2016 BMW 3-series Lease Questions

lindawa

Does anyone know if BMW will have any incentives next month or March? From what I can see right now it is $1,000 allowance on a 2016 328i for January. Thanks.

kyfdx

lindawa said:

Does anyone know if BMW will have any incentives next month or March? From what I can see right now it is $1,000 allowance on a 2016 328i for January. Thanks.

Current programs are scheduled to run through February.

No crystal ball.

verity

Is this a good deal?
I think it is but would appreciate an expert opinion.

2015 328i x drive, 4 door demo car with less than 1000 miles
MSRP $48,150 (cold weather, driver assist, premium package)
Selling price $38,700 (negotiated price includes the $3000 buildout credit)
36/12
$399 monthly
Cash due on lease (including 1st payment) $2849
tax state NY
I assume the money factor is .00132 - it is not stated on the disclosure sheet.

Thanks in advance.

Michaell

verity said:

Is this a good deal?
I think it is but would appreciate an expert opinion.

2015 328i x drive, 4 door demo car with less than 1000 miles
MSRP $48,150 (cold weather, driver assist, premium package)
Selling price $38,700 (negotiated price includes the $3000 buildout credit)
36/12
$399 monthly
Cash due on lease (including 1st payment) $2849
tax state NY
I assume the money factor is .00132 - it is not stated on the disclosure sheet.

Thanks in advance.

If the selling price is the net cap cost, I get $399.94/mo with those numbers and the base MF of .00132.

Looks like a solid deal.

And, only 1000 miles!

verity

Thanks!..
I think that selling price and net cap cost are the same. How would I know if they were not?

These are the delivery fees:
First payment $399
Upfront sales tax $1060,
Acquisition fees $925,
DMV fees $295,
Tire fee 12.50,
Inspection fee $10,
Doc fee $75,
Tax on fees $73.75

Michaell

verity said:

Thanks!..
I think that selling price and net cap cost are the same. How would I know if they were not?

These are the delivery fees:
First payment $399
Upfront sales tax $1060,
Acquisition fees $925,
DMV fees $295,
Tire fee 12.50,
Inspection fee $10,
Doc fee $75,
Tax on fees $73.75

My calculations and the dealer quote would result in different payments. They don't, so I'm pretty sure the selling price = cap cost.

Nothing out of the ordinary on those up front costs. Nice that NY caps the doc fee at $75. I paid almost $500 here in CO when we bought my wife's Outback last year.

verity

A bit off topic but what are the market forces that allow one financial leasing company (BMW) to charge .00132 money factor and another to charge .0008 (I think Infinity leasing). Is it just that they can get it? In NY I cannot use MSD's to buy down the money factor.

kyfdx

verity said:

A bit off topic but what are the market forces that allow one financial leasing company (BMW) to charge .00132 money factor and another to charge .0008 (I think Infinity leasing). Is it just that they can get it? In NY I cannot use MSD's to buy down the money factor.

It's not market forces, it's marketing.

Infiniti might put their marketing dollars into a lower money factor, but they have a low residual. BMW has a higher money factor, but a higher residual.

Either way, they are trying to get to a payment that the customer perceives as a good value, and that will sell vehicles. Individual variables don't always have to make sense, as long as the total package gets them to the payment that works.

abrenbren89

Any news on the February rates? Looking for rates on the 340i X for 24/36 months at 12K. Any incentives?

Thanks in advance.

Michaell

abrenbren89 said:

Any news on the February rates? Looking for rates on the 340i X for 24/36 months at 12K. Any incentives?

Thanks in advance.

Current BMW lease numbers are not expiring until 29 February ... 00132 and 66% / 60%. $1000 option credit.

jmcbmw

HI Michaell, Do you know if the BMW loyalty credit of 1st and 2nd payment credit up to $500 each is also not changing for February? Also, please confirm for a 2016 328i the terms are: 36 months / 12K .00132 MF and 60% residual and the $1000 option credit. Thanks so much for the great info!

lsbmw47

Hi, What is the residual and Money Factor on a 2016 328i GT for 36 months 10k/12k miles? What are the current option credits?

Thanks.

Michaell

jmcbmw said:

HI Michaell, Do you know if the BMW loyalty credit of 1st and 2nd payment credit up to $500 each is also not changing for February? Also, please confirm for a 2016 328i the terms are: 36 months / 12K .00132 MF and 60% residual and the $1000 option credit. Thanks so much for the great info!

