BMW 3-Series Lease Questions

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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Hello Reeto. If you were to lease a 2006 BMW 330i through BMW Financial Services right now for 36 months with 15,000 miles per year, its buy rate lease money factor and residual value should be 00195 and 62%, respectively. The numbers for an otherwise identical lease of a 325xi should be .00250 and 61%. $500 to $1,000 over dealer invoice would be an very attractive price to pay for these cars, but how good a deal you get will depend upon the level of competition in your area. Make sure to check out the following discussion to see how much other community members have paid for these cars lately: "BMW 3-Series: Prices Paid & Buying Experience".

    BMW Financial Services' multiple security deposit program allows consumers to "buy down" vehicles' money factors by making additional deposits. Lessees receive a money factor deduction of .00007 for every additional security deposit that they make on their vehicle. A maximum of seven additional deposits, for a money factor reduction of .00049, can be made. This program is a much better way to lower vehicles' lease payments than making a down payment because consumers actually get your security deposits back at the end of their leases.

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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Hi reetoboston. This particular discussion is for questions about leasing the BMW 3-Series. You will stand a much better chance of getting an answer to questions about this car's options in the following section of the forums: "BMW 3-Series 2006+".

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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Hi getwired. The dealership that you are working with is attempting to mark-up BMW Financial Services' base lease acquisition fee of $625 to add an additional $200 in hidden profit to your deal. Furthermore, BMW FS' current buy rate lease money factor for a 36 month lease of a 2006 325i is .00250 with the payment of a security deposit and .000265 with the deposit waived. So this dealer is trying to make money by marking up your car's money factor as well. If I was in your situation, I personally would insist that this dealer use the base acquisition fee and buy rate money factor. You can buy down BMW FS' money factors by making additional security deposits. It will lower vehicles' factors by .00007 for each additional factor paid, up to seven extra.

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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Hello tdzz1975. BMW Financial Services' current buy rate lease money factor and residual value for a 36 month, 10,000 mile per year lease of a 2006 325xi are .00250 and 64%, respectively.

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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Here you go, raln48. If you were to lease a 2006 BMW 330xi through BMW FS right now for 36 months with 15,000 miles per year, its buy rate lease money factor and residual value should be .00195 and 61%, respectively.

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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Yes, miket1000, BMW made an unscheduled enhancement to the money factors for AWD 3-Series models at the beginning of April. BMW FS' current buy rate factor for the '06 330xi is indeed .00195.

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  • jvprjvpr Member Posts: 48
    Hi Carman--

    What would the minimal beacon score be to qualify for these rates?
  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Hi desi1. A base 2006 BMW 330i has a spread of a little over $3,100 between its full MSRP and dealer invoice prices. You are being quoted a discount of $2,280 on the car that you are interested in, which is pretty good. For additional feedback on how much you should pay for this car right now, make sure to stop by the following discussion: "BMW 3-Series: Prices Paid & Buying Experience".

    The money factor and residual value that you were quoted for this car are right in mine with BMW Financial Services' current lease program for it. Using these numbers, an MSRP of $42,280, and a selling price of $40,000, I estimate that this car's zero down, pre-tax monthly payment should be exactly $512.07, just like you came up with.

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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Hi John. I'm not sure if BMW Financial Services will approve you for a lease. Your credit score is good, but obviously, your income is currently a lot less than most people who lease through them. I personally feel as though you would be better off waiting to get a new vehicle. You are way too upside down on your current car. There's no way that you will be able to roll that much negative equity into your new lease. In order to get out of your current vehicle, you will have to pay several thousand dollars out of your own pocket. If you continue to drive it for a while, you will eventually be a lot less upside down on it.

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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Hi halacious. Dealerships, especially BMW dealerships, do not want consumers to know the details of vehicles' lease programs because they don't want them to know how good...or likely how bad a deal they are getting. Informed buyers are often much less profitable than uninformed buyers. The fact that you are corresponding with these dealers via e-mail probably isn't helping either. Most dealers suspect, and probably rightfully so, that if they give a concrete quote to consumers who inquire via e-mail that it will get shopped around to a million dealers and they will never see them again. You will probably have better luck getting the information that you want out of dealers by working with them in person. The most important numbers to find out when leasing are your vehicle's selling price and the money factor that is being used to calculate your monthly payment.

