Howdy, Stranger!

It looks like you're new here. If you want to get involved, click one of these buttons!





2014 BMW 4-Series Lease Questions

1235723

Comments

  • konacougkonacoug Kailua-KonaPosts: 194
    It is the total payment including taxes
  • callalindcallalind Posts: 6

    Thoughts on this deal? 428xi, MSRP of $45,325, negotiated selling price to $43,728...12K miles, 36 months, (RV of 62% and MF of .00130), total monthly payment of $574.92.

  • kyfdxkyfdx Posts: 30,594

    @callalind said: Last question - is the MSD based off the base monthly payment (before taxes)?

    Each MSD is the full payment rounded up to the next $50 increment. In my experience, it's the full payment (including tax or anything else.... what you get billed for each month), after the money factor reduction. Though some others have had their dealer insist that it's the payment calculated before the MSD reduction. (I think that's wrong).

    MODERATOR
    Prices Paid, Lease Questions, SUVs

  • MichaellMichaell ColoradoPosts: 7,389

    @berzerk91 said: Wow fdg1, are you sure the selling price is that low on an order -without a cap cost reduction or MSDs? That's insane! There are two people I can recommend to you: I ended up purchasing my car from Art Youmann at JMK BMW out in NJ: ayouman@jmkbmwsaab.com and from the other dealership - Alan Himmelfarb at Wide World BMW - I didn't buy from him but he did give me the deal I mentioned previously.. $620, Black vehicle. You can mention my name with Art: Steve. I bought my car off the lot, I've had it for less than a week and I'm in love, good luck! Let me know if you get in touch with my dealer :)

    Please - no last names or specific contact information should be posted.

    MODERATOR
    2013 Hyundai Elantra GT / 2010 Mazda CX-7 GT / 2014 MINI Countryman S ALL4
    Need help navigating? michaell@edmunds.com - or send a private message by clicking on my name.
    Share your vehicle reviews

  • agentbb007agentbb007 Posts: 6

    Hi kyfdx, Do you have the latest residual, money factor for 2014 435i xDrive 10k miles 36 months? Thanks! BB

  • kyfdxkyfdx Posts: 30,594

    @agentbb007 said: Hi kyfdx, Do you have the latest residual, money factor for 2014 435i xDrive 10k miles 36 months? Thanks! BB

    .00130 MF and 63% residual

    MODERATOR
    Prices Paid, Lease Questions, SUVs

  • rmt3rmt3 Posts: 24

    Do you have the money factor and residual for 36 months 12K miles for a 2014 428i convertible? Thanks! RM

  • kyfdxkyfdx Posts: 30,594

    @rmt3 said: Do you have the money factor and residual for 36 months 12K miles for a 2014 428i convertible? Thanks! RM

    .00130 MF and 62% residual

    MODERATOR
    Prices Paid, Lease Questions, SUVs

  • rmt3rmt3 Posts: 24
  • bertsant17bertsant17 Posts: 3

    Please offer thoughts on this 36month/15k miles lease deal for an automatic 428 coupe with M-Sport package and drive:

    -Selling price of $51,540 ($1k over invoice) -Money factor of .08 (after max MSD)...originally 1.3 -Residual of $32,610...60% -Monthly payment of $671 (tax included)

    There is also an option of $5k down without MSD and that reduces the payments to $602.

    Any help would be appreciated...

  • kyfdxkyfdx Posts: 30,594

    @bertsant17 said: Please offer thoughts on this 36month/15k miles lease deal for an automatic 428 coupe with M-Sport package and drive:

    -Selling price of $51,540 ($1k over invoice) -Money factor of .08 (after max MSD)...originally 1.3 -Residual of $32,610...60% -Monthly payment of $671 (tax included)

    There is also an option of $5k down without MSD and that reduces the payments to $602.

    Any help would be appreciated...

    With an MSRP of $54,350, I get a payment of $615/mo. plus tax. That assumes the $725 acquisition fee is rolled into the CAP cost.

    Reconciling that with your quote will require your state and tax rate, and also a breakdown of the amount due at signing.

    Making a downpayment, instead of MSDs will result in a lower payment, but will be more money out of your pocket in the long run. You get the MSDs back.

