2014 BMW 3-Series Lease Questions

bm3fan

Hi. I'm interested in a 328gt or 335gt. May I ask what the MF and residual are for 3 year lease for 12k and 15k miles please?

kyfdx

@bm3fan said:
Hi. I'm interested in a 328gt or 335gt. May I ask what the MF and residual are for 3 year lease for 12k and 15k miles please?

.00130 MF and 61% residual for 36mo, 15K/yr lease. Add 2% for 12K/yr.

$1000 option credit.

bm3fan

@kyfdx@Edmunds said:
$1000 option credit.

You rock! Thank you so much for helping us all.

bm3fan

The dealer I'm working with offers 10% off MSRP, which reflects the "true market value" of the car. When dealers do this, do I have the negotiating power to ask for the $1000 option credit on top of this discount since the 10% off is always there?

Michaell

@bm3fan said:
The dealer I'm working with offers 10% off MSRP, which reflects the "true market value" of the car. When dealers do this, do I have the negotiating power to ask for the $1000 option credit on top of this discount since the 10% off is always there?

You have the negotiating power to ask for anything you want ... it takes two to make a deal.

As the saying goes, "If you don't ask, you don't get".

kzevo

What is the MF and residual for a 10k 36month lease on a 328i xdrive for May. Also any incentives? Thank you!

Michaell

@kzevo said:
What is the MF and residual for a 10k 36month lease on a 328i xdrive for May. Also any incentives? Thank you!

.00130 and 62%. $1500 option credit.

gab0924

Can someone help me out with this math? I got a dealer quote for a '14 328i that I am calculated far differently. The specs are:

MSRP: 43,975
Selling price: 39,000
Gross cap cost: 39,930
money factor: .0017*
residual: 61%
Residual $: 26,824
Due on delivery: 846.09 (including 1st month's payment)
Texas tax rate: 8.25%

He calculated my monthly post-tax payment to be $574.09, where I come out to $487.24. Where am I going wrong?

*I will negotiate this down, but this and the other factors were on the printout. I'm curious where my formula is wrong.

Michaell

@gab0924 said:
Can someone help me out with this math? I got a dealer quote for a '14 328i that I am calculated far differently. The specs are:

MSRP: 43,975
Selling price: 39,000
Gross cap cost: 39,930
money factor: .0017*
residual: 61%
Residual $: 26,824
Due on delivery: 846.09 (including 1st month's payment)
Texas tax rate: 8.25%

He calculated my monthly post-tax payment to be $574.09, where I come out to $487.24. Where am I going wrong?

*I will negotiate this down, but this and the other factors were on the printout. I'm curious where my formula is wrong.

Weeellllll, when I plug your numbers into my calculator, I get a pre-tax payment of $477.52 for a 36 month lease.

The MF is being marked up to the max allowed, so you should be able to save some money there.

However, what's killing you is where you live. Texas is one of a handful of states that applies sales tax to the entire selling price of the car, not just the monthly payment amount. As you can imagine, this substantially increases the size of the monthly payment, perhaps to as high as what the dealer is quoting you.

Assuming you can't move, you might want to check into a balloon program. This is similar to a lease but the car is registered in your name rather than the finance company, and you avoid the nasty tax hit on your payment.

gab0924

Thanks, Michael. Would I be able to lease the car in Oklahoma to avoid this? I'm pretty close to the border.

Michaell

@gab0924 said:
Thanks, Michael. Would I be able to lease the car in Oklahoma to avoid this? I'm pretty close to the border.

I'm not sure about the legal ramifications of leasing in one state when you reside in another. Check with the respective DMV's in both TX and OK for more information.

gab0924

Thanks, I will. And if I were to lease in Texas, I pay 6.25% on the purchase price. Dallas has a 8.25% sales tax rate. Am I still paying that on the monthly payment? That seems like double taxation, if so.

kyfdx

No.. in Texas you pay on the selling price, and that's it. But, if you are a Texas resident, you can't avoid Texas sales taxes by getting the car from an Oklahoma dealer.

donnymac

What is the BMWFS acquisition fee or "bank fee" in Southern California? I have a dealer showing total fees (bank fees plus doc fees) of $1010 ($925+$80). I assume that's marked up, but how much? Thanks in advance.

