2014 BMW 5-Series Lease Questions

jasbra

Hi All,
I'm looking at a leftover 2014 535d. I was quoted the following for 36 mos 15K:

MSRP - $61,325
Cap Cost - $51,250
Residual - 57%
MF - .00180
Payment - $608


Is the residual on the 14s .00180, or is this being marked up?

Thanks everyone!

Michaell

jasbra said:

Hi All,
I'm looking at a leftover 2014 535d. I was quoted the following for 36 mos 15K:

MSRP - $61,325
Cap Cost - $51,250
Residual - 57%
MF - .00180
Payment - $608


Is the residual on the 14s .00180, or is this being marked up?

Thanks everyone!

The base residual is still .00130 on the 2014's, so yes, it is marked up.

With the base MF, I get a pre-tax payment of $564.70.

jasbra

Michaell said:

jasbra said:

Hi All,
I'm looking at a leftover 2014 535d. I was quoted the following for 36 mos 15K:

MSRP - $61,325
Cap Cost - $51,250
Residual - 57%
MF - .00180
Payment - $608


Is the residual on the 14s .00180, or is this being marked up?

Thanks everyone!

The base residual is still .00130 on the 2014's, so yes, it is marked up.

With the base MF, I get a pre-tax payment of $564.70.

Perfect! Thanks for the quick reply.

mperlish

Hi all,

about to to lease my first car and it is a 528x.  Msrp - $60,500.  Car is in stock and I'm making a compromise on blind spot monitor to get a better price.  Car is in stock and therefore, they are more flexible.

Only putting 1st month and dmv fees down.  The guy quoted me $668/month for 39 months.  I'm sure that's too high since it's his 1st offer.  I also know the holiday cash is gone.

based on what uve read on here, as a function of msrp and what I'm putting down I should be able to drive him to $620 - $630.  My question is - is that still the correct target price now that the holiday cash incentives are gone?

thank you for your help.

Michael

kyfdx

mperlish said:

Hi all,

about to to lease my first car and it is a 528x.  Msrp - $60,500.  Car is in stock and I'm making a compromise on blind spot monitor to get a better price.  Car is in stock and therefore, they are more flexible.

Only putting 1st month and dmv fees down.  The guy quoted me $668/month for 39 months.  I'm sure that's too high since it's his 1st offer.  I also know the holiday cash is gone.

based on what uve read on here, as a function of msrp and what I'm putting down I should be able to drive him to $620 - $630.  My question is - is that still the correct target price now that the holiday cash incentives are gone?

thank you for your help.

Michael

.00130 MF and 59% residual for 39mo, 15K/yr.

Would need to know how many miles/year and a target selling price to calculate a payment.

mperlish

Thank you very much, kyfdx!  Rookie mistake

mperlish

Message cut off....

10k miles per yr

selling price was $55,480.  Is that what u were asking?

btw - they were using a residual of 62%, not 59%

thank you again!

Michael

kyfdx

mperlish said:

Message cut off....

10k miles per yr

selling price was $55,480.  Is that what u were asking?

btw - they were using a residual of 62%, not 59%

thank you again!

Michael

Yes.. 59% is for 36mo, 15K/yr..

Adding the $795 acquisition fee to your selling price, yields a payment of $603/mo.+ tax. You don't say if your price includes tax, or not..

The selling price is a little over 8% off MSRP, so that is good.

mperlish

Thank you again!

so with only 10k / year the residual should be 62%.  I'll have to make him change that.

the price I quoted ( $668) does include taxes.  With all those details, is it reasonable to now think I can get the car for $620-$640 (incl taxes) with the 62% residual?

kyfdx

mperlish said:

Thank you again!

so with only 10k / year the residual should be 62%.  I'll have to make him change that.

the price I quoted ( $668) does include taxes.  With all those details, is it reasonable to now think I can get the car for $620-$640 (incl taxes) with the 62% residual?

Your dealer was already using the correct residual, right?

I don't know your tax rate... add it to $602 and see what you get.

mperlish

Sorry for the confusion.  Dealer was using 59% but I thought the correct number is 62% for a 10k mile per year lease?

kyfdx

mperlish said:

Sorry for the confusion.  Dealer was using 59% but I thought the correct number is 62% for a 10k mile per year lease?

