Go Back   Team-BHP > Around the Corner > Shifting gears


View Poll Results: Would a regular IT Joe be able to purchase a BMW in his life time ?
Yes 135 53.78%
No 116 46.22%
Voters: 251. You may not vote on this poll

Reply
 
Thread Tools Search this Thread
Old 4th August 2011, 23:23   #106
Senior - BHPian
 
KarthikK's Avatar
 
Join Date: Nov 2009
Location: Bangalore
Posts: 1,916
Thanked: 3,482 Times
Default Re: Can a regular IT Joe ever buy a BMW?

It is wrong to compare a regular salaried IT guy at the bottom rung with a company CEO and conclude that it is easier to buy a BMW if you are from finance or management stream (I saw some post like that in this thread). If the comment was made considering salaries for finance guys at companies like Goldman Sachs, etc, for IT we have the Google(s) and the Amazon(s) who can match those salaries and better them at entry levels by miles. By the way, most CEOs or top executives themselves don't purchase their BMWs and Mercs. They are given the car from the company's pocket with even fuel and driver's salary reimbursed.


Quote:
Originally Posted by RGK View Post
Not only an IT guy, anyone who earns 50k/month at the age of 25 can buy if
- The entire salary is only for himself.
- No monthly commitments like home loan EMI or sibling wedding/studies.
- No questions asked (by parents & wife) on the huge amount to be spent.
- Great passion towards automobiles.
I am a 25 year old "IT joe" and I satisfy all the 4 points you mentioned (not married yet so no wife trouble either) However, I too feel it is insane to spend so much money when we don't have the capacity to maintain it on a long term basis. And so, when I was to buy a new car I settled for the middle class guy's BMW - the t-jet.

When we talk about a BMW, we need to also keep in mind servicing, fuel costs and (not sure if someone mentioned this) the annual Insurance premium will itself cost a bomb - I am guessing anywhere between 60-70k per year. So what does a regular IT guy do? Start a new recurring deposit to fund his car insurance premium, a recurring deposit for his annual servicing bill, and another fund for his fuel costs? Not at all feasible.

Quote:
Originally Posted by dhawcash View Post

First things first, i ask myself, why would i want such an expensive vehicle? all i want is a vehicle which takes me from point A to point B in comfort. If a 3 series can do that, so can any D segment car. what plus will the BMW have? Power? no. they are fast, and i hear they handle great, but really they are no scorchers. and beemers with Ms in their names are a lot more expensive. Comfort? Yes, they are beautifully made and would really make me feel great whenever i go for a drive in it. but again, there are other cheaper (to maintain and maybe to buy too) options. so basically i'm paying for the status associated with the brand. I'll be the rockstar of any marriage ceremony or social function i attend. my friends would be happy. neighbours would be jaelous i suppose. People will refer to me as ' the bloke with the beemer'. Okay that would feel good. it'll buy me respect in the society.
But i have a feeling it would all fade away very soon. would get used to it in no time, and would get bored of it. after a while, some 'NEW' 3- series would be on the roads. and i'll be the one with the ' puraane wala ' model. wont feel good then. i know this because i have witnessed that when the new E class comes, the old model gets no respect. maybe this is not the case with TBHPians, but taking the whole society, it is. Then i'll be trapped. I can't get another beemer any time soon. Selling it means goin for a huge loss. So at this stage, i have a car which does everything well, and so do other korean/japanese cars. nothing very extraordinary about it. feel like modding it to make it feel fresh again, but the mods would only bring in a fresh interior/exterior, and maybe a few extra horses. Nothing that would keep me interested for long.
So, no thank you BMW, I'll rather buy a 4x4 which i could really enjoy without fear of burning a hole in my pocket. Along with a Decent D segment sedan for the social outings. And they will keep me happy. And i'll be known as the ' passionate bloke'.my children would be proud of their 'hardcore jeeplover offroader' dad. Will go to OTRs with my offroading buddies. now that would make me happy. and life is about being happy, not about buying and maintaining an attractive looking headache inducing box on wheels.
I completely echo these thoughts. I would rather prefer owning multiple cars from different segments based on the purpose they serve, an SUV for those rough drives/off roading ventures, a hatchback for city shopping, a sedan for the family outing, etc. than owning 1 big, exotic car for 40L and then crying my eyes out everytime an autowalla scrapes my bumper or small kid bangs into my mirror with the bicycle handlebar in my apartment basement, where even the minute repairs are guaranteed to run into 5 or even 6 digit costs!