    MODERATOR
    Prices Paid, Lease Questions, SUVs

  • bertsant17bertsant17 Posts: 3

    @kyfdx@Edmunds said: With an MSRP of $54,350, I get a payment of $615/mo. plus tax. That assumes the $725 acquisition fee is rolled into the CAP cost. Reconciling that with your quote will require your state and tax rate, and also a breakdown of the amount due at signing. Making a downpayment, instead of MSDs will result in a lower payment, but will be more money out of your pocket in the long run. You get the MSDs back.

    Thanks for the reply. Fair deal then?

  • suzyb1suzyb1 Posts: 3

    Hi all...trying to lease a 428i in CA & don't wanna get screwed. Please let me know if this is a good deal: 428i w/ M sport package, Navigation, Xenon lights (having them include satellite radio in the deal) MSRP $47,575 Invoice $44,740 MF .00130 Residual .62 Acq fee $725

    36 month lease/ 12k miles/ $5,000 down/ $450 payments/ $29,972.25 purchase option after 36mos 5k down includes cap reduction, license fee, first payment, acq fee and tax on cap

    I read about MSD's here but don't really understand it, is it something I could do and benefit from according to the deal above? Please help asap, thanks!

  • MichaellMichaell ColoradoPosts: 7,389

    @suzyb1 said: Hi all...trying to lease a 428i in CA & don't wanna get screwed. Please let me know if this is a good deal: 428i w/ M sport package, Navigation, Xenon lights (having them include satellite radio in the deal) MSRP $47,575 Invoice $44,740 MF .00130 Residual .62 Acq fee $725

    36 month lease/ 12k miles/ $5,000 down/ $450 payments/ $29,972.25 purchase option after 36mos 5k down includes cap reduction, license fee, first payment, acq fee and tax on cap

    I read about MSD's here but don't really understand it, is it something I could do and benefit from according to the deal above? Please help asap, thanks!

    MSD's are used to reduce the money factor. Your post above shows that the dealer is using the base money factor (.00130) and acquisition fee ($725). Both of these are often marked up by the dealer for extra profit.

    How much of the $5K is going to cap reduction? What is the actual selling price?

    MODERATOR
    2013 Hyundai Elantra GT / 2010 Mazda CX-7 GT / 2014 MINI Countryman S ALL4
    Need help navigating? michaell@edmunds.com - or send a private message by clicking on my name.
    Share your vehicle reviews

  • suzyb1suzyb1 Posts: 3
    I don't really know anything about the cap reduction. Any information would help. I believe the actual price is $51k & some change, I don't have the exact # at the moment.
  • MichaellMichaell ColoradoPosts: 7,389

    @suzyb1 said: I don't really know anything about the cap reduction. Any information would help. I believe the actual price is $51k & some change, I don't have the exact # at the moment.

    The cap reduction is similar to a down payment to reduce the amount that is financed through the lease. Unlike a purchase, it's not usually a good idea to put a large amount of money down on a lease - if the car is stolen or totaled, you are out that money.

    The quoted payment of $450/mo would be higher if the cap reduction is not part of the transaction - for example, on a 36 month lease, a $1000 cap reduction would reduce the payment amount by about $30/mo.

    It's much better to do one or more security deposits (MSD) that will reduce the money factor - unlike a cap reduction, the security deposits are refunded at the end of the lease.

    MODERATOR
    2013 Hyundai Elantra GT / 2010 Mazda CX-7 GT / 2014 MINI Countryman S ALL4
    Need help navigating? michaell@edmunds.com - or send a private message by clicking on my name.
    Share your vehicle reviews

  • suzyb1suzyb1 Posts: 3
    Thanks for the info...so if I wanted to do the deal I mentioned, what do I need to tell the dealer at this point? I don't want my payments to be higher than $450 & I don't want to put any more than $5000 out of pocket up front (prefer $4k or lower). I'd like some of that 5k down to be MSD's so I can get it back but not sure how to tell the dealer.
  • MichaellMichaell ColoradoPosts: 7,389

    @suzyb1 said: Thanks for the info...so if I wanted to do the deal I mentioned, what do I need to tell the dealer at this point? I don't want my payments to be higher than $450 & I don't want to put any more than $5000 out of pocket up front (prefer $4k or lower). I'd like some of that 5k down to be MSD's so I can get it back but not sure how to tell the dealer.