I don't have any loyalty incentive information, so cannot confirm that it will continue into February.

Those numbers are correct.

Michaell

lsbmw47 said:

Hi, What is the residual and Money Factor on a 2016 328i GT for 36 months 10k/12k miles? What are the current option credits?

Thanks.

.00132 and 60% for 36/12. Add 1% for 10K. $1000 option credit.

jmcbmw

FYI: There is confirmation on bmwusa.com that loyalty payment credits remain the same to 2/29 as well.
http://www.bmwusa.com/standard/content/loyaltywaiver.aspx

coby16

Is the $1000 option credit an additional reduction from a negotiated sales price or, in practice, is it generally already included in the dealer discount from MRSP/Invoice Price?

kyfdx

coby16 said:

Is the $1000 option credit an additional reduction from a negotiated sales price or, in practice, is it generally already included in the dealer discount from MRSP/Invoice Price?

On the lease, it will be listed as a CAP reduction. But, if you are negotiating and it's not mentioned, you can bet they already included it in their offer. It is a separate customer incentive, though.

barnwah

I'm looking at a lease on a 2016 328i xDrive AWD Wagon. 3 years/36 miles, I live in MA. Here are the details:
MSRP- $51,920
Cap Reduction- $3,720
Cap Cost- $48,200
Sales Tax- $3354
Dealer/State Fees- $529
Total Price- $52,083
MF-.00132
Residual - 60%

Zero money down.....$660 month.

What do you think?

Thanks

Michaell

barnwah said:

I'm looking at a lease on a 2016 328i xDrive AWD Wagon. 3 years/36 miles, I live in MA. Here are the details:
MSRP- $51,920
Cap Reduction- $3,720
Cap Cost- $48,200
Sales Tax- $3354
Dealer/State Fees- $529
Total Price- $52,083
MF-.00132
Residual - 60%

Zero money down.....$660 month.

What do you think?

Thanks

Some of those numbers don't look right .. tax is assessed against the monthly payment in MA, not on the entire selling price.

And, I don't see any negotiated discount from sticker. Should target 5-7% off MSRP.

I agree with the MF and residual.

We do not recommend making a cap reduction on a lease - that money is at risk if the car is stolen or totaled.

barnwah

Thanks. I think the Cap Reduction of $3720 may actually be the negotiated discount. I putting down zero out of pocket money. I will ask them about the MA tax.

Michaell

barnwah said:

Thanks. I think the Cap Reduction of $3720 may actually be the negotiated discount. I putting down zero out of pocket money. I will ask them about the MA tax.

That makes more sense.

arts2565

Hello All - I was hoping to get some help with a lease I'm looking at. Here are details:

BMW 2016 3 Series Gran Turismo 328i x drive 4 door
State of Texas
MSRP is $50,345.00
Dealer Price to me is $46,997.20 + Taxes and Misc Fees
Taxes (6.5%) and Misc Fees are $3,367.07; bringing total cost to $50,355.06
$500 rebate
$694 is only cash due at signing (first months payment)
36 months lease / 10K miles per year
Monthly payment is $694

Based on what I can see from Internet (looking at MF and residuals), it seems that this is an expensive monthly payment. I have pristine credit (over 780).

Are they not giving me the best money factor?

What is my best case monthly payment that I should be able to get to?

Thank you for any help.

Michaell

arts2565 said:

Hello All - I was hoping to get some help with a lease I'm looking at. Here are details:

BMW 2016 3 Series Gran Turismo 328i x drive 4 door
State of Texas
MSRP is $50,345.00
Dealer Price to me is $46,997.20 + Taxes and Misc Fees
Taxes (6.5%) and Misc Fees are $3,367.07; bringing total cost to $50,355.06
$500 rebate
$694 is only cash due at signing (first months payment)
36 months lease / 10K miles per year
Monthly payment is $694

Based on what I can see from Internet (looking at MF and residuals), it seems that this is an expensive monthly payment. I have pristine credit (over 780).

Are they not giving me the best money factor?

What is my best case monthly payment that I should be able to get to?

Thank you for any help.

Using the base MF of .00132 and 36/10 residual of 61%, I get $653/mo with your prices.