Last edited by KarthikK : 4th August 2011 at 23:50.
KarthikK is offline   Reply With Quote
Old 4th August 2011, 23:28   #107
Senior - BHPian
 
akshay4587's Avatar
 
Join Date: Mar 2005
Location: Chandigarh/Mohali/Ambala Cantt
Posts: 3,759
Thanked: 1,534 Times
Default Re: Can a regular IT Joe ever buy a BMW?

Quote:
Originally Posted by Live To Jive View Post
I see some people saying that with a 50K salary, you can buy a BMW. You can but provided you have 10L already in savings for the downpayment and can live (food, shelter & fuel) on under 10K per month. That's because your EMI will be around 40K.
+1,and one would have to manage fuel in that 10K too.
Its impossible to purchase and maintain a Beemer for someone who is earning 50K per month.
Unless he has 30-35L cash reserves to pay upfront.
akshay4587 is offline   Reply With Quote
Old 5th August 2011, 00:08   #108
BHPian
 
man_and_machine's Avatar
 
Join Date: Aug 2008
Location: Bangalore
Posts: 429
Thanked: 215 Times
Default Re: Can a regular IT Joe ever buy a BMW?

Yes. You will be able to buy one!

1. By the time you save money to buy one (say you save about 2 L per year, invest it so that it grows), from 21 then when you are say you are 31 you will be able to buy one. The question is at 31 will you better half allow you to buy a 25L car just to get from place A to place B when are so many other priorities (like one in the diper :-) ). If you marry one of the fellow team-bhp'ns then you really stand a chance :-)
2. Okay fun apart, yes there are some IT companies which allow company car policies. Meaning the company buys the car on your behalf and you get to pay and EMI the best part is that the whole amount is financed by the company (not you) and you pay an EMI that is TAX exempt! so you play pay an effective EMI of 70% :-) !. How does it work well a 20 Lakh car will have an EMI of 40K pm. you will need to pay effective 0.7 X 40 = 28 K. So you afford such a car your salary will need to be in the range of 20 - 25L, which is doable in 15 years (say when you are 36 still young for a spin!). Well, find such an IT firm and work hard!
3. Its also a middle mgmt. retention plan from good IT firms where there have such policies.
4.As pointed our already in this forum if you have worked abroad for a few years then you surely can afford one (pre-worshiped is also doable).

All that I can say is this, if you want one you "should" aim for one! IT or not if you are samrt and hard working you its like writing "hello world!", don;t you agree!
man_and_machine is offline   Reply With Quote
Old 5th August 2011, 00:13   #109
BHPian
 
Join Date: Jul 2011
Location: Hyderabad
Posts: 31
Thanked: 11 Times
Default

Quote:
Originally Posted by R2D2 View Post
Ok, let me add my 2p here - I am one of the regular IT Joes/slaves, at a senior level. Very seriously considered a BMW 320D and dropped the idea because:

a) My current car runs without hassles (Altis) and not very old <3 years.
b) Most importantly I have other priorities.

That said, owning a BMW especially a 530d (I used to commute in a colleague's 530d whilst in the UK) is a dream and I hope to make it come true some day

Feedback on TBHP detailing their German car ownership experience is scary. I am not comfortable with cars that run like rockets but are unreliable and cost a bomb to maintain over the medium to long term. Can I afford to maintain a Beemer? Yes, I can. But my expectations in performance, reliability and quality rise exponentially with the price I pay for my car. And on most counts the Germans have lost out on reliability to the Japs and dare I say the Koreans.