62% is correct for 39mo, 10K/yr

mperlish

Awesome...thank u!!!

ericisamazing

Looking to get into a 2014 retired service loaner. MSRP $63,350, sales price on website $55,850. How much more should I be able to push for?

Also as a 2014 loaner, does that affect the residual on a 39month/10k? MF at .0013 before MSD?

kyfdx

ericisamazing said:

Looking to get into a 2014 retired service loaner. MSRP $63,350, sales price on website $55,850. How much more should I be able to push for?

Also as a 2014 loaner, does that affect the residual on a 39month/10k? MF at .0013 before MSD?

2014 model is .00130 MF and 61% residual for 36mo, 10K/yr. $1500 Innovation credit.

No 39 month program on the 2014 model.

Your residual will be reduced by $0.20/mi. for each mile on the odometer.. So, you should ensure that the service loaner's selling price is at least that much lower than a comparable new model.

mperlish

Kyfdx - thank you!!!

i got the dealer down to $639 per month for 39 months, 10k per year.  All taxes rolled in (8.875 tax rate in my), drive off of 1st month payment and dmv.

2015 528 xi.

msrp of $60550.  Selling price of $54500

ericisamazing

kyfdx said:

ericisamazing said:

Looking to get into a 2014 retired service loaner. MSRP $63,350, sales price on website $55,850. How much more should I be able to push for?

Also as a 2014 loaner, does that affect the residual on a 39month/10k? MF at .0013 before MSD?

2014 model is .00130 MF and 61% residual for 36mo, 10K/yr. $1500 Innovation credit.

No 39 month program on the 2014 model.

Your residual will be reduced by $0.20/mi. for each mile on the odometer.. So, you should ensure that the service loaner's selling price is at least that much lower than a comparable new model.

Thanks! I can still get the innovation credit?!

kyfdx

ericisamazing said:

kyfdx said:

ericisamazing said:

Looking to get into a 2014 retired service loaner. MSRP $63,350, sales price on website $55,850. How much more should I be able to push for?

Also as a 2014 loaner, does that affect the residual on a 39month/10k? MF at .0013 before MSD?

2014 model is .00130 MF and 61% residual for 36mo, 10K/yr. $1500 Innovation credit.

No 39 month program on the 2014 model.

Your residual will be reduced by $0.20/mi. for each mile on the odometer.. So, you should ensure that the service loaner's selling price is at least that much lower than a comparable new model.

Thanks! I can still get the innovation credit?!

I'm not certain it's available on a service loaner.. but, it might be.

ericisamazing

How does this sound?
2014 528i
msrp: 57,650.00
price: 49,002.50
RSV 62% or is it 61%? 10k miles 36 months
MF: 0.0013
will do MSDs

Thanks!

kyfdx

ericisamazing said:

How does this sound?
2014 528i
msrp: 57,650.00
price: 49,002.50
RSV 62% or is it 61%? 10k miles 36 months
MF: 0.0013
will do MSDs

Thanks!

.00130 MF and 61% residual for 36mo, 10K/yr.

$494/mo.+tax with those numbers

Due at signing would be 1st payment, acq.fee ($795) and title/licence/dealer fees.

ericisamazing

Thanks! Is this a solid deal?

Michaell

ericisamazing said:

Thanks! Is this a solid deal?

$494/mo on a car that stickers for almost $57K is a pretty solid deal.

superlurker

Hello, looking for some numbers on a 2014 535d with 146 miles on the odometer. 36 mo with 12k or 15k per year? Dealer quoted me .00170 and 59% and 57% respectively. Also are there any incentives for the 2014s?

Michaell

superlurker said:

Hello, looking for some numbers on a 2014 535d with 146 miles on the odometer. 36 mo with 12k or 15k per year? Dealer quoted me .00170 and 59% and 57% respectively. Also are there any incentives for the 2014s?

The residual is correct, but the base MF is .00130 - dealer is marking that up on you for more profit.

I'm showing $1000 eco credit and $1500 innovations credit on the 2014 535d.

jackdan

Hi guys,

Big thanks to the mods helping all of us out.

So the dealer is telling me that I have to jump this month before lease programs change (true?).

I am looking at a 535i XDrive M-Sport that MSRP's for 68k. They are selling the car for $60k.