Either the MF is marked up or the net cap cost is higher than what you've shared with me.

arts2565

thanks so much for the response; i agree that the money factor is marked up. do you know if dealers "take additional profit" through the money factor? i'm working with auto nation and they claim they're giving me the lowest money factor a well qualified buyer with excellent credit.

Michaell

arts2565 said:

thanks so much for the response; i agree that the money factor is marked up. do you know if dealers "take additional profit" through the money factor? i'm working with auto nation and they claim they're giving me the lowest money factor a well qualified buyer with excellent credit.

Yes, the dealer collects the profit from a marked up MF. Check with other dealers - it only takes one to make a deal on your terms.

arts2565

Thank you!!

jpbran

Lease numbers for a 2016 320i RWD? Specifically, 15k miles, 24 months. Southeast/TN region (if that matters) Thanks!

kyfdx

jpbran said:

Lease numbers for a 2016 320i RWD? Specifically, 15k miles, 24 months. Southeast/TN region (if that matters) Thanks!

.00132 MF and 64% residual. $1000 option allowance.

58% residual for 36 months.

lexrj

Hi Michaell, can I get the lease numbers for 2016 320i 36/15K, also, do BMW have leases higher than 15k? If so can you give the numbers for that too please. Thanks!

Michaell

lexrj said:

Hi Michaell, can I get the lease numbers for 2016 320i 36/15K, also, do BMW have leases higher than 15k? If so can you give the numbers for that too please. Thanks!

.00132 and 58%. $1000 option credit. 

Extra miles are deducted from the residual at .10-.25 per mile. 

nycjames

What are the numbers for a 2016 328i xdrive 36/12k? And can someone explain what the $1000 option credit is? Is it just an extra rebate tacked on at the end or something? Thanks in advance.

EDIT: is it .00132 and 60%?

Michaell

nycjames said:

What are the numbers for a 2016 328i xdrive 36/12k? And can someone explain what the $1000 option credit is? Is it just an extra rebate tacked on at the end or something? Thanks in advance.

EDIT: is it .00132 and 60%?

Yes, those numbers are correct.

Option Credit is a fancy name for rebate - use that knowledge to negotiate your best deal.

nycjames

Michaell said:

nycjames said:

What are the numbers for a 2016 328i xdrive 36/12k? And can someone explain what the $1000 option credit is? Is it just an extra rebate tacked on at the end or something? Thanks in advance.

EDIT: is it .00132 and 60%?

Yes, those numbers are correct.

Option Credit is a fancy name for rebate - use that knowledge to negotiate your best deal.

Thank you very much!

nycjames

Michaell said:

lindawa said:

Thanks. The invoice is $41,095 and the selling price is 39,721. The MSRP was $43,895. Lease for 36/10 with $2500 drive off. Dealer says $446 plus tax monthly. Seems high. Thanks for your help.

I get $447/mo with those numbers (.00132 and 61%). Only way to improve on it is to negotiate a lower price or use MSD to buy down the MF.

He's getting roughly 9.5% off MSRP... isn't that a great deal? What part of his numbers could be improved?

Michaell

nycjames said:

Michaell said:

lindawa said:

Thanks. The invoice is $41,095 and the selling price is 39,721. The MSRP was $43,895. Lease for 36/10 with $2500 drive off. Dealer says $446 plus tax monthly. Seems high. Thanks for your help.

I get $447/mo with those numbers (.00132 and 61%). Only way to improve on it is to negotiate a lower price or use MSD to buy down the MF.

He's getting roughly 9.5% off MSRP... isn't that a great deal? What part of his numbers could be improved?

I didn't say it was a bad deal, just that as it stands, it can only be better with a lower price. I don't make decisions with other people's money.

nycjames

Michaell said:

Thanks. The invoice is $41,095 and the selling price is 39,721. The MSRP was $43,895. Lease for 36/10 with $2500 drive off. Dealer says $446 plus tax monthly. Seems high. Thanks for your help.

I get $447/mo with those numbers (.00132 and 61%). Only way to improve on it is to negotiate a lower price or use MSD to buy down the MF.

He's getting roughly 9.5% off MSRP... isn't that a great deal? What part of his numbers could be improved?

I didn't say it was a bad deal, just that as it stands, it can only be better with a lower price. I don't make decisions with other people's money.