Ergo, a Beemer does not make sense to me at this point in time.

Regards,

PS - I voted No because IMHO BMW is NOT an ordinary IT Joe's car.
Cent per cent agree with you Sir!

Quote:
Originally Posted by penpavan View Post
Very valid. Even if somebody gave that loan, somehow people feel it is worth to carry the burden of a 50L loan over 20 years for a HOME than 20 lac loan over 20 years for a car.

After all, house you buy for lifetime, BMW can still be replaced.

You won't get a 20 year term Auto Loan to buy a car anywhere in the world.

Last edited by Technocrat : 5th August 2011 at 02:02.
vineet@bulbule is offline   Reply With Quote
Old 5th August 2011, 10:14   #110
BHPian
 
Join Date: Dec 2009
Location: Bangalore
Posts: 41
Thanked: Once
Default Re: Would a regular IT Joe be able to purchase a BMW in his life time ?

But this would also imply that prices of BMW or Merc Remain the same for the next 15 years which doesnt seem likely.

Considering that Mercedes E Class was selling in mid 30s 15 years back and now they cost around 50 on road, i would assume in 15 more years mercedes C class might cost atleast 45L ..so you might have to wait few more years

Quote:
Originally Posted by Rachit.K.Dogra View Post
So the cheapest 3 series should completely cost around 32-34 lakhs. I am not considering here the corporate edition. So that means when one's annual salary is around 35 Lakhs then one can think of getting a beemer. Now if you would ask me when can I imagine me getting 35 lakhs per year. Well I already have 3.5 yrs of exp and I think if all goes well i should be getting that some of money after 12 - 14 years. At that point I would be around 42 years. Well I guess yes one can buy but when he would be in a position to buy such a thing his age to enjoy that thing would have passed. Thats the irony...
baluundertaker is offline   Reply With Quote
Old 5th August 2011, 11:26   #111
BHPian
 
sadnabrina's Avatar
 
Join Date: Oct 2005
Location: Kolkata
Posts: 347
Thanked: 105 Times
Default Re: Would a regular IT Joe be able to purchase a BMW in his life time ?

Quote:
Originally Posted by DukeSan27 View Post
Yes, see my sig below, and being in dink/diok category would help a lot.
DINK/DIOK - That is two persons buying a BMW.
The sad part is a lot of salaried guys are the "SITK" types who end up saving/spending for the flat / bunglow, education, gadgets etc.
sadnabrina is offline   Reply With Quote
Old 5th August 2011, 11:50   #112
BHPian
 
taranonline's Avatar
 
Join Date: Nov 2008
Location: India
Posts: 279
Thanked: 105 Times
Default Re: Can a regular IT Joe ever buy a BMW?

Well here's my story. I work for myself in the IT field and bought my BMW before my 23rd birthday. I mean last year.
taranonline is offline   Reply With Quote
Old 5th August 2011, 12:06   #113
Distinguished - BHPian
 
supremeBaleno's Avatar
 
Join Date: Dec 2005
Location: Weekdays@Chennai, Weekends@Kerala
Posts: 5,136
Thanked: 1,563 Times
Default Re: Can a regular IT Joe ever buy a BMW?

Now, that's something @taranonline. Congrats !!!
You could elaborate on your story though. Would help other future BMW buyers.

BTW, the world is too small a place. Guess what : The guy whom I quoted as an example of "Live life kingsize" in Pg-2 of this thread, happened to stumble upon this thread (so I guess he is aiming for the Beemer next) and made the association with him - I guess based on the Contessa/Captiva link, since he does not know me as SupremeBaleno.
supremeBaleno is offline   Reply With Quote
Old 5th August 2011, 12:20   #114
BHPian
 
mmxylorider's Avatar
 
Join Date: Feb 2010
Location: LA, CA
Posts: 653
Thanked: 176 Times
Default Re: Can a regular IT Joe ever buy a BMW?