    The best approach would be to roll as much of the fees, etc. into the cap cost, then use MSD's to reduce the money factor.

    Not sure that you can get to your target of $450 that way, but the use of MSD's means that you'll get a lower money factor - and you will get that money back at the end of the lease.

    MODERATOR
    2013 Hyundai Elantra GT / 2010 Mazda CX-7 GT / 2014 MINI Countryman S ALL4
    Need help navigating? michaell@edmunds.com - or send a private message by clicking on my name.
    Share your vehicle reviews

  • bertsant17bertsant17 Posts: 3

    @suzyb1 said: Hi all...trying to lease a 428i in CA & don't wanna get screwed. Please let me know if this is a good deal: 428i w/ M sport package, Navigation, Xenon lights (having them include satellite radio in the deal) MSRP $47,575 Invoice $44,740 MF .00130 Residual .62 Acq fee $725

    36 month lease/ 12k miles/ $5,000 down/ $450 payments/ $29,972.25 purchase option after 36mos 5k down includes cap reduction, license fee, first payment, acq fee and tax on cap

    I read about MSD's here but don't really understand it, is it something I could do and benefit from according to the deal above? Please help asap, thanks!

    Where did you find an M sport with an invoice of 44k+?

  • double_adouble_a Posts: 5

    I was quoted a money factor of .00130. I do not have cash flow problem, but wanted to lease for the flexibility to return the car in three years. I have two questions, 1) I am considering paying the three year lease payments in advance. I keep reading it is a bad idea but I am not sure I understand why? If the car is totaled I would owe the residual plus the payments, is this "risk" any greater than if I just purchased the car?. My second question is the dealer marked down the rate from 001300 to .00090 which is 00040 difference. This seems a little low for a prepay. I do not think my state allows for MSD. Thanks

  • double_adouble_a Posts: 5

    Please forgive me as I feel like I am talking to myself. If I paid the entire lease upfront the only interest charge should in theory be on the residual value. I back solved for their quoted payment without taxes at 36 months they are charging me 5.52% interest rate. Maybe the dealer is uplifting to force me into 36 flat payments but seems high and/or BMW does not want to promote upfront payments. This is a bad deal.... plus the risk of totaling the car.

  • MichaellMichaell ColoradoPosts: 7,389

    @double_a said: Please forgive me as I feel like I am talking to myself. If I paid the entire lease upfront the only interest charge should in theory be on the residual value. I back solved for their quoted payment without taxes at 36 months they are charging me 5.52% interest rate. Maybe the dealer is uplifting to force me into 36 flat payments but seems high and/or BMW does not want to promote upfront payments. This is a bad deal.... plus the risk of totaling the car.

    5.52% is equivalent to a MF of .0023, so yes, much higher than the standard MF of .00130.

    I'm not certain if a pre-pay lease is subject to the same risks as a large cap reduction should the car be stolen or totaled.

    Why are you looking to do a pre-pay lease vs. a regular pay-as-you-go lease?

    MODERATOR
    2013 Hyundai Elantra GT / 2010 Mazda CX-7 GT / 2014 MINI Countryman S ALL4
    Need help navigating? michaell@edmunds.com - or send a private message by clicking on my name.
    Share your vehicle reviews

  • juanmigueljuanmiguel Posts: 1

    Hey guys, I am new here and I need some help!! I am trying to lease a 428i MSRP 54050, for 36 months and 10k miles per year. Im giving 2500 down plus taxes and all the fees, and they are asking me for $540 a month without taxes. Is it a good deal?? I also asked them about the MSDs and they told me they dont do that. Im in south florida.

  • MichaellMichaell ColoradoPosts: 7,389

    @juanmiguel said: Hey guys, I am new here and I need some help!! I am trying to lease a 428i MSRP 54050, for 36 months and 10k miles per year. Im giving 2500 down plus taxes and all the fees, and they are asking me for $540 a month without taxes. Is it a good deal?? I also asked them about the MSDs and they told me they dont do that. Im in south florida.

    Do you know what money factor they are using?

    Usually not a good idea to put money down to reduce the payment .. if the car is stolen or totaled, you are out that money. Try to minimize your out of pocket to as close to the payment amount as possible.

