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2013 and earlier BMW 7-Series Lease Questions

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Comments

  • iggsoiggso Posts: 28
    First of all you are paying too much for it the Cap cost should be 75-76k

    I assume you are doing a 12k lease?
    How much are they giving you for the trade in? Unless you know exactly you cant tell if you are getting a good deal.

    I suspect not.
  • iggsoiggso Posts: 28
    Acquisition fee is negotiable from 625-825.

    you should be able to knock off another 2k or so for the cap cost. Money Factor of .002 is standard. These cars are not selling like hot cakes, so dealer will agree to .002, or threaten to fax offer to all dealers in state.

    Residual is basically not negotiable, if you want .58 go for 10k mile lease.

    As you know you can also lower money factor below .002 by paying extra refundable security deposits.

    Good luck.
  • iggsoiggso Posts: 28
    I do not have April yet, but March rates were:

    24 Months residual is 65% for 15k lease .00200 money factor.
    36 Months residual is 55% for 15k lease .00200 money factor.

    There is a $5000 Manufacturer to Dealer incentive through 4/30
  • CarMan@EdmundsCarMan@Edmunds Posts: 38,515
    Hi broham1. BMW Financial Services' current buy rate lease money factor for the 2008 750iL is indeed .00200. New BMW FS lessees have to pay one security deposit, equivalent to their car's monthly payment rounded up to the nearest $50 increment, to get this factor. BMW FS has a multiple security deposit program that enables lessees to reduce their vehicle's money factor. Consumers receive a .00007 for every additional deposit they make, up to a maximum of seven.

    Car_man
    Host
    Prices Paid: Buying & Leasing Experiences Forum
  • CarMan@EdmundsCarMan@Edmunds Posts: 38,515
    Hi neen. The money factor that you were quoted is right in line with BMW Financial Services' buy rate for this car. That is a good thing. However, savvy consumers who are in areas that have a decent level of competition are usually able to negotiate better prices than the Edmunds.com TMV. BMW is currently providing $5,000 dealer cash on the 2008 7-Series. Plus there is a gap of over $6,000 between this car's full MSRP and its dealer invoice price. That gives you a total of more than $11,000 to play with during your negotiations. I am not intimately familiar with what the market is like for the 750Li right now, but there is a reason why BMW feels the need to put $5,000 dealer cash on it. This implies to me that this car isn't exactly flying out the door. If I was in the market for this car, I personally would want a larger discount than the $7,000 that you were quoted.

    Car_man
    Host
    Prices Paid: Buying & Leasing Experiences Forum
  • CarMan@EdmundsCarMan@Edmunds Posts: 38,515
    Hi bkennedy55. Let's start with the money factor and acquisition fee. The dealer is marking both of these items up to add additional back-end profit to your deal. This is not surprising, BMW dealers are notorious for doing this. It can often be avoided by savvy consumers who know what the base numbers are. BMW Financial Services' current buy rate lease money factor for a 36 month lease of a 2008 750Li is .00200 for lessees who pay a security deposit at lease signing. BMW FS' base acquisition fee is $625. Your car's residual value is set in stone and this dealer does not have the authority to alter it.

    As I mentioned in my previous post, BMW is currently providing $5,000 dealer cash on the 2008 7-Series. Plus there is a gap of over $6,000 between this car's full MSRP and its dealer invoice price. That gives you a total of more than $11,000 to play with during your negotiations. I am not intimately familiar with what the market is like for the 750Li right now, but there is a reason why BMW feels the need to put $5,000 dealer cash on it. This implies to me that this car isn't exactly flying out the door. If I was in the market for this car, I personally would not be surprised if you were able to negotiate the additional $1,000 discount that you mentioned on this car.

    Car_man
    Host
    Prices Paid: Buying & Leasing Experiences Forum
  • CarMan@EdmundsCarMan@Edmunds Posts: 38,515
    Hey nlproductions. I need to double check to make sure that BMW has not bade any unscheduled changes, but its March lease program was supposed to run through April 30th. BMW Financial Services' buy rate lease money factor and residual value for a 24 month lease of a 2008 750Li with 15,000 miles per year are .00200 and 65%, respectively. The numbers for an otherwise identical 36 month lease are .00200 and 55%. When negotiating your lease on this car, make sure to take the $5,000 dealer cash that BMW is providing on it into account.