Quote:
Originally Posted by KarthikK View Post
I completely echo these thoughts. I would rather prefer owning multiple cars from different segments based on the purpose they serve, an SUV for those rough drives/off roading ventures, a hatchback for city shopping, a sedan for the family outing, etc. than owning 1 big, exotic car for 40L and then crying my eyes out everytime an autowalla scrapes my bumper or small kid bangs into my mirror with the bicycle handlebar in my apartment basement, where even the minute repairs are guaranteed to run into 5 or even 6 digit costs!
Well Said! and this is exactly where I am. Combined cost of my 2 wheelers was less than 12L and benefit of choice when going out.
I have witnessed a biker scraping a BMW and escaping and all the driver/owner could do was get out and scream his lungs out.
mmxylorider is offline   Reply With Quote
Old 5th August 2011, 12:52   #115
BHPian
 
microaubin's Avatar
 
Join Date: Jun 2011
Location: Kottayam
Posts: 155
Thanked: 112 Times
Default Re: Can a regular IT Joe ever buy a BMW?

Of course, an IT guy can purchase a 32 Lac car. With all the attractive finance schemes like Low EMI scheme , 0% Interest schemes, 7 year tenures and select offers its not that difficult.

Maintaining is another issue which really bleeds you. But having said that BSI for BMW and such schemes really help you cushion the shock effect to a large extent. The price of some of the spares of these luxury marques will numb your senses.

When Tata Estate, Ceilo and later even the Ford Escort arrived it was the forte of the rich then. Even 5 years ago Mercs were not that common. But now the number of luxury marques on the road amazes you. So anything can happen in the next 10 years!!

Then again it all depends on your current priorities:

A 32 lac BMW you can sell for 15 lacs after 5 years while a 32 lac piece of real estate you can probably sell for 55 or 64 lacs after 5 years. (Even if you are a die hard BMW fan the second one would look a lot more better.Add your wife and parents to the equation..bye bye BMW)

By the time you are 32, you might have 2 or more kids, their education, expenses etc surely will take a big chunk out of your income.

So I guess a guy can surely own one if its one of his main priorities.

P.S:Personally I happen to know several people who own BMW's, Audi's and Merc's in India. These are successful businessmen by profession who already have palatial homes to complement their luxury cars in addition to several pieces of real estate holdings. More importantly they have the regular running cash flow to maintain it.
microaubin is offline   Reply With Quote
Old 5th August 2011, 12:57   #116
BHPian
 
Daewood's Avatar
 
Join Date: Dec 2009
Location: Chennai
Posts: 943
Thanked: 223 Times
Default Re: Can a regular IT Joe ever buy a BMW?

If the only JOY in this world was buying a Beemer all of us would buy it someday. But it's not so.

Going by the different threads here in T-BHP, we also have other interests in which we splurge like Travelling, exotic hotels, Gadgets, Audio-Video gear, Fashion accessories, etc, etc
If you keep an account of all the splurges you made in your working period (25-55 years), that amount will easily surpass the price of a Beemer.

That's the reason an average Joe might never buy a new Beemer.

Last edited by Daewood : 5th August 2011 at 12:58.
Daewood is offline   Reply With Quote
Old 5th August 2011, 13:05   #117
RGK
Senior - BHPian
 
RGK's Avatar
 
Join Date: Feb 2010
Location: DPM and CHN
Posts: 1,351
Thanked: 200 Times
Default Re: Can a regular IT Joe ever buy a BMW?

Quote:
Originally Posted by KarthikK View Post
I am a 25 year old "IT joe" and I satisfy all the 4 points you mentioned (not married yet so no wife trouble either) However, I too feel it is insane to spend so much money when we don't have the capacity to maintain it on a long term basis. And so, when I was to buy a new car I settled for the middle class guy's BMW - the t-jet.

