you buy a house and settle in.

Thanks, don’t know if a lease would impact my affordability though?

[CarCrazyDad]

Just be aware if you sell your car and buy a cheaper car obviously this may have faults / problems which could eat into your savings.

If you are desperate then you can sell the M135i, buy something very cheap to fix and generally reliable, I'm thinking something like a Golf Mk4 with a diesel engine.

If you want the best chance at maximum affordability then having as little credit already utilised is important - having a lease for £200-£400 a month is a reasonably chunky outgoing.


Then if you want to get a loan out to buy another car after the house then fair enough!

[IgnitionMS]

757 said:

Number 1 - Shed makes more sense. Least you will have an 'asset' worth something when you sell it, and put towards something else.

Personally, I wouldn't want to lease, and put what...£3/400 on a lease a month, that's good money towards other things (which you have laid out you need to save for).

Cheers, yeah the money spent on a lease could just go towards the house deposit

[IgnitionMS]

Canon_Fodder said:

Getting my own house would take priority over a nice car all day long for me...

If contemplating shedding, are you ok with spanners OP, or do you know someone who is? That helps I think...

Thanks for the advice.

When I listen to my head not my heart, I know that this would be the best option.

I’m ok on the spanner’s and have a friend who can help with bits and bobs

[IgnitionMS]

CarCrazyDad said:

Just be aware if you sell your car and buy a cheaper car obviously this may have faults / problems which could eat into your savings.

If you are desperate then you can sell the M135i, buy something very cheap to fix and generally reliable, I'm thinking something like a Golf Mk4 with a diesel engine.

If you want the best chance at maximum affordability then having as little credit already utilised is important - having a lease for £200-£400 a month is a reasonably chunky outgoing.


Then if you want to get a loan out to buy another car after the house then fair enough!

I tell myself that trading down to an e38 and pocketing the cash is a good compromise, but 100% a few bills
could easily eat into the “savings”

A lease wouldn’t be on the cards as it’s just money down the drain, that could go into saving for a deposit.

I have to talk myself through the logic of selling the car to then get a mortgage to then get a loan for a similar car!

[eleveneleven]

I would sell it, house first, car second! If you still need an exciting car in your life compromise, use half the funds for another runaround and put the rest towards your house deposit.

Plenty of fun options out there for £7k

130i
https://www.autotrader.co.uk/car-details/202201161...

Alfa Giulietta (TBi Cloverleaf)
https://www.autotrader.co.uk/car-details/202202122...

Astra GTC
https://www.autotrader.co.uk/car-details/202202072...

Scirocco GT
https://www.autotrader.co.uk/car-details/202201281...

Megane RS
https://www.autotrader.co.uk/car-details/202111189...

Civic Type R
https://www.autotrader.co.uk/car-details/202202283...

Edited by eleveneleven on Tuesday 1st March 12:22

[rallycross]

keep using it till you need the deposit for your house purchase then sell it and buy something fun for under £4k loads of things to chose from, you BMW is not going to depreciate in the meantime.
My money would be on a 130i as a replacement, prices on these are going up but higher mileage ones are cheap when they come up and still great to drive and fairly bullet proof mechanicals on these (not turbo's to worry about).

[IgnitionMS]

eleveneleven said:

I would sell it, house first, car second! If you still need an exciting car in your life compromise, use half the funds for another runaround and put the rest towards your house deposit.

Plenty of fun options out there for £7k

130i
https://www.autotrader.co.uk/car-details/202201161...

Alfa Giulietta (TBi Cloverleaf)
https://www.autotrader.co.uk/car-details/202202122...

Astra GTC
https://www.autotrader.co.uk/car-details/202202072...

Scirocco GT
https://www.autotrader.co.uk/car-details/202201281...

Megane RS
https://www.autotrader.co.uk/car-details/202111189...

Civic Type R
https://www.autotrader.co.uk/car-details/202202283...

Edited by eleveneleven on Tuesday 1st March 12:22

Thanks, a good idea and some good options there

[IgnitionMS]

rallycross said:

keep using it till you need the deposit for your house purchase then sell it and buy something fun for under £4k loads of things to chose from, you BMW is not going to depreciate in the meantime.
My money would be on a 130i as a replacement, prices on these are going up but higher mileage ones are cheap when they come up and still great to drive and fairly bullet proof mechanicals on these (not turbo's to worry about).

I hadn’t thought of it like this, with the used car market the way it is, the car shouldn’t plummet in price.

I have looked at the 130i’s and they indeed do look to be a good buy, I think Birds have their development car up for sale at the moment (obviously out of my price range for this purpose)

[mat205125]

I'd definitely sacrifice a depreciating toy to get on the property ladder

Theres a time for toys and that comes later on

[rallycross]

IgnitionMS said:

I hadn’t thought of it like this, with the used car market the way it is, the car shouldn’t plummet in price.

I have looked at the 130i’s and they indeed do look to be a good buy, I think Birds have their development car up for sale at the moment (obviously out of my price range for this purpose)

I’ve had a few 335i and then a couple of 130i you will be very surprised how well they go! Obviously will feel old after your car but still great fun to drive and very reliable for an older car.

[IgnitionMS]

mat205125 said:

I'd definitely sacrifice a depreciating toy to get on the property ladder

Theres a time for toys and that comes later on

That’s the reality we have come round to, had lots of nice cars, hard with the M135i as it was my “dream car” within budget and a huge achievement when I got it in 2018.

As one of the posters said above, I might be best sitting on it until I need that final chunk towards a deposit.

[IgnitionMS]

rallycross said:

IgnitionMS said:

I hadn’t thought of it like this, with the used car market the way it is, the car shouldn’t plummet in price.

I have looked at the 130i’s and they indeed do look to be a good buy, I think Birds have their development car up for sale at the moment (obviously out of my price range for this purpose)

I’ve had a few 335i and then a couple of 130i you will be very surprised how well they go! Obviously will feel old after your car but still great fun to drive and very reliable for an older car.

I had a (F21) 125i before this and despite the 100 bhp drop, the 125i was still a really fun car

[IgnitionMS]

rallycross said:

IgnitionMS said:

I hadn’t thought of it like this, with the used car market the way it is, the car shouldn’t plummet in price.

I have looked at the 130i’s and they indeed do look to be a good buy, I think Birds have their development car up for sale at the moment (obviously out of my price range for this purpose)

I’ve had a few 335i and then a couple of 130i you will be very surprised how well they go! Obviously will feel old after your car but still great fun to drive and very reliable for an older car.

I had a (F21) 125i before this and despite the 100 bhp drop, the 125i was still a really fun car

[Janesy B]

Just sell and replace it when you're ready to buy a house, trading down to stick the money in a low interest savings account seems a waste of time. There's always going to be extra costs running an older, unknown car. Especially an Alfa with over 100k

Edited by Janesy B on Tuesday 1st March 14:27

[IgnitionMS]

Janesy B said:

Just sell and replace it when you're ready to buy a house, trading down to stick the money in a low interest savings account seems a waste of time. There's always going to be extra costs running an older, unknown car. Especially an Alfa with over 100k

Edited by Janesy B on Tuesday 1st March 14:27

A good shout, thanks for the advice