    Lastly, Florida is known for some extremely high dealership fees ($500-700), so make sure your selling price is low enough to negate some of that profit.

    MODERATOR
    2013 Hyundai Elantra GT / 2010 Mazda CX-7 GT / 2014 MINI Countryman S ALL4
    Need help navigating? michaell@edmunds.com - or send a private message by clicking on my name.
    Share your vehicle reviews

  • panfam007panfam007 Posts: 3

    Any changes to RV and MF on 435 in April?

  • kyfdxkyfdx Posts: 30,594

    @panfam007 said: Any changes to RV and MF on 435 in April?

    435i coupe: .00130 MF and 60% residual for 36mo, 15K/yr

    MODERATOR
    Prices Paid, Lease Questions, SUVs

  • rmt3rmt3 Posts: 24

    I have posted this on a different thread and it may have been the wrong thread. I apologize for the repeat posting, but I am trying to get an answer asap.

    I am looking to lease a 428i convertible in the Memphis, TN area with the following: Mineral grey metallic, black Dakota leather, brushed aluminum trim, cold weather package, driver assistance package, premium package, technology package, Harman/Kardon suround sound system.

    I have been offered a $1,500 discount from MSRP but when the sales person showed me the lease breakdown it was the following:

    Lease term: 36 months/12,000 miles

    MSRP $58,450 Sales price: $56,950 (Initial cap cost) Add cap cost: $925 Adjusted Cap cost: $57,875 Base monthly rental: $742.17 Total initial fees: $429 Due at signing: $1,396.75 Money factor 0.00150 Residual: 62% Tax: 7% in TN Total monthly payments: $794.12

    I feel I can do better, and I am concerned about the $925 add cap cost. I have been speaking with three different dealers in different parts of the country and there seems to be an issue with car allocations.

    Any thoughts would be very helpful. I would appreciate a comment as soon as possible. Thanks RM

  • kyfdxkyfdx Posts: 30,594

    @rmt3 said: I have posted this on a different thread and it may have been the wrong thread. I apologize for the repeat posting, but I am trying to get an answer asap.

    I am looking to lease a 428i convertible in the Memphis, TN area with the following: Mineral grey metallic, black Dakota leather, brushed aluminum trim, cold weather package, driver assistance package, premium package, technology package, Harman/Kardon suround sound system.

    I have been offered a $1,500 discount from MSRP but when the sales person showed me the lease breakdown it was the following:

    Lease term: 36 months/12,000 miles

    MSRP $58,450 Sales price: $56,950 (Initial cap cost) Add cap cost: $925 Adjusted Cap cost: $57,875 Base monthly rental: $742.17 Total initial fees: $429 Due at signing: $1,396.75 Money factor 0.00150 Residual: 62% Tax: 7% in TN Total monthly payments: $794.12

    I feel I can do better, and I am concerned about the $925 add cap cost. I have been speaking with three different dealers in different parts of the country and there seems to be an issue with car allocations.

    Any thoughts would be very helpful. I would appreciate a comment as soon as possible. Thanks RM

    The money factor is marked up from .00130, and the acquisition fee is marked up to $925 from the base of $725. Those two items are adding about $27/mo, post-tax to your lease payment (close to $1000, total).

    MODERATOR
    Prices Paid, Lease Questions, SUVs

  • rmt3rmt3 Posts: 24

    Thank you so much for your fast response. How about the discount, I can't seem to be able to do better, because the other dealers are weary to quote anything until they have an allocation. I also checked your website and the discount is within your best price recommendations. I am wondering how other members of this forum were able to get the larger discounts for the same car.

  • kyfdxkyfdx Posts: 30,594

    @rmt3 said: Thank you so much for your fast response. How about the discount, I can't seem to be able to do better, because the other dealers are weary to quote anything until they have an allocation. I also checked your website and the discount is within your best price recommendations. I am wondering how other members of this forum were able to get the larger discounts for the same car.

    Since you are actively shopping for the vehicle, you'll know more about the current market than I do... This dealer gave a $1500 discount, but took back $1000 in the finance office.. You may need to introduce some competition, or at least make your dealer think that you are.

    MODERATOR
    Prices Paid, Lease Questions, SUVs

Sign In or Register to comment.