When we talk about a BMW, we need to also keep in mind servicing, fuel costs and (not sure if someone mentioned this) the annual Insurance premium will itself cost a bomb - I am guessing anywhere between 60-70k per year. So what does a regular IT guy do? Start a new recurring deposit to fund his car insurance premium, a recurring deposit for his annual servicing bill, and another fund for his fuel costs? Not at all feasible.
Agreed to a certain extent. Do not add Fuel costs - it is a recurring expense for all vehicles.
The only problem here in the luxury segment is the Insurance Premium. Nowadays it is becoming common to see "Laura" owned by "IT Joe's".
Innova's and Scorpios are driven plenty by IT guys. Need to keep in mind that "car debt" freezes after the purchase and the salary increases every year (generally).

The "uncertainty" in the IT industry refrains to go for a high value purchase.These type of purchases may even push an individual to put more efforts and come up soon in life - These are other sides of the coin.

I don't see feasibility a major constraint if the person earns more and has all the freedom to spend. The mindset to spend a huge amount is the question mark. It is a question of time to see luxury vehicles in the hands of professionals (if India continues to grow).

Buying more number of cars in lieu of a luxury vehicle purely depends on individuals.
RGK is offline   Reply With Quote
Old 5th August 2011, 15:27   #118
BHPian
 
SinghBHP's Avatar
 
Join Date: Apr 2010
Location: New Delhi
Posts: 68
Thanked: 12 Times
Default Re: Can a regular IT Joe ever buy a BMW?

I would say "Yes" he can because even if you get the normal increments each year (10 % - 15 %) for next 10 yrs add to it One or Two Job hops during these 10 years. You will be at a salary around or above 16 - 17 lacs PA
Salary.
But Question is what are you priorities ?

Ex - One of my known one (IT Joe) Owns a house in Noida , has another house in New Delhi on rent, earns around "6 Lacs" PA. Has no liabilities. But....... But drives an 11 year Old Non/AC Rusted Maruti 800 . And is planning to buy a car within the budget of 5 lacs from last 2 years.

His Priorities : (1) Do not want to take loan. (2) Want to make investments of 1 lacs for tax savings each year.
SinghBHP is offline   Reply With Quote
Old 5th August 2011, 15:57   #119
BHPian
 
Join Date: Oct 2010
Location: Mumbai
Posts: 101
Thanked: 15 Times
Default Re: Can a regular IT Joe ever buy a BMW?

Firstly, it's great to see such an active conversation happening around a subject like this.
It would definitely give an insight to younger BHPian's while making choices for the future and achieving their goals.

Also, while trying not to sound preachy, I would say that 'Yes', because with the kind of education available these days and options abundant to everyone, the dream can true for most of us.

I guess we all just need to remember what someone once said, 'Rome wasn't built in a day'.
Kartik Krishnan is offline   Reply With Quote
Old 5th August 2011, 18:25   #120
BHPian
 
kunalsb's Avatar
 
Join Date: Apr 2011
Location: Bhopal/Mumbai
Posts: 69
Thanked: 60 Times
Default Re: Can a regular IT Joe ever buy a BMW?

Buying maybe possible but it will be difficult to maintain the car. Also the BMW may come at the cost of some investment viz. property etc. Actually many of us can buy a BMW if we only listen to our heart but sound decisions are made taking your mind into account.
kunalsb is offline   Reply With Quote
Reply


Thread Tools Search this Thread
Search this Thread:

Advanced Search


Similar Threads
Thread Thread Starter Forum Replies Last Post
Debate: >4k rpm band useless for regular driving and for regular joe drivers nukeblitz Technical Stuff 87 10th August 2011 11:59
Have you ever played full volume of your ICE? Ever?? xingamazon In-Car Entertainment 27 5th January 2011 02:41
Spotted the smallest BMW, ever! - The BMW Isetta clevermax Beyond Borders 18 6th April 2008 02:10
Joe Satriani Is Comming! - News for rockers!!! Scuderia Shifting gears 25 18th May 2005 17:44


All times are GMT +5.5. The time now is 03:40.

Copyright 2000 - 2017, Team-BHP.com
Proudly powered by E2E Networks