'99 540i vs. '99M3?

[Gen.Anesthesia]

Well, to make a long story short I'm having a few problems with my '98 540i with 80K that aren't major and are common to this vehicle i.e. radiator, intake manifold, etc. and I started looking around. I found a '99 540i 6-speed with 56K and an '99 M3 with 25K for the same price, around 28K at a dealer so there is room to work on the $$$$. I realize this is the 5er forum but which would be the better deal (I'm a pretty green BMW owner). I don't plan on doing any heavy modding mostly daily driver stuff but still would like the one that feels with the most muscle. Thanks for the expert opinions in advance.

[Dwayne]

I found a '99 540i 6-speed with 56K and an '99 M3 with 25K for the same price, around 28K at a dealer so there is room to work on the $$$$.

There better be room to work on the $$, because $28K isn't even remotely close for a '99 540 with 56K miles. I'd drop $8K-10K off that price, you'll be closer to the right ballpark.

[dagoo98]

There better be room to work on the $$, because $28K isn't even remotely close for a '99 540 with 56K miles. I'd drop $8K-10K off that price, you'll be closer to the right ballpark.

I agree that $28k is overpriced for both cars. I think $8-10k overpriced is a little excessive I would say more like $5k too much. I would definitely take the 540/6 over the 99 M3 because it will feel more torque although they are pretty much just as fast as one another. If you were talking about a E46 M3 it would be a much harder decision.

[sdwhitney]

www.kbb.com

Those prices aren't close to what you should pay for either.

But it is up to you...

[Dan]

drop a Cleavland Steamer on the front door of the dealer. then haggle and say you'll clean it up if they come down to the right price. if not, leave it there and get out of dodge.

[Gen.Anesthesia]

So here are two pics, mine and the 540/6 for sale. Should I haggle with them and say mine plus 1-2K and I keep my tires & rims?

[Dwayne]

Any more details? What's the mileage on yours, what options do you have and what does the one for sale have? I'm assuming yours is an auto, too.

[Gen.Anesthesia]

Mine has 80K auto, cold weather package, leather, etc. etc. The other is pretty much the same except the CW package and is a manual with 56k on it. I also like my tires and rims better. So, back to the previous question, do I offer mine and 1-2K to boot

[Lscman]

Well, to make a long story short I'm having a few problems with my '98 540i with 80K that aren't major and are common to this vehicle i.e. radiator, intake manifold, etc. and I started looking around. I found a '99 540i 6-speed with 56K and an '99 M3 with 25K for the same price, around 28K at a dealer so there is room to work on the $$$$. I realize this is the 5er forum but which would be the better deal (I'm a pretty green BMW owner). I don't plan on doing any heavy modding mostly daily driver stuff but still would like the one that feels with the most muscle. Thanks for the expert opinions in advance.

The '99 540i is worth about $19K. I paid that much for a '98 of similar specs & miles exactly 2 years ago. Why would you even consider a 1 year newer car with 25K fewer miles than the one you currently own?? It will be in the same condition as your current car in 12-18mo!! You will likely pay about $12K for a one year newer vehicle of onknown condition. For all you know, it could have hidden troubles too. Get your intake and radiator fixed and keep driving your car. At least you know it's quirks.

The M3 is worth about $22K with such low miles. If you are willing to pay over $25K, you should be looking at newer E46 model, not E36. If you don't care about rooominess, the 3 series is a better choice as miles rack up. The E39 luxo gizmos will break at a scary rate as these cars age. The E46 may be similarly laden with gadgetry, but they ae more popular and repairs will be easier to obtain in the aftermarket.

The asking prices for both are way out of whack. With such old cars, you might as well buy from a private owner.

[Gen.Anesthesia]

I do realize that it is only one year newer and the only thing that the 540/6 interestes me in is the fact that it is a manual. Otherwise they are basically the same car. So really I should try to basically trade them straight up with a little to boot?

[Lscman]

I do realize that it is only one year newer and the only thing that the 540/6 interestes me in is the fact that it is a manual. Otherwise they are basically the same car. So really I should try to basically trade them straight up with a little to boot?

I did not realize you were swapping in order to acquire a 6spd stickshift.

Here's what I'd do:

Go to a single used car pricing site like NADA (real prices) or Kelley Blue Book (inflated prices). Now determine the difference in retail value between the two cars. The difference between these two numbers is the anticipated amount of money you'll need to pay to upgrade, assuming you sell your car yourself and buy from a private owner. My total guess would be $4-5K difference beteen these 2 cars due to age and add'l miles. Your car is worth about $15k-16K and the one you're looking at is worth about $19K-20K.

Now look up the trade-in/wholesale lowball value for the car you own now. This is what you'll get on trade-in, if you buy another car from the dealer. The difference between trade-in and retail is the profit margin the dealer will typically want. I am guessing this is around $3500. You will be obligated to absorb this additional fee, if you choose the dealer route and trade-in. This is because the dealer does not have a buyer for your car, so they must auction the vehicle or absorb overhead fees for servicing & retailing it from their lot.

Summary:

My overall guess is you could get a one year newer private owner car with the desired transmission for an add'l $4K, after you sell your car as a private owner. Maybe add another $1-2K more to sell your car as a private owner & pay cash for the '99 at a dealer. You will pay close to $7-8K to upgrade as a trade-in at a dealer. This is the most expensive, no hassle option.

**In certain states, there is a hidden advantage to trading in. Car dealers have petitioned for a benefit which is not available to private sellers & buyers. On trade-in under your scenerio, you only pay state tax on the difference in value. In states with 6% sales tax, trading-in will save you a whopping $17K x 0.06 = $1K savings in taxes. Some buyers & sellers agree to "play" with the claimed value to minimize tax. You can only do so much..the state has guidlines that trigger flags.