Re: EXTENDED WARRANTY(97'm3)/ help/need feedback

[Vadim Dubinsky <dubinsky@xxxxxxxxxxxxx>]

>I have seen several messages on the digest in ref. to the pros and cons of
>extended warranties. I have been considering one for several weeks and must
>decide this week due to a large price increase coming on Feb. 1st. My m3
>still has two years of factory warranty left and has 15,000 miles on at this 
>time.  The warranty  I 'm considering is The Plan, costing $1580 for 7 years 
>(from date of purchase)/100,000 miles bumper to bumper coverage with $50 
>deductable.  I NEED THE FOLLOWING HELP?
>- -----How many of you have or have had an extended warranty and has it paid 
>for itself?
>- ------In terms of resale does it pay for itself ? My cars are always like 
>new when sold and I always sell them myself rather then trade. Is the ext.  
>warranty a real big selling feature to a prospective buyer ?
>

I don't have clear answers for you.  I can only share my experience and
thoughts on the subject.

I bought a '93 M5 with a DFS extended warranty, similar to what you're
considering.  The seller thought it was a major selling feature.  I, on the
other hand, couldn't care less.  It mattered to me more that the car get a
clean bill of health from the pre-purchase inspection, which it got.  I
bought the car and immediately performed a service 2 inspection, which cost
me a fortune and none of it was covered by DFS.  I thought that was fair.
There was one oil leak uncovered, which DFS paid for ($250), but that's it.
 Now, it looks like the rear transmission seal is leaking and I'm told that
DFS should cover it.  We'll see.  M5s can be very expensive to own and
maintain.  I'm now glad I have some peace of mind with that car.  

So the 1580 dollar question is, would I pay that much for an extended
warranty for my other car, a '97 M3 with 12K miles.  The answer is probably
no.  My rationale, I'm now hesitant to modify the car in any way (although,
like most hot-blooded M3 owners I have plans), while it's still under
factory warranty.  Why would I want to extend my wait further?  M3's repair
bills can also be high, but shouldn't be as bad as M5's.  I take good care
of my M3 and I'm willing to take my chances.  If your perspective buyer is
a do-it-yourselfer or a performance nut, she probably won't care about the
warranty.

Good luck with your decision.

- - Vadim

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