Buying vs leasing a 2000 740i Sport

["Stephen Robinson" <stever@xxxxxxxxx>]

When I was waiting at the dealer yesterday, I was getting info on the 2000
740i sport and found that it would cost me $64,000 (without the heated
seats [I'm warmblooded], no heated steering wheel [no longer an option as
they are introducing a new sportier, smaller 3 spoke wheel on all Sept
production cars - no extra charge, no heating needed or available on it],
no sunshade [$740? you have to be kidding!], no active comfort seats [no
good on this model]).  I later talked to someone else who said they could
do it for $62,500- the owner of the repair place that fixes my 95 740i. 
Still, ALOT of money, as I could only get about $27,000 -$29,000 for my 95
740i with 74,000 miles on it.  I'd have to come out of pocket $40,000 to
get the car!  That too much damn money to get what's essentially a very
similiar, albeit better car.  THEN, the dealer pulled out the leasing
scenario, where I trade my car in or sell it myself and pay NOTHING for 2
whole years ($6800 down and $901 per month comes to about $28400, the
amount I'd get for my 95 740i), then, the last year of the 3yr/36k mi
lease, at 12,000 miles per year cap, I'd pay the $901 per month and be done
with it.  Total cost of "ownership", about $39,224 for 3 years use (my
trade plus $900 per month for the last year). It sounded great.

I was gleeming with happiness, as I don't really have $40,000 easily
available to buy the car, nor can I start paying on the car from day one at
$850 a month ($28,000 down [my 740i], and $850 a month for 5 years).  SO, I
ran the leasing scenario by a respected person I know (the owner of my BMW
repair shop), and he said, "unless you are in the 51% tax bracket, you
should NOT lease! - you spend $39,000 in 3 years and end up with NOTHING!" 
He told me to be patient and wait a year, till the 99's are coming off
leases, or till there are some used 2000's around, and let the original
owners get stuck with the heavy duty luxury taxes, the gas guzzler taxes,
huge depreciation, etc.  He said I should wait a year or so till I could
get one at around $40,000 - $45,000 and not lose so much money on the
lease.  This person who I asked owns the BMW service place I get my car
fixed at, so he MAY be biased a bit.  He can SELL me the car for $62,500
new ($1500 below the dealer's price - MSRP ~$67,320), but he doesn't do
leases.  He said to me "when you lease, you get the car from BMW, then it
goes to a leasing company, then it goes to you - don't you think the leasor
takes a HUGE chunk of money in the middle there?  ALWAYS buy, don't lease,
unless you are in that HUGE tax bracket of 50% or better and can write it
off more efficiently).  

Any comments?  Am I wasting the equity I have in my 95 740i (Aspen
Silver/Grey - nearly mint!) of $28,000 if I trade it in on a lease?
It seems like I am, after talking to this guy, but I wish I didn't have to
wait a year or more to own this beauty (looking to get the dark blue
metallic with grey leather or anthracite with grey as a 2nd choice).  

Confused in Silver Spring
Steve Robinson
1995 740i
1988 911

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