2013 and earlier - BMW 5 Series Prices Paid and Buying Experience

PF_Flyer

Try asking in the Lease Questions - Ask Here topic right here on the forums!

damienwg

MSRP: 48483 (695 destination included)
Selling: 46500 (695 destination included)
Lease: 3yr/36 months
Down: 0
Local Tax: 8%

The equation I came up with was:

[ (Selling - (MSRP x Residual)) / # of months ] + [ Money Factor * (Selling + (MSRP * Residual)) ]

ponytrekker

Definitely look to the 545. The lease deals are heavily subsidized. Plus, the "stripped" 545 comes with free leather and auto, so it winds up probably around the same price.

kyfdx

damienwg...

Your formula is correct..

Also... I must have missed it somewhere.. What year and model 5-series are you looking at?

regards,
kyfdx

damienwg

I don't even remember kyfdx. I think that was a stripped down '06 530i (nothing but auto) or something. But I'm no longer even considering an '06 BMW. Since I can now determine monthly payments, thanks to people here pointing me to that formula, this lease calculator (http://www.leaseguide.com/calc.htm), and this chart with the residuals and money factors (http://forums.roadfly.org/forums/financing/6451130-1.html), I've been able to hone in. I've also determined that I won't spend a penny more than $2500 total drive off, and I want a 2yr/12K agreement not a 3yr/12K. This has all lead me to narrow my search down to an '05 525i (unless I can find a dealer willing to lease an '05 530i at $44K and I realize how ridiculous that is).

I haven't started negotiating with dealers (I'm willing to travel to any of the 49 BMW dealers in California to find the exterior color and monthly price I want), only because I don't have the residuals and money factors on the '06 Mercedes-Benz C-Class and Lexus GS300 so I can calculate a lease payment. Simply if I can get a '06 GS300 or C350 or at the same or better monthly price I'd have to give them more consideration...it would be really tough for me to walk away from a Mercedes with 80 more horses that I could get for the same monthly payment. I don't think I will be able to find that because the '05 BMW MFs are just incredible, but I need to know, so I can permenently rule them out.

The information I've gained through this board has made me really powerful. I really can't thank you all enough. This here "internets" thing is really something :-)

kyfdx

Well.. I doubt either the new Mercedes of GS300 will be competitive with the '05 5-series as far as lease payments...

And, while the 530i is a good deal for 36 months, the residual is not as good as the 525i for 24 months..

Good luck. just remember, 5-series will be going fast... You'll have to move pretty soon on an '05, or the selection will be virtually gone..

regards,
kyfdx

crazycommuter

I'm planning to get my first BMW but had few questions. I test drove a 530 (2003) with ~15K miles, pp but no other fancy options. Looks and feels good. Questions -
1) I live in CT and it snows quite a bit here during Dec-Mar. Does 2003 530i (RWD) have DSC which I heard helps driving in snow? I've been driving FWD for years so bit worried about this jump. Also, I plan to get snow tires for winer time ~cost? is it around $1-1.5K?

2) Since this car has only 15K miles can I purchase extended warranty from BMW dealer? any thoughts on that?

3) what is a good price on this car? $32-35K? Carfax is clean.

4) general sense of cost of ownership? i read some thread in the forum that said, I need to pay $200 for an oil change - is it true? I'm used to $30 oil changes for my Acura. How does the maintanence with BMW dealership work? is cost of parts and labor covered till 48K or just the labor? what do they mean by maintanence included till 48K.

appreciate your response.

kyfdx

1) Did you have snow tires on your FWD? If you had all-seasons, then a 5-series with winter tires will be better than your FWD. You can buy wheels and tires from Tirerack for under $1K, I think.. I suggest buying a set of used BMW factory alloys off someone that is upgrading and mounting new winter tires on those..

2) No, you can't purchase an extended warranty from a BMW dealer.. If the person you are buying it from is the original owner, they can buy the warranty before they transfer it to you.. expensive though.. $2750 to extend to 6yr/100K.

3) I don't follow prices that closely, but $32K-$35K sounds about right.. cheaper is better!! Is this for sale by a private party? What are they asking?

