If you're looking for an executive sedan and have a very reasonable budget in hand, you might want to stay away from that shiny spotless showroom. Rather than falling under the spell of a slick salesperson and signing a brand-new lease, you may want to go hunting for a three-year-old BMW 7 Series instead.After all, while one of these cars rolled out of that new dealer lot not so long ago with plenty of its own prestige, it now sits quietly on a nearby used lot at a price that is striking to see. And while this big BMW crashed in value quite fast, it's still quite special to live with, and it may just represent the best approach when you're in the mood for this type of car. A Three-Year-Old BMW 7 Series Is The Smart Luxury Play BMWBMW developed its 7 Series flagship sedan to impress CEOs, heads of state, and other luminaries. It would often cost more than six figures when you added in some of those must-have options, like high-end audio, premium leather, rear seat upgrades, and the best technology. But today, you can buy that same machine three years later, for around half of its original transaction price and even lower if you don't mind a less desirable color or are happy with higher miles.However, even though those three years have passed, this car will still feel thoroughly modern. It sits on the G70 generation 7 Series platform with loads of good cabin tech, driver assistance features, and connectivity. If you buy one today, you may be able to take advantage of some end-of-contract factory warranty or find a good car that qualifies for strong certified pre-owned coverage. Sadly for them, the first owner will have suffered a big depreciation hit, but they will also have seen to any early teething problems, so you can step in and take advantage of the calm and more predictable phase of this car's life.Once behind the wheel, you'll quickly see that this isn't just a bigger 5 Series. It has a chassis and an engine that are tuned to glide, as well as some serious sound deadening. The entire driving experience is more about effortless progress than track day frenetics, and you'll be able to sample BMW's best engineering work while paying for the monthly equivalent of a well-optioned crossover. The 7 Series Has Fallen Hard And That Value Drop Helps You BMW People in the industry know that the 7 Series is one of the industry's great depreciators and much of that may be to do with its expensive options list. You can often pay thousands extra for cosmetic upgrades, top-tier audio, and tech bundles, but the bold reality is that those upgrades add very little to the used car equation. This means that the car could easily creep into the six-figure range when first registered but can sit below the mid-five-figure range three years on. Our own CarBuzz Marketplace Price Trends tool places the average value of a '23 model at ever so slightly north of $60,000, with the lower end sitting under $50,000. That's based on almost 100 listings, so it's clear to see that choice is plentiful, making this a buyer's market.Many owners lease their 7 Series at first purchase, and these cars tend to go to people or companies who might care more about driving than worrying about resale or long-term costs. They often take out three-year leases, which, when those terminate, release a wave of nearly identical cars into the marketplace. Meanwhile, some buyers may be spooked by the thought of maintaining a mega-luxury BMW, which might narrow demand while supply is buoyant.Quickly, the car becomes a victim of its own previous success while prices sag accordingly.The depreciation curve on a 7 Series will start to flatten after the first three or four years, and if somebody steps in at around three years, they should miss the most painful part of the story. Falls in the future will tend to be smaller and easier to live with and not so crushing for someone who's paid a lot less to get their ride in the first place. What The 7 Series Represents BMW As you search you may well come across the 740i, which probably represents the sensible sweet spot in this story. This car has a turbo 3.0-liter inline-six with an eight-speed automatic, and it's a quintessential BMW through and through. It's got plenty of thrust where you need it and feels eager without being strained, while it's also not so hard on the pocket as its running costs don't have to carry the complexity of a V8 or a V12.Despite their undoubted size and weight, these vehicles ride and handle as they should. You'll find that the steering is light but precise and that the adaptive suspension works really well. Body control is quietly impressive, and you can choose to switch from comfort mode into sport if you want to firm things up without losing any underlying civility.Inside, this three-year-old 7 Series feels anything but dated. It has a wide digital instrument cluster and large infotainment screen, and most cars will probably have standard Apple CarPlay and Android Auto. You may often find a seriously impressive audio system from Bowers and Wilkins as well, while some cars will also have executive packages. These add reclining rear seats and individual climate zones with their own entertainment screens and tablet-style controls, and you might also get a car with a panoramic sunroof to round out your package. What To Watch For In Terms Of Reliability And Maintenance BMW It's all very well buying a three-year-old 7 Series for the price of a normal family crossover, but you've got to consider upkeep as well. Obviously, those bigger wheels will host more expensive tires while the larger and heavier brake components will be costlier to replace. This car does have sophisticated suspension and electronics that require careful attention to detail. And you will need to spend more on routine maintenance like oil changes and fluid services than you would for something more mainstream.The very good news is that the B58 turbo 3.0-liter inline-six is one of BMW's more robust modern engines. If you look after it carefully, you'll be able to take advantage of its smooth and mechanically less complex set-up compared to "vee" alternatives, and it does pair well with the ZF eight-speed automatic. However, these cars can be complex from an electronic point of view, featuring rear wheel steering on some trims, a mild hybrid system, and adaptive air suspension. Some owners reported early software glitches as well, though BMW addressed many of those with over-the-air updates.Pay particular attention to air suspension, as components here can eventually leak or wear out. Multimedia systems have been known to misbehave, and some previous owners report occasional electronic gremlins that are hard to chase down. Insist on a full-service history and look to see if any work was conducted under warranty.Don't be tempted to buy a three-year-old car with very low mileage as it's not always ideal to own a car that has just sat around. On the other hand, understand that ex-fleet or high-mileage examples could turn out to be harder on your long-term costs. But if you can find a vehicle that still has some of its warranty or comes with a good certified pre-owned program, this can give you plenty of peace of mind. It could turn a potentially terrifying "what-if" into a manageable covered expense.If you approach your task the right way, you can come away with a three-year-old BMW 7 Series that's a really compelling value play and not a scary money pit. Consider buying a well-cared-for, sensibly optioned 740i and don't worry too much about that new car smell. Instead, forget the perils of depreciation that come along with that new purchase and take advantage of this three-year-old opportunity instead.