    Car_man
    Host
    Prices Paid: Buying & Leasing Experiences Forum
  • Thanks folks for your help.... on Monday- last day of the month- all the BMW dealers in the DFW area started pouring in with the offers... Some were just so far out of the game- it was so obvious there were trying to take advantage...

    I worked all 4 of them to get, what i hope, was the best deal

    Here is what I got....

    MSRP- 89,620- sport 750LI
    Invoice- 82,4210
    Cap Cost- 79,620
    Money Factor- 0.00200
    Residual Value- 57% ( 12,000 miles/ yr) on 36 months

    They delivered the car to my house the next morning- in and out in 30 minutes without stepping foot in the dealership. Great experience in my opinion....

    The questions and answers definitely helped a lot in educating me on leases- and what to shoot for on this lease.

    Thanks again...
  • Forgot to add- zero down....
  • eric312eric312 Posts: 71
    How much was the monthly payment without sales tax?
  • fripullofripullo Posts: 9
    Is this a good deal? According to all the posting i have room to negotiate

    MSRP $89,270.00
    CAP Cost $82,000.00 (i should get them to drop this to $81K)
    MF: .002______ (that's what they showed me; i need to confirm what the true MF is)
    ACQ Fee: $825
    Drive off and money down: $4k
    Monthly payment is based 36 mos and 10k miles a yr: $1,153.73
    the residual is $51,776.60

    If the invoice on a 750il is $72,590k, i would think we could get the cap cost down more.

    Thoughts and feedback
  • About $1050.... I did a one pay lease and saved the sales tax...
  • You should be able to get the cap cost( selling price) down under 80k for an MSRP over 89k. At least I did.... 1 dealer- got down to 78,500 on an MSRP of 87.5k
  • monstuhmonstuh Posts: 1
    My 2005 745iL lease expires end of april. What is a good cap cost on an MSRP of 87570 and invoice of 81000. Looks like there is a 5K incentive. Southern california dealer recommendations would also be great.
  • fripullofripullo Posts: 9
    look at posting #137 April 6th. That came from a South Orange county dealer.

    I've been told i can get the cap cost lower than the original dealer offer.
    .
  • iggsoiggso Posts: 28
    I would say Cap Cost of 77k would be doable.
  • jabes30jabes30 Posts: 5
    This is the offer I received today on a 2008 750i:

    4000 under Invoice

    Money factor .00225 Said the increase from .002 was to waive a security deposit. Told me this was necessary...even though I have leased or financed 3 cars through BMW financial Got done with the last one only a month ago. How much BS was I given???

    36 month residuals:

    .55 for 15k
    .57 for 12k

    I asked for breakdown of all fees but was not given the Acquisition Fee. I know it should be about $625.

    Please let me know about the Money Factor.

    Thanks you!!!
  • jim53jim53 Posts: 109
    sounds like BS to me especially since you are a return BMW FS customer. In any event, I would recommend putting down the maximum multiple security deposits (up to 9 used to be permitted) to buy down the money factor even further. I have done it on my last 3 BMW leases and it is a very good return on your money.
  • zornespzornesp Posts: 3
    Hello Folks! -- A question for Mr. Car_Man;

    Am looking at doing a 24 month lease on an 08 750Li -- would appreciate your review to see if I'm getting a good deal - or where there's room to negotiate further with the dealer here in Florida...

    2008 750Li
    Black/Black Leather/Dark Wood
    Convenience Package, Luxury Seating Package, Premium Sound Package, Sport Package, Comfort Access, HD Radio, Sirius Radio

    $89,620 MSRP
    $79,200 Selling Price

    Lease 24mo. x $1416 :surprise:
    12,000 miles per year
    1st payment only due at signing
    67% residual (68% for 10,000 miles per year)
    .00215 buy-rate with no security deposit
    .00255 money factor on lease

    Is this a good deal? Also working on the acquisition fee - getting it down to $625.

    Thanks -- Mike
  • iggsoiggso Posts: 28
    You are addressing Car_Man but I will try to answer in case this is time sensitive....

    Not a good deal at all. Cap cost is good but Money factor is not.

    Even with the higher .00255 Money factor your payment before taxes should only be $1,153.

    with the correct money factor of .00200 it should be $1076. A bit higher then that if you do not pay security deposit.

    So the dealer is taking you for a expensive ride...

    Not sure what you mean by "buy rate"...