4) The warranty is 4yr/50K .. this includes any repairs needed. The mainenance program covers all scheduled and unscheduled maintenance (oil changes, brakes, wiper blades, etc.). It is also 4yr/50K from the original in-service date. Basically, until you hit either 4yrs or 50K miles, you should have no expense except for tires or damage that you cause to the vehicle.

regards,
kyfdx

crazycommuter

Kyfdx - thanks for the quick reply.

1) No I don't have all season tires on my current FWD car. So your note is encouraging!
2, 3) I'm buying this from a non-BMW dealer. Price is $32+tax. So I cannot buy extended warranty I suppose.
4) So after $50K miles, does the cost of ownership increase exponentially? like for ex: cost of oli change =$200?

kyfdx

I had an extra oil change done on my BMW, that I had to pay for.. Total cost was $94 including tax, labor, etc..

The car is very cheap to own until 50K miles, and on average, expensive to own after that.. After 50K, I'd suggest finding a good independent BMW garage to do your service and repairs.

Before buying the car, get the VIN number and stop by your local BMW dealer's service department.. Tell the service advisor that you are buying the car and ask him to pull a vehicle history report.. Be sure to tell him that you will be bringing it there for service.. That report will give you the in-service date, options, and any service history on the car..

In-service date is important.. An '03 that went into service in September of '02 will only have 1 years and 5 months of warranty left.. If it went into service in August of '03, it will have over 2 years left..

regards,
kyfdx

crazycommuter

Great, thanks! In-service date was July'03 so I have just about 2 yrs left.

norcalbuyer

I'm looking at making a deal for an '06 530. The first offer out of the gate is for $1800 over invoice. I've seen some comments on this board suggesting $1000 over invoice for a '05. What is a good dealfor the '06? I figure if they quote $1800 right off the bat I should be able to do better than that. I'm Also considering a '05 545. What is the going rate? How much over invoice?

virtualbmw

is that $1800 over the training and maco? How much of a discount is that from MSRP? Did they quote you a lease?

hihomike

Just took delivery of my new '06 530i, and believe me they've done a great job on improving on the performance of the vehicle. I traded in my '05 525i on this and it was definitely the right decision.

No changes in exterior that I could see and nothing changed on the interior. Just tremendous performance with the new inline 6, with 255 horsepower. That's the main reason I moved up to a new 06 530i. As I drive the vehicle, I'll share my experiences and impressions. Right now, I just want to drive it and enjoy!

norcalbuyer

I've heard of the maco fee, but training? Training what? Me how to drive the car? That's a new one on me... What should I pay for a '06 530 or '05 545,? This is a purchase. What's a good deal on these models, either from a price over invoice or discount from msrp standpoint?

'06 530
Premium package
Premium sound
Sport package
6 speed auto
Sat radio prep
window shades

'05 545
Premium sound
Sport Package
Sat radio prep
window shades

Thanks

hihomike

By the way, the dealer gave me 41K for the 05 525i and the new 06 530i was sold to me at 1000.00 over invoice. I think that's a great deal for a brand new vehicle -

norcalbuyer

was that $1000 plus maco or other fees? what options?

samtoydeal

First, we need to figure out the monthly depreciation of the vehicle. To find this, subtract the residual value of the vehicle from the cap cost. Take the difference and divide it by the number of months you plan to lease the car. This calculates the monthly depreciation.

Next we will tackle the monthly finance charge. This time add the residual value and the cap cost, then multiply that by the money factor. This results in the monthly finance charge.

Now, simply add the monthly depreciation and the monthly finance charge, and you have calculated your monthly car payment.

Example
MSRP is $20,000.00 residual is 50%
So its $10,000.00
Cap cost ie selling price $18,000
Now add the Acq fee to the selling price $595.00
Also if your dealer has a doc fee add that $45.00 in California
So the cap cost is $18640.00
18640.00 minus $10000.00= $8640.00 divided by 36 months $240.00 monthly rent charge.
Now add resd.$10000.00 plus $18640.00= $28640.00 times .0009=$25.776 monthly intrest charge
Add the $240 plus $25.77=$265.77 a month plus tax
So if your tax rate is 7% then add $18.60 to the payment
So your lease is $284.37 a month
Now your drive off is going to be Goverment fees and first payment and security deposit.
So in California it would be
$284.37 first payment
$300.00 security deposit. The security deposit is equal to one payment rounded up to the next $25.00
$179.00 dmv fees
$8.75 tire fee
Total drive off $772.12
Since you paid first payment now you have 35 payment left at $284.37 a month
Now if you have down payment ie cap reduction it will change you cap cost and you must pay sales tax on cap reduction.
Keep in mind lease have disposition fees this is a fee if you don't buy the lease out at the end. $350-$500 It will be on the contract and will no effect the lease payment or drive off.
To do this you need the MSRP, Selling price,Residual value,money factor,Acquisition fee and dealer doc fee.