Michaell

@donnymac said:
What is the BMWFS acquisition fee or "bank fee" in Southern California? I have a dealer showing total fees (bank fees plus doc fees) of $1010 ($925+$80). I assume that's marked up, but how much? Thanks in advance.

Base acquisition fee is $725, which can be marked up to $925. The doc fees of $80 are the maximum allowed under CA law.

ng6ny

Can you tell me what the residual and MF will be for a 2014 328d xdrive sedan for a 36month, 10K per year lease in the NY area? Thanks.

Michaell

@ng6ny said:
Can you tell me what the residual and MF will be for a 2014 328d xdrive sedan for a 36month, 10K per year lease in the NY area? Thanks.

.00130 and 62%

jddssc121

Do you have 2014 M3 #'s?

Michaell

@jddssc121 said:
Do you have 2014 M3 #'s?

What lease term and miles per year?

jddssc121

36/15

(+2 for 12 and +3 for 10 right?)

@Michaell said:

Michaell

@jddssc121 said:
36/15

(+2 for 12 and +3 for 10 right?)

No 2014 info available, sorry.

2015 M3 sedan and M4 coupe are .00133 and 55%

You are correct on adjustments for mileage.

jddssc121

Thank you sir!

jpbran

Shopping the 3 & the X1... Asked similar in X1 forum: numbers for a 3 series RWD for 24m/15k? (I know 24 will hurt a bit)

kyfdx

@jpbran said:
Shopping the 3 & the X1... Asked similar in X1 forum: numbers for a 3 series RWD for 24m/15k? (I know 24 will hurt a bit)

Which model 3-series?

jpbran

328i. Sorry!

kyfdx

@jpbran said:
328i. Sorry!

.00130 MF and 64% residual. $1500 option credit

bmwdog

Looking to do a 335i Xdrive lease in PA, for 3yrs and either 15k or 25k miles per year. What should I expect for a money factor and residuals? If I'm unsure whether I need the 25k/yr - are there other pro's/con's to consider other than the extra $0.01 cost per mile that I would pay by the end of the lease?

kyfdx

@bmwdog said:
Looking to do a 335i Xdrive lease in PA, for 3yrs and either 15k or 25k miles per year. What should I expect for a money factor and residuals? If I'm unsure whether I need the 25k/yr - are there other pro's/con's to consider other than the extra $0.01 cost per mile that I would pay by the end of the lease?

.00130 MF and 60% residual, for 36mo, 15K/yr. $1250 option credit.

The over mileage charge is $0.20/mi., not $0.01/mi. 30K extra miles would be a $6000 charge at lease end.

mantii

Sorry if I missed it. Looking to do a 228i lease in IA. 3yr/30k. MSRP is 40,125....incentives and discount is $2100. Sales tax is 6%. BTW, is sales tax in IA computed on Adjust Cap. Cost or payments? What is a reasonable lease without any money down and 5k down? Thanks so much

kyfdx

.00130 MF and 63% residual for 36mo, 10K/yr. $1000 option credit.

With your numbers, $437/mo. + tax.

Due at signing: 1st payment, acquisition fee ($725) and title/license fees.

I think Iowa taxes the sum of payments, plus any cap cost reductions or amounts paid upfront (like acquisition or doc fees). I think they collect that full amount at inception.

atsenb

@kyfdx said:
$1250 option credit.

Thank you for the fast response! In addition, does anyone know if there are any loyalty incentives currently running? I have a 335xi (2011) and am thinking of going into another 335xi 2014. I am aware there's a up to 6m lease pull-ahead program and a $1250 option credit. Thanks!

Michaell

@atsenb said:
Thank you for the fast response! In addition, does anyone know if there are any loyalty incentives currently running? I have a 335xi (2011) and am thinking of going into another 335xi 2014. I am aware there's a up to 6m lease pull-ahead program and a $1250 option credit. Thanks!

There are no other incentives other than those you've listed. The pull-ahead program is BMW's loyalty incentive.

atsenb

Thank you Michaell, you guys are awesome!

as1016

Hello! I'm looking to pull the trigger on a 2014 335xi (lease) in the next few weeks. I know no one has a crystal ball but in the past, have June incentives been better historically than May incentives? Any feedback is appreciated.