Ah, gotcha! Sorry I didn't mean to imply otherwise. 

arts2565

I'd love any feedback on this offer:

328i x drive Gran Turismo
MSRP 50,345
Negotiated Price:  45,926 
Taxes, Title, Insurance Etc:  3288

Negotiated price is "very good" according to True Car.  Note that In TX sales tax is paid on entire purchase price when you lease.

I asked for dealer to come back with their best price for a lease with no cash upfront and they gave me $660 per month.

If I run a lease calculator with 61% residual and a .000132 MF I get a monthly of $619 using above negotiated price plus taxes and fees.

When I asked dealer why he can't get me to $619 he says that he has to make money somewhere and that car price is already rock bottom so they are taking ~$1500 of profit in the MF.

Thoughts?  Is this a good deal?  Is it possible he is making money on purchase price too?

nycjames

I'd like to know everyone's thoughts on this deal I received...

2016 328i xdrive Sedan (Cold weather package, premium package, driver assistance package, driver assistance plus, lighting package, navigation)
36 months 12k miles
New York State
MSRP 51445
Selling price 47450 (7.7% off msrp, includes $1000 option credit)
0.00132 MF
60% Residual
Total due at signing: $1731 ($925 Acquisition, first months payment, and doc fee)
Monthly payment: $622

kyfdx

arts2565 said:

I'd love any feedback on this offer:

328i x drive Gran Turismo
MSRP 50,345
Negotiated Price:  45,926 
Taxes, Title, Insurance Etc:  3288

Negotiated price is "very good" according to True Car.  Note that In TX sales tax is paid on entire purchase price when you lease.

I asked for dealer to come back with their best price for a lease with no cash upfront and they gave me $660 per month.

If I run a lease calculator with 61% residual and a .000132 MF I get a monthly of $619 using above negotiated price plus taxes and fees.

When I asked dealer why he can't get me to $619 he says that he has to make money somewhere and that car price is already rock bottom so they are taking ~$1500 of profit in the MF.

Thoughts?  Is this a good deal?  Is it possible he is making money on purchase price too?

As the dealer admitted, they are marking up the money factor the maximum. If you are happy with $620/mo, then tell them that's your bottom line.

kyfdx

nycjames said:

I'd like to know everyone's thoughts on this deal I received...

2016 328i xdrive Sedan (Cold weather package, premium package, driver assistance package, driver assistance plus, lighting package, navigation)
36 months 12k miles
New York State
MSRP 51445
Selling price 47450 (7.7% off msrp, includes $1000 option credit)
0.00132 MF
60% Residual
Total due at signing: $1731 ($925 Acquisition, first months payment, and doc fee)
Monthly payment: $622

I get $564/mo.+tax.. Do you have the adjusted CAP cost, as it seems NY tax was rolled into the lease.

nycjames

kyfdx said:

I'd like to know everyone's thoughts on this deal I received... 2016 328i xdrive Sedan (Cold weather package, premium package, driver assistance package, driver assistance plus, lighting package, navigation) 36 months 12k miles New York State MSRP 51445 Selling price 47450 (7.7% off msrp, includes $1000 option credit) 0.00132 MF 60% Residual Total due at signing: $1731 ($925 Acquisition, first months payment, and doc fee) Monthly payment: $622

I get $564/mo.+tax.. Do you have the adjusted CAP cost, as it seems NY tax was rolled into the lease.

I forgot to mention that taxes are rolled into the payments. 8.875% taxes.

i just asked my salesman and he said the cap cost is my selling price. So $47450 for the cap cost. 

nycjames

I just read that it might be better for Me (since I'm in New York) to pay all taxes up front.. Otherwise if I roll the taxes into the monthly payment, I'm paying interest on the taxes. Any advice regarding this? I always thought it was recommended to pay as little as possible up front when leasing. 

kyfdx

nycjames said:

kyfdx said:

I'd like to know everyone's thoughts on this deal I received...

2016 328i xdrive Sedan (Cold weather package, premium package, driver assistance package, driver assistance plus, lighting package, navigation)
36 months 12k miles
New York State
MSRP 51445
Selling price 47450 (7.7% off msrp, includes $1000 option credit)
0.00132 MF
60% Residual
Total due at signing: $1731 ($925 Acquisition, first months payment, and doc fee)
Monthly payment: $622

I get $564/mo.+tax.. Do you have the adjusted CAP cost, as it seems NY tax was rolled into the lease.