DMV fee and state fee's you may have to guess.
Good luck
.

1golfer

hihomike - what dealer did you do this deal with? I'm negotiating now, and can't come close to that deal.

nyccarguy

what was the purchase price of your now ex-525iA?

kmonster

$1,000 over invoice doesn't tell the whole story since there was a trade-in. Also depends on financing. Dealers can make money on trade-ins and financing and get less for the car.

norcalbuyer, where did you get the +$1,800 over invoice quote from (I'm from bay area), thanks.

I just started looking for '06' 530. Stevens Creek BMW quoted +$2,130 over invoice, first quote.

KM

dl7265

I was going to ask. 41k Sounds like a pretty good trade, for doing a quick turn around. Usually just driving off the lot, you might as well keep it 2 years.

DL

hihomike

The 1000.00 over invoice did not include the maco, so the actual over invoice price 1000.00 + maco.

hihomike

I only paid $43800 for the 05 525, so a loss of 2800 for 6 months use of a car is excellent, especially since 05's are out of production and the new 06's are now arriving at dealerships.

hihomike

I just bought and took delivery on an 06 530i w/premium pkg., premium sound and satellite radio - selling price was 49220 + maco. MSRP was 52866. As for the sport package, I'm not sure what they would charge for that, bu this gives you an idea of what is available, at least in south Florida.

Hope the above helps. By the way, the new 255hp version of the 530i is stupendous. I also noticed a change in the handling

hihomike

The dealer is in South Florida in Pembroke Pines, if that helps

hihomike

I bought the car in October of 04 for 43800

hihomike

My trade was 41K ACV. The finance rate is 4.02% with Wachovia for 60 months. So the whole story is there, 1golfer

carnag

I live in Chicago, and it seems from what I've read that IL isn't very friendly regarding leasing. Does anyone know why this is? I've never leased before and am looking into leasing a 5 series, I currently have an older 325iC, and am looking to move up and a lease would be the only way to afford a 5 series. I would love an '06 530 due to the extra HP and better MPG, but fear that the payments would be too much. I can afford around $550-600/mo including tax. Would I be better off waiting until later in the year to see if I can get a better deal for an '06, or should I go for an '05 now. Also I saw a post saying that out the door costs should only be around $1,500. How can you get a deal like this when BMW is asking around $3,400 for an '05 525 lease offer ? Any help would be greatly appreciated!

bills01se

My wife's boss is selling his 2001 BMW 540i and he's asking $27k. The car is a black/black 6 speed with 28,000 miles. The car has a moonroof, dsp, sport package, upgraded M5 18' wheels, rear shades, etc...Never wrecked and looks real good. From my research it sounds almost too good to be true. He gave me the VIN so I can find out the history via BMW service or Carfax. So, what do you think?

scotlow

Just got back from dealing for a new 530i 2006.
Prem Package
Cold Weather
Auto Trans
MSRP $51020
Invoice $46795 per Edmunds
Acq Fee $795
Philadelphia, PA.

Dealer offered me MSRP with a straight face!! After I picked him up by the neck and pinned him on the wall, he offered to throw in the $495 rear split seat option for free. Still with a straight face.

I am hearing others in here getting $1000, $1800, $2000 over invoice. Am I missing something? Seems like lots of hype is in the price right now.

Dealer gave me the story about how they can barely get them off the truck before they are sold.

I offered $2000 over invoice without the free split seat option.

I am leasing also. The money factor was .00250. Way too high I think. I did get them to wiggle the MF down a bit but don't know how much since I left before the visit to the manager was done!

Am I being unreasonable?

nyccarguy

you're not being unreasonable...go to another dealer. The only car on the market you should be paying MSRP for is a Ferrari F430 and maybe a select few others...

hihomike: Have you bought a few other BMWs from this dealer or does your uncle own the dealership (j/k)? That is an amazing amount for a trade-in.

scotlow

Question about leaseing money factor rates.