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  • axcimochaxcimoch Member Posts: 1
    so I went to the Bmw dealership , they quoted me:

    2006 325xi - jet black, steptronic, sport package, xenon lights + optional wheels $300 (style 161)

    27 months lease / 12,000 a year for $400 (taxes included)

    2500 down payment
    aquisition fee
    first month payment
    security deposit
    + other fees ( registration etc)
    4300 total at the time of signing

    can anyone run the numbers and tell me if I got a good deal ? I'm confused now ,
    thanks guys

    where can I find a residual value table for 2006 bmw lease?
  • halacioushalacious Member Posts: 3
    Yes, another person asking if this is a good deal -

    Here's what I was offered:
    '06 325ci convertible/loaded
    Sale Price - $45,500
    Money factor - .00280

    24 months
    $600 per month (includes 7% tax )
    $3413.41 up front (I know, I know)
    $600 refundable sec. dep. + first month payment = $4613 total out of pocket

    Thanks in advance for your advice!
  • krispaigekrispaige Member Posts: 2
    I was offered the following lease deal in Cal.

    325xi
    Metallic paint
    Premium package
    Xenon lights
    heated front seat
    automatic transmission
    Sat radio prep

    Cap cost $37,100
    mf .00265 (they said I can't get .0025 unless I am a current or recent BMW owner/lessee)
    36/12,000
    residual 63%
    $2,000 down
    so monthly payment of $459.38 (including tax and title)

    Sound good? Thanks!!!!!!!
  • halacioushalacious Member Posts: 3
    PS. Forgot to mention this for a 10k per year lease. I was told I could purchase miles after the first year if needed at 16¢ per mile.
  • shjespersonshjesperson Member Posts: 4
    I negotiated a lease last month (March 2006) for a loaded 330i. It has pretty much every option except the navigation. MSRP is $44,000. I had a trade in worth $7,000, which I did trade in. The lease terms I received were 36 months, 10k miles/year, payment $450/month before taxes. I told the sales person that I wanted a deal based on the purchase price being $42,000 and $7,000 for the trade in. As I examined my paperwork better, the "Gross Capitalized Cost" said $47,269. Does this mean my lease is based on a purchase price of $47,269?

    I got so confused at the dealership, they threw all kinds of numbers at me. I was happy to get rid of my old car and have a payment of $450, and I love the car. But now I am wondering if I was ripped off.

    So to recap:

    $7000 trade in
    No other money down
    36 month lease
    10k miles/year
    $485/month payment (includes taxes)

    What do you think?????
  • jvprjvpr Member Posts: 48
    whats your beacon score?
  • kyfdxkyfdx Moderator Posts: 267,097
    BMWFS leases are pass/fail.. The Beacon score really isn't relevant.. You either qualify, or you don't.

    regards,
    kyfdx

    Edmunds Price Checker
    Edmunds Lease Calculator
    Did you get a good deal? Be sure to come back and share!

    Edmunds Moderator

  • shjespersonshjesperson Member Posts: 4
    I'm sorry, but I don't know what a beacon score is, can you explain? My credit score is 750.
  • jazzwalljazzwall Member Posts: 1
    Hi All,

    I'll be getting a BMW 325i with Premium and Sports packages, auto-transmission, Xenon lights, sat-radio prep, and metallic paint. The purchase price is 37000 before tax, etc. The dealer is giving me the following deal:
    $3200 down.
    $510/month for 36 months.
    15,000 miles per year.

    He said that it includes the "drive-off" and "bank acquisition" fees.

    Is this a good deal or bad? Am I being ripped off? I tried to estimate payments on BMW's website for the same price and it came out to be about $460. What am I in for?

    I've got pretty good credit (> 760).

    Thanks for your time and help!!
  • shjespersonshjesperson Member Posts: 4
    Hi, nobody has responded with an answer to my question...... "Did I get ripped off?". Just wondering if you would comment on my lease terms?

    Thanks!!
  • kyfdxkyfdx Moderator Posts: 267,097
    It is hard to say, without the lease deal in front of us... Your gross cap cost of $47,XXX? Is that broken down? That seems quite a bit higher than your MSRP, which is a little unusual..

    Also, you say your trade is $7000.. Did you have a loan balance on it?

    Edmunds Price Checker
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    Did you get a good deal? Be sure to come back and share!

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  • jvprjvpr Member Posts: 48
    what was your money factor?
  • shjespersonshjesperson Member Posts: 4
    No, I didn't owe anything on the trade. Is there a way to work the deal backwards, in other words go from the payment, down payment, expected money factor, etc. and say, here is what price the lease is based on? Let me know what other numbers you would need to make this calculation.