Michaell

@as1016 said:
Hello! I'm looking to pull the trigger on a 2014 335xi (lease) in the next few weeks. I know no one has a crystal ball but in the past, have June incentives been better historically than May incentives? Any feedback is appreciated.

Magic 8-ball says "cannot predict now".

Also, "past performance is no indication of future results".

No way to know if the numbers will go up, down or stay the same from month to month. Some have waited and been rewarded. Others have waited and found the numbers got worse.

r2r2

Hi - this is a great forum, thanks for being on top of all of the replies.

I'm looking at a well-equipped 328i for $45,775. The residual is 61% - looking through earlier posts, one mentions the residual is 61% while another a few days ago mentions 64%. Does it differ state to state, or have the residuals come up to 64% for 328i's?

The base MF is 1.7 unfortunately and it doesn't seem like they're budging down to a base of 1.3. The salesmen say that they can't touch it but they can work on the msrp. Reading previous posts, my gut says this isn't true, but I wanted to get your read of it and how hard I can push there. The extra security deposits drop the rate to 1.0 flat which is decent - but the more I can take off that the better.

Your advice would be appreciated

Thanks

Michaell

@r2r2 said:
Hi - this is a great forum, thanks for being on top of all of the replies.

I'm looking at a well-equipped 328i for $45,775. The residual is 61% - looking through earlier posts, one mentions the residual is 61% while another a few days ago mentions 64%. Does it differ state to state, or have the residuals come up to 64% for 328i's?

Depends on the lease term and miles per year. For a 24mo/15k lease, the residual is 64%; for a 36mo/10K lease, the residual is 61%. What lease term and miles per year are you looking for?

The base MF is 1.7 unfortunately and it doesn't seem like they're budging down to a base of 1.3. The salesmen say that they can't touch it but they can work on the msrp. Reading previous posts, my gut says this isn't true, but I wanted to get your read of it and how hard I can push there. The extra security deposits drop the rate to 1.0 flat which is decent - but the more I can take off that the better.

Yes, the base MF is .00130; dealers frequently mark it up to .00170 for extra profit. You might want to find a different BMW dealer who is more, ahem, accommodating about this. MSD's can reduce the base MF to .00081, saving you quite a bit each month.

r2r2

Got it - it's a 36m/10k lease so the 61% is correct in that case. That was my sense about the MF - thanks for confirming that. Time to drop it to .81!

slippytoad

According to the web site BMW are offering a 36/10 lease deal for $389 p/m on 328d sports wagon (http://www.bmwusa.com/standard/content/Vehicles/2014/3/328dxDriveSportsWagon/OfferDetail.aspx?NAModelCode=14TD&OfferType=2&regiontypeid=2).

Using their numbers in the fine print I reverse-engineered the MF to be 0.00078. This seems very good.

The quoted price is for a "Well-equipped" model. Would I be able to get the same MF, credits and allowances on a better equipped model of my spec? I'm new to leasing.

Many thanks.

kyfdx

@slippytoad said:
According to the web site BMW are offering a 36/10 lease deal for $389 p/m on 328d sports wagon (http://www.bmwusa.com/standard/content/Vehicles/2014/3/328dxDriveSportsWagon/OfferDetail.aspx?NAModelCode=14TD&OfferType=2&regiontypeid=2).

Using their numbers in the fine print I reverse-engineered the MF to be 0.00078. This seems very good.

The quoted price is for a "Well-equipped" model. Would I be able to get the same MF, credits and allowances on a better equipped model of my spec? I'm new to leasing.

Many thanks.

You can't reverse-engineer the MF without knowing the proposed selling price, which is what they always leave out of the lease advertisements. The money factor on this model is .00130, and the residual is 63% for 36mo, 10K/yr.