MSRP: $68,000
Sale Price: $60,000
MSD: $4,550
Tax fee: $2,298
Total at signing: $6,848
Per month: $589
Res: 64%
MF: .00080

I am going out on a limb and assuming this is a good deal.

Thanks,
Jack

Michaell

jackdan said:

Hi guys,

Big thanks to the mods helping all of us out.

So the dealer is telling me that I have to jump this month before lease programs change (true?).

I am looking at a 535i XDrive M-Sport that MSRP's for 68k. They are selling the car for $60k.

MSRP: $68,000
Sale Price: $60,000
MSD: $4,550
Tax fee: $2,298
Total at signing: $6,848
Per month: $589
Res: 64%
MF: .00080

I am going out on a limb and assuming this is a good deal.

Thanks,
Jack

Max MSD really helps this deal; I get $540.59/mo pre-tax.

Where is this and what is the sales tax rate?

BMW numbers are set to expire on 3/31/15. Numbers could get better - or worse - next month. Nobody knows.

jackdan

New Jersey. I don't have any other info on the deal. The bank fee is like $900 or something I think.

Michaell

jackdan said:

New Jersey. I don't have any other info on the deal. The bank fee is like $900 or something I think.

Base bank fee is $795; your dealer is marking that up on you. However, it's more than offset by the great selling price they are offering you.

$589/mo for a car that stickers at $68K is a really good deal.

jackdan

Yes, he was transparent and told me the dealer is pocketing the $200.

Thank for helping out. How did you get to the $540? Were you using different tax rate?

jackdan

I only ask because you said pre-tax, my money at signing includes taxes.

Michaell

jackdan said:

I only ask because you said pre-tax, my money at signing includes taxes.

My calculations are before sales tax is applied. 

jackdan

Right, but shouldn't I get the same number if I am paying for taxes upfront?

Michaell

jackdan said:

Right, but shouldn't I get the same number if I am paying for taxes upfront?

If you've included sales tax in your net cap cost, then yes.

SL550Driver

Hi all,

Almost purchased a 2014 535d xdrive from a MA BMW dealer on 3/31/15 - but had to walk away after receiving a poor offer. Here's the 'deal'.

2014 Leftover 535d
MSRP: $64,950
Sell price: $52,200 (after $1500 cash incentive and $1000 eco incentive)
(above purchase price was quoted by Edmunds Price Promise - dealer 'agreed')

Once I decided to move on this car, I asked dealer for lease numbers - here's their offer.

Lease request: 12k/36
Cap cost reduction (down payment): $3000
Residual: $18,000 (yes...27%!!!!)
Money Factor: 0.00159
Monthly payment: $1119

When I questioned the numbers, I was told that lease support on 2014's ended in February and that it would be better to lease a 2015.

I'm pretty sure that these numbers not correct, but would like someone to verify the actual money factor and residual for a 2014 535d xdrive.

Thank you

Michaell

SL550Driver said:

Hi all,

Almost purchased a 2014 535d xdrive from a MA BMW dealer on 3/31/15 - but had to walk away after receiving a poor offer. Here's the 'deal'.

2014 Leftover 535d
MSRP: $64,950
Sell price: $52,200 (after $1500 cash incentive and $1000 eco incentive)
(above purchase price was quoted by Edmunds Price Promise - dealer 'agreed')

Once I decided to move on this car, I asked dealer for lease numbers - here's their offer.

Lease request: 12k/36
Cap cost reduction (down payment): $3000
Residual: $18,000 (yes...27%!!!!)
Money Factor: 0.00159
Monthly payment: $1119

When I questioned the numbers, I was told that lease support on 2014's ended in February and that it would be better to lease a 2015.

I'm pretty sure that these numbers not correct, but would like someone to verify the actual money factor and residual for a 2014 535d xdrive.

Thank you

I can confirm that there is no lease support on any 2014 BMW, so cannot confirm or refute the information the dealer provided.

2015's are a much better deal now, that I will agree with.

jackdan

MIchaell, do we know what the April 15 BMW programs are for preowned, CPO, and new vehicles?

SL550Driver

Thanks Michaell....my real question is related to the residual value of a 2014 535d after 12/36..

Is it possible that the residual can be $18,000 or 27%? An earlier quote in February shows the residual at 59%. While I certainly understand that lease support can impact payments, how does a cars residual value drop by 30% in one month? Doesn't make sense.

jackdan

SL550Driver said:

Thanks Michaell....my real question is related to the residual value of a 2014 535d after 12/36..