    Anyhow good luck...
  • zornespzornesp Posts: 3
    Actually - there's also 8.25% tax (I beleive) being added to the $79K cap price (as the car will be shipped to TX - was advised we need to pay TX taxes) - thus, there's around $6500 in taxes that have to be paid too. -- thus the $1400/month rate includes the taxes (split over 24 months)
  • iggsoiggso Posts: 28
    The $1400 a month rate is just very very high for this car right now. Also when you lease a car the only taxes paid is based on your monthly payment.
  • zornespzornesp Posts: 3
    Unfortunately - as the car will be titled and registered in Texas -- one of the #(#@(@ states that requires you to pay taxes on the FULL cap purchase price (we're down to $77K on the $89K MSRP) -- we've got ~6300 in taxes to pay over the 2 years added to our monthly lease (or write a $6200 check up front and pay the taxes separately).

    We got the MF down to .00215, acq fee to $625, and selling price to $77,290 - our monthly payments (before taxes) are $1039, Heck of a good deal.

    Working on figuring out a way to potentially initially register the vehicle in Florida while doing the finance deal (i.e. finally get around to getting a Florida license - they allow "part time" licenses and allow you to keep your state license. Register the car in Florida (Miami - Dade county is the deal place) - have the tags sent to us in Texas; and re-register the car in Texas later this year. As we have a condo in Miami - I already consider myself a "part-time" resident - we spend 3-4 months a year there; just never thought about getting a FL Drivers License.

    Anyone ever done this before?

    Will be a big savings on the monthly payment -- our monthly taxes will be arounmd $65 a month (total payment 1103) vs $262 for Texas Taxes (the 6300 / 24 months), or a payment of 1301. Nearly $200 month savings over 24 months, $4800 (or in my mind, close enough to call it $5K).

    Appreciate feedback/thoughts
  • kyfdxkyfdx Posts: 29,134
    I'm not real familiar with Texas tax regulations.. but, I think you'll have a hard time bringing in a leased car, without paying tax on it.. Even though you'll be titling it in Florida, it will be owned by BMWFS, not you...

    My guess is that it won't be any different from a Florida resident moving to Texas with a leased car.. If they are only paying tax on the payment in Florida, they'll have to pay Texas taxes on the value of the car, once they move. It's not the same as owning a car that you've already paid the full tax on..

    So... if you can lease the car as a Florida resident, more power to you... but, I think you'll have to keep the Florida registration for the entire term of the lease to realize any savings.

    regards,
    kyfdx

    MODERATOR
    Prices Paid, Lease Questions, SUVs

  • jackk1jackk1 Posts: 9
    Two questions. I am looking at a 2008 750li with a MSRP of 91,975. Is there still an incentive for this vehicle, similar to the $5000 that was due to expire on April 30? With a cap cost of $80k what would the 24 month 15k mi. payment be using the May rates?

    Thanks.
  • iggsoiggso Posts: 28
    That $5000 has been extended to 5/5 so you still have 1 day. I believe April Rates have also been extended through 5/5.

    Cap cost of 80k is pretty good on your build, and that does mean you are getting the 5k. rebate included. I hope that is with zero down!

    Based on April rates (again extended through 5/5) your
    monthly payment should be (before taxes) $1121.91

    If you add 7 refundable security deposits your payment will be $1053.41

    Also just for example if you do 12k instead of 15k lease you will lower your payment to $1048.94 ($979.45 with 7 MSD)

    Good luck...
  • Car Man:

    1. Has the 5K incentive been extended through May?
    2. If not, was is the current promotion?
    3. What are the May residual & money factors for the 750i on a 24 month / 15K lease?

    Thanks so much for all your help! Every two years I look forward to your expertise.
  • jackk1jackk1 Posts: 9
    Apparently everything is the same as last month, except the residual has gone from 65% to 64%.

    Please post your deal if you make one. I am also looking to lease one before the June 1 price increase.

    Good luck.
  • Still offering $5000 from Factory
    3 Year 15k lease on 750i
    -Lowered Residual from 55% to 54%
    -If you are current BMW FS customer you are eligible for .0010 money factor. In the past you needed to be previous 7 series inorder to get .0010 for a new 7 series. Now you qualify for 7 series at .0010 even if you were a 5 series owner.

    Just got mine
  • Big Daddy Bruin

    Would you consider posting your details - MSRP, options and your cap cost? Also what dealership you delt with, it would be a great help to me!
This discussion has been closed.