And, yes... all of the numbers are the same for that model, no matter what the option list (though the monthly price will be higher, of course).

bmwdog

Thanks for the feedback on the 335i Xdrive of .00130 MF and 60% residual, for 36mo, 15K/yr. $1250 option credit. If I need an extra 10k miles/yr, is it just the extra miles @ $0.15 - does the residual change or stay at 60%?

kyfdx

I think BMW adds $0.15/mi. into the CAP cost... and the residual stays the same.

mr_tibbs1

I'm looking at 328xi lease with a MSRP of $46,975. Includes premium, cold weather, navi, destination and mineral grey metallic paint. $1650 down includes first payment of $489. It is a 3 year lease with 10k miles per year. The dealer said he is using a MF of .00130 and 62% RV. How is this deal?

Michaell

@mr_tibbs1 said:
I'm looking at 328xi lease with a MSRP of $46,975. Includes premium, cold weather, navi, destination and mineral grey metallic paint. $1650 down includes first payment of $489. It is a 3 year lease with 10k miles per year. The dealer said he is using a MF of .00130 and 62% RV. How is this deal?

MF and RV track with my numbers. The only way you're going to save money is to negotiate a better selling price or use MSDs to bring down the MF.

Make sure you're getting the $1500 option credit as well.

nokio151

Need help, I'm looking at a 2014 BMW 335i xDrive, here are the lease details provided to me by my dealer in Virginia:

MSRP: $58,600
Sales Price: $52,525
Money Down: $3,000
Residual Factor: 60% based on 15K Miles per Year
Residual Value: $35,160
Money Factor: .00150

They told me my payment would be $669 per month, which I think is insanely HIGH! I ran my own calculations and I'm getting in the $500s including the 4% sales tax in VA. I think they're trying to rip me off, I wanted to get the folks thoughts.

mr_tibbs1

Can you talk a little bit about MSDs and how they work?

Michaell

@nokio151 said:
Need help, I'm looking at a 2014 BMW 335i xDrive, here are the lease details provided to me by my dealer in Virginia:

MSRP: $58,600
Sales Price: $52,525
Money Down: $3,000
Residual Factor: 60% based on 15K Miles per Year
Residual Value: $35,160
Money Factor: .00150

They told me my payment would be $669 per month, which I think is insanely HIGH! I ran my own calculations and I'm getting in the $500s including the 4% sales tax in VA. I think they're trying to rip me off, I wanted to get the folks thoughts.

The base MF for the 335xi is .00130, so your dealer is marking that up on you for a little bit of extra profit. Residual is 60%.

Using the base MF and the 60% residual with your MSRP and selling price, I get a pre-tax payment of $596.35 - 4% tax takes that to $620.21.

How much of the $3000 down is going to cap cost reduction, if any?

If I use the dealer quoted .00150 MF, my calculations show the after tax payment only increases to $638.44. Not sure how they are getting to $669/mo.

tavassoli

Hi everyone, I am interested to lease 320i and I need to know if this is a good deal or not. With premium Package, Black Dakota Leather ,Dark Burl Walnut wood trim and Mineral Grey Metallic Color.
MSRP: $39375 (includes $925 destination charge)
SELLING PRICE: $37250
Total Capitalized Cost:
Total Depreciation:12050
Term: 36
Months Mileage: 10,000/year
Money Factor: 0.00081
Residual Factor: 64%
Residual Value: $25200
DMV License & Registration: $338
Dealer Documentation Fee: $ 80
Bank Fee :$725
First Payment: $385
Security Deposit (7 MSD's): $3150
Monthly Payment: $385
Tax: 8% Monthly Payment + Tax: $385+31=$416

1st payment : $416
, initiation fee: $272
, bank fee: $725,
docs: $80,
govt Fee: $338,
security Deposit: $3150,
total due at signing: $4989.52
Thanks,

nokio151

@Michaell said:
If I use the dealer quoted .00150 MF, my calculations show the after tax payment only increases to $638.44. Not sure how they are getting to $669/mo.

Thank you, looks like I made a mistake. I kept calculating the sales price before taxes and fees. I didn't realize the lease was based on the full burdened sales price, that's why my numbers weren't matching.

nokio151

Has anyone ever used another bank to obtain lease financing? Right now the best money factor I'm getting is .00130 which is 3.12% APR. It seems like the current APR for auto loans is 2.40% or lower, so I should be able to get a money factor of .00100. I've pushed back on the dealer to see if they would honor a lower money factor, haven't heard back yet. Anyone have luck with something like this?