Is it possible that the residual can be $18,000 or 27%? An earlier quote in February shows the residual at 59%. While I certainly understand that lease support can impact payments, how does a cars residual value drop by 30% in one month? Doesn't make sense.

I will let Michaell elaborate, but this is because of "dollar based" residuals. When BMW Financial drops lease support, they revert to actual dollar amounts for residuals, rather than a percentage that supported programs use. This, usually, then translates into very poor leasing terms.

Michaell

jackdan said:

MIchaell, do we know what the April 15 BMW programs are for preowned, CPO, and new vehicles?

I have limited lease numbers for April for new BMWs.

We've never had lease data on CPO or pre-owned vehicles.

Michaell

SL550Driver said:

Thanks Michaell....my real question is related to the residual value of a 2014 535d after 12/36..

Is it possible that the residual can be $18,000 or 27%? An earlier quote in February shows the residual at 59%. While I certainly understand that lease support can impact payments, how does a cars residual value drop by 30% in one month? Doesn't make sense.

I don't have any residual information for 2014 models.

kyfdx

SL550Driver said:

Thanks Michaell....my real question is related to the residual value of a 2014 535d after 12/36..

Is it possible that the residual can be $18,000 or 27%? An earlier quote in February shows the residual at 59%. While I certainly understand that lease support can impact payments, how does a cars residual value drop by 30% in one month? Doesn't make sense.

BMW isn't interested in leasing 2014 models.. At some point, it has to happen for every prior model year.

piancu

Hello. What is the residual on a 2015 550i for 2 years 10k a year lease? Thanks

kyfdx

piancu said:

Hello. What is the residual on a 2015 550i for 2 years 10k a year lease? Thanks

.00130 MF and 69% residual. 36/10 residual is 63%

tedpetersen

Edmunds price promise shows the purchase price for 535d is $1K less than invoice. But the only incentives that I find online is $500 eco credit.
Are there other incentives right now? What should be the purchase price of a 535d with respect to its invoice?
Don't understand how the price promise is less than the invoice without trunk cash from BMW to the dealers
Thanks

Michaell

tedpetersen said:

Edmunds price promise shows the purchase price for 535d is $1K less than invoice. But the only incentives that I find online is $500 eco credit.
Are there other incentives right now? What should be the purchase price of a 535d with respect to its invoice?
Don't understand how the price promise is less than the invoice without trunk cash from BMW to the dealers
Thanks

That may be it ... trunk cash to dealers. Edmunds knows more about that than I do.

Offer something less than the price promise price and see what happens.

hoss411

Do we have lease numbers for a 528i 36mo / 15k ? Also to go above 15k, do you pre-pay mileage at something like .20/mile?

Thanks

Michaell

hoss411 said:

Do we have lease numbers for a 528i 36mo / 15k ? Also to go above 15k, do you pre-pay mileage at something like .20/mile?

Thanks

.00130 and 60%

Yes, anything above 15K per year is purchased up front; not sure of the exact per mile amount, but .20 is about right.

hoss411

Thanks, Michaell. Lexus will charge .20/mile and take it off the residual. So if I had a residual of $25,000 @ 36m / 15k and wanted 18k, then my residual drops $1800 down to $23.200. I'm assuming that's going to be a similar process for the other manufacturers.

kyfdx

hoss411 said:

Thanks, Michaell. Lexus will charge .20/mile and take it off the residual. So if I had a residual of $25,000 @ 36m / 15k and wanted 18k, then my residual drops $1800 down to $23.200. I'm assuming that's going to be a similar process for the other manufacturers.

As far as I know, most banks do it that way..

cabmw335

I'm looking for a 535i lease and have a few questions. My credit score is above 800 and assuming I get the the buy rate on money factor, here are my questions:

If I get the buy rate, can I still use MSDs to lower the monthly payments? Or, are the MSDs only to lower the money factor?

Is there a max for MSDs?

What are the out of pocket costs I can't avoid when leasing a new BMW?

Does/can the dealer discount their "processing" fee?

Is there a site recommended to use get quotes from multiple dealers, or best to email directly?

Thanks for your time and help in advance, appreciate it.