Dealer tells me the 530i - 2006 mf is .00250 as opposed to the 530i - 2005 which is .00125. When I asked why does the cost of money vary so much between 2 cars that essentialy have base prices only $300 apart. The 2006 530i base is $1100 over the 2005 but it comes standard with $800 Zeon lights. Assuming you were getting the Zeon's anyway in the 2005, the 2006 is only $300 more base price.

He said BMW has determined the mf needs to be higher for the 2006 becasue money cost more today. Interest rates gone up, ect ect ect.... What a liar IMO. He could not admit that BMW was using the mf to factor in price insentives for the 2005 left overs. If you make the mf the same for the 2006, nobody would buy what is left of 2005. Am I right? I guess I was pissed I could not get atleast .00155 or 3.7% as opposed to their .00250 or 6% rate.

cmybimmergo

Sounds awfully good. I would have it very carefully checked out by someone I trust, just to be sure I wasn't missing anything.

You do know 540s eat gas?

kyfdx

You already know the answer.. The lower money factors on the '05s are an incentive to help sell the car at the end of the model run..

The .0025 MF he quoted you on the '06 is the base rate offered by BMWFS.. The dealer cannot go any lower than that.

kyfdx

Sounds like a good deal...

Trade-in values are way lower than dealer's asking prices.. I'm sure at that price, he probably comes out a thousand or two ahead of what the dealer is offering him...

Take the VIN number to the local service advisor, and ask him to run a history report.. Do a CARFAX also..

Don't pass up a good deal, just because it seems too cheap.

scotlow

But with a mf of 0025 which the dealer can not currently lower combined with the dealers pounding the table for MSRP and no discounts, why buy an 06 model when this won't be the case in 2 months when there will be no 05 models around?

I know those who are not concerned about paying up for what is no doubt a hyped car right now will drop what ever for an 06. I am not one of them. I want the 1500 over invoice deals I've heard others in here saying they got.

I guess I will just have to find a dealer wanting to work with me now or just give them my number, tell them to call me when they want to cut the deal.

I se no reason to pay up for a car I know I can get lower in a few months.

It's like buying a stock that just ran up 10% or more on unexpected earnings news. You know you can get it cheaper after the hype is out of the stock.

big_jim

Not EVERYBODY is getting these 1,500 over invoice deals. In my market, I was thrilled to be able to get $2,995.00 over invoice, or $2,000.00 off msrp. Maybe I am a [non-permissible content removed], but compared to what some others that I know personally (as opposed to people online) between here and chicago got on their 05 530i's and 06 530i's, I am happy. And that is what counts. I also got a great deal on my trade...the dealer allowed me to trade it in and then sold it to my buddy's dealership at EXACTLY what my buddy offered me for it, which was way over normal trade in value. So the dealer did all of the paperwork for the trade and didn't make a red cent, all so I could save $600 in sales tax. That cemented it for me right there. I was expecting them to at least charge me a few hundo for the hassle.

Anyway, you know how it works, stuff is always cheaper months after you buy it. If you wait a few months and buy, you know darn well that someone will walk in 2 months after you and buy it for even less. I'd rather be enjoying driving the car for the next few months than sitting around waiting for someone to "work with me"

On the same token, you should be able to get them to come down somewhat from MSRP. Even my dealer gave me a gratuitous starting offer of $500 under MSRP. Tell them you are serious, but will not over pay. I bet they come down.

scotlow

Your not far from me anyway. NYC is probably a hotter market than Philly area. The spread is around 4200. I am in no hurry but the dealer knew I was serious. I was prepared to order. Had checks in hand. I made contact back in early March and he talked me out of the 2005 and into a 2006 after he knew I had a problem witht he power in the 2005.

I was at his desk 2 days after the first car came off the truck. HE knew I was serious and yet after beating him up for an hour the best I could get was MSRP with a free $475 option.

I guess the dealer was the one not serious.

I won't pay MSRP and I won't pay more than $2000 over invoice.

Another thing that really bugged me about this dealer, is when I kept asking for his invoice price he said he did not know and why did I want to know? It was not useful information. I knew the invoice but I wanted him to confirm.