I forgot to mention that taxes are rolled into the payments. 8.875% taxes.

i just asked my salesman and he said the cap cost is my selling price. So $47450 for the cap cost. 

If the taxes are rolled in, then the selling price isn't the CAP cost..

kyfdx

nycjames said:

I just read that it might be better for Me (since I'm in New York) to pay all taxes up front.. Otherwise if I roll the taxes into the monthly payment, I'm paying interest on the taxes. Any advice regarding this? I always thought it was recommended to pay as little as possible up front when leasing. 

Yes.. you are paying finance charges on the taxes if you roll them in.. It's minimal.

nycjames

kyfdx said:

If the taxes are rolled in, then the selling price isn't the CAP cost..

Ok I just emailed my salesman to give me the full breakdown sheet. I'll post it once he gives it to me. Thank you for your help!

If the finance charges on taxes are minimal, are you saying it's still a good idea to roll them in and NOT pay them up front?

kyfdx

nycjames said:

kyfdx said:

If the taxes are rolled in, then the selling price isn't the CAP cost..

Ok I just emailed my salesman to give me the full breakdown sheet. I'll post it once he gives it to me. Thank you for your help!

If the finance charges on taxes are minimal, are you saying it's still a good idea to roll them in and NOT pay them up front?


Yes.. better to roll them in, just like the acquisition fee.

If something unforeseen happens to your vehicle after a couple of months, and it's totaled, the state isn't going to rebate your sales tax. But, if you rolled the amount of the tax into your lease, then you only paid a little bit of tax, if your car is totaled.

nycjames

kyfdx said:

Yes.. better to roll them in, just like the acquisition fee.

If something unforeseen happens to your vehicle after a couple of months, and it's totaled, the state isn't going to rebate your sales tax. But, if you rolled the amount of the tax into your lease, then you only paid a little bit of tax, if your car is totaled.

Ok, so I should roll in the acquisition fee too. So basically what's due at signing should be first month's payment + dealer doc fees + DMV fees, right?

Based on what you said above,

I get $564/mo.+tax.. Do you have the adjusted CAP cost, as it seems NY tax was rolled into the lease.

What should my adjusted cap cost be for this to be a solid deal? I want to sign soon since my salesman said it takes 2-3 months for the car to come in after I order.

kyfdx

nycjames said:

kyfdx said:

Yes.. better to roll them in, just like the acquisition fee.

If something unforeseen happens to your vehicle after a couple of months, and it's totaled, the state isn't going to rebate your sales tax. But, if you rolled the amount of the tax into your lease, then you only paid a little bit of tax, if your car is totaled.

Ok, so I should roll in the acquisition fee too. So basically what's due at signing should be first month's payment + dealer doc fees + DMV fees, right?

Based on what you said above,

I get $564/mo.+tax.. Do you have the adjusted CAP cost, as it seems NY tax was rolled into the lease.

What should my adjusted cap cost be for this to be a solid deal? I want to sign soon since my salesman said it takes 2-3 months for the car to come in after I order.

Yes.. 1st payment + DMV fees upfront... Roll everything else in. I don't see anything wrong with the deal you have.

nycjames

kyfdx said:

Yes.. better to roll them in, just like the acquisition fee. If something unforeseen happens to your vehicle after a couple of months, and it's totaled, the state isn't going to rebate your sales tax. But, if you rolled the amount of the tax into your lease, then you only paid a little bit of tax, if your car is totaled.

Ok, so I should roll in the acquisition fee too. So basically what's due at signing should be first month's payment + dealer doc fees + DMV fees, right? Based on what you said above, I get $564/mo.+tax.. Do you have the adjusted CAP cost, as it seems NY tax was rolled into the lease. What should my adjusted cap cost be for this to be a solid deal? I want to sign soon since my salesman said it takes 2-3 months for the car to come in after I order.

Yes.. 1st payment + DMV fees upfront... Roll everything else in. I don't see anything wrong with the deal you have.

Great! Thanks again for all your help. I feel better knowing the deal looks good to you all. Now waiting 3 months for the car is gonna suck!

nycjames

Also, does BMW currently have a college graduate incentive program? I searched google but I see results from years ago. Nothing recent mentioning a college rebate.