|
I've done select financing with two MINIs, a 135i, and my current M4. The balloon payment is a fixed amount determined at the time of purchase. I'm not sure if it's based on MSRP or selling price. You can also refinance the balloon at the end of the term, effectively giving you a 9 or 10 year finance. Each time I've done this, I put a large amount down, so I've never been upside down on the loan, and each time I was able to trade in the car for what I owed, or slightly higher. The first car I traded in early after two years, and the last two cars I refinanced the balloon for a similar or lower payment, and shortly after traded in on something new. It's not for everyone, and putting a good chunk down is key to not getting stuck upside down, but it's allowed me to buy a car that would otherwise be above my pay grade.
|