Guess that told me everyting I needed to know. MSRP was the price he wanted.

big_jim

Actually, not that it matters, but I am in Minneapolis. All I did was contact a handful of dealers (some in other states but under 3 hours drive) and asked fo a quote. To save on haggling, after he made his $500 under msrp offer, I countered. Not with invoice (my spread was $4,995) but with a bid I had received. I explained to him that I didn't want to pass pieces of paper back and forth and settle in the middle. I just told him that this seems like a reasonable price, and well worth me driving 150 miles to order. He fidgeted some, then accepted. The full value trade (dealer swap explained before) was icing on the cake and very classy IMO.

Could I have gotten it for less? Probably. Do I care? No, because I got a reasonable price for my market, and left happy with that knowledge. And I didn't have to sit there passing pieces of paper back and forth

Honestly, I do think it helped to have made initial contact through the internet. That and being up front that I knew what these were going for. He did say (post-deal) that people walking in through the door were getting $750 off msrp, max., but that the internet people usually get a lower price. I have no resaon to doubt him since we were done negotiating, but it could have been sales 101.

Did I mention that it completed production on Friday? Should only be a matter of weeks!

getmy545

Just leased a 2005 545 in So Cal, here are the details:

MSRP: $59870 (base model with sport package and satellite prep)
Agreed upon value: $58450
Lease term: 36 months
Annual Mileage: 15,000
Total Monthly, including sales tax (7.75%): 779.64

Haven't driven off the lot because dealer is swapping out rim/tires. May be able to cancel.

Is this a good deal?

dlaw

I bought a new 04 530 (400 miles on it actually) for $46,500 (it has sports, premium, and xenon) from a dealer. Is this a good deal? I really dislike my delaer however and wouldn't recommend anyone to him.

petp

am i wrong in thinking that an '05 525 should be going for invoice+500...or even below that? the 06's are here, and the 05's should have a year or so of depreciation in them, correct?
i am perplexed why dealers in my area (NJ) are quoting me invoice+1500. i think that price should be '06's, not '05's.

dl7265

Well, I guess it dpends on what the market will bear. One of the 4 Dallas centers still has fifity 05's left thats 50! And with check in hand the best they would accept is $1500 off and a jacked up MF of .00180!. Having said all that several posters have commented on great deals from the NJ/NY area. They might could point you in the right direction.

DL

carman35

I agree. Location/city/state can make a big difference.
I live in austin TX where we have only 1 BMW dealership.
They also had offered me a 2005 530 at their_invoice + $1500.
Could not convince them to come down. So bought from Houston
where thay have over 5 dealerships.
Also on a different note. When I see a post about someone
getting a great deal on a 2006 5 series at this point in time, they usually have a trade
in as well.
The dealers will cut you a deal on the new car if they are making
good money on the trade.

sergeym

You agreed to pay $3,500 over invoice. For the East coast $1,500 is considered to be a good deal. So Cal can be different but I would not pay more than $2K over the invoice. Eack $1K roughly equals $30/month. So you maybe paying $60/month that you could. Do additional $60/month justify the headache of canceling the deal?

hihomike

No, my uncle does not own the dealership! And no, I have not purchased any other BMW's from this dealership. I've purchased several others, including an 05 525i from another dealership, but this dealership in Pembroke Pines, FL, gave me what I wanted. I took deliver of the first 06 530i in the southeast, and it was definitely worth the wait. Performance and fuel economy excellent. I got 32.3 mpg on a 534 miles round trip from Ft. Lauderdale to Orlando. That's about 2 mpg better than my 05 525i, which really surprised me, and I was averaging 80 mph each way.

As for the purchase of the 06 530i, the general sales manager told me the reason he gave me a 1000 over invoice deal and 41K for my trade, was because he had a buyer for my 05 525i, at 3000 over what he gave me, so he had an immediate turn-around on the trade.

I find that the southeast coast of Florida is the best place to get great deals on most luxury cars, Infiniti, Lexus, BMW, Mercedes, etc., because the largest dealers in terms of new car sales can be found in the Broward/Dade County areas. JM Lexus (largest) Infiniti of Coconut Creek (largest) Vista BMW and Lauderdale Imports (largest) are just minutes from each other.

Good luck!

hpowders

Does anyone know the base money factor and residual for a 2006 530i for 3 years, 36,000 miles?

kyfdx

MF = .0025
Residual 62%

hpowders

Hey kyfdx.
Thanks a lot!
hpowders