    Thanks for your help.
  • krispaigekrispaige Member Posts: 2
    Hi,

    I am going to be signing a contract for a lease for BMW 325xi in the next few days. The dealer wanted me to get him the bank paperwork this weekend "in order to lock in the rate." Do you know if the .0025 rate that I am supposed to be getting is going up or down? I certainly don't want to sign off on a contract with a higher April rate.

    Any help would be appreciated (and a quick answer is needed!). Thanks very much.
  • moose123moose123 Member Posts: 15
    I purchased a 325i manual yesterday, with sport, leather, power seats, xenon, metallic paint, and cold weather for 1 percent over invoice. I wanted to lease, but the dealer wanted to mark up the money factor to 0035, rather than the 0025 i'm reading about on this site. So I agree with Carman that they really don't want you to know the details...so they can mark up the profit. I ended up paying 1% over invoice, and decided not to let the dealer make the profit on my lease, or on financing, which came in a bit high at 6.99. I've never leased before, was tempted, but the confusing numbers, and the seemingly inability to get them to lower the money factor and the monthly payment, was too much to handle. It also seemed strange that they wanted to charge a full tax rate as if I was purchasing the car (in Virginia), rather than pro-rating it for the amount of depreciation....

    PS, this site is very helpful!

    Cheers!
  • laderakingladeraking Member Posts: 69
    Ballpark selling price should be around 43k.

    Thanks in advance for your aid.
  • victorichiban3victorichiban3 Member Posts: 1
    Hello I am new to this forum and was wondering If I would get approve to lease a BMW 2007 335i. Both of my parent work and their income combine is 100k and have 60k debt on credit. But both of my parent never pay the payment late and have pretty good history. Also we own a house and my mom is part time stock trader so she make about 3k extra $ everymonth or so. In November of this year I will be looking forward to get the BMW 335i which is around 44k starting price and and with option will be about 54k. I was wondering if our family will get aprove on leasing or buying the car. Also can you guys please tell me if is better to lease or to buy. Also can you guys please tell me the estimation price for leasing it monthly? Thanks
  • shoppergirl78shoppergirl78 Member Posts: 3
    Hello, does anyone know what the current money factors are for BMWFS for the month of may? I'm looking to lease a 325i or 325xi. Also, are there any special dealer incentives for this month? Thanks!
  • jakelatjakelat Member Posts: 12
    I just found out - deal got worse from April - MF is .00275 (up from .0025) 15Kmi residual is 60% (down from 61%) last month. Oh well - going to look at the
    A4 / IS250 / 9-3 as options...
  • maxdieselmaxdiesel Member Posts: 4
    Does anyone where I can go to find out the current MF for BMWFS? I will be leasing a vehicle that is on order sometime in May, maybe June and want to be sure that I am an educated negotiator.

    Please advise.
  • carleasercarleaser Member Posts: 8
    Does anyone know what happens if your registration is expired when you return the car at lease end? I am leasing a new BMW and I do not want to have to pay 2 registration fees, so I let my current registration expire. Would that cause any problems for me?

    I'd appreciate any insight. Thanks!
  • snq310snq310 Member Posts: 2
    The vehicle I test drove had an MSRP of $36,345, which included an automatic transmission, the premium package, heated front seats, and radio prep. What should I expect to pay for such a car over 36 months and 10,000 miles per year? The dealer mentioned something about a BMW bank loan with an exit clause that resembled a lease, but without the full tax on the car that is required in Chicago, IL. I have good credit and was am willing to put $2500 down. Any advice on how to structure the lease or negotiate a price is much appreciated.
  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Hi krispaige. I hope that you locked BMW's April lease program in because its new May program is quire a bit worse.

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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Congratulations on your new car, moose123. Enjoy!

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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Hi shoppergirl78. jakelat is right, this car's May lease program got worse. If you were to lease a 2006 BMW 325i through BMW Financial Services right now for 36 months with 15,000 miles per year, its buy rate lease money factor and residual value should be .00285 and 61%, respectively. The numbers for an otherwise identical lease of a 2006 325xi should be .00285 and 60%. BMW is not currently providing any dealer cash incentives on any models except for the '06 Z4.

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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Greetings maxdiesel. If you tell me exactly which car you are interested in, I can give you an idea of what BMW's current lease program is like for it. Its May lease program is scheduled to run through June 30th, so baring any unexpected changes the numbers that I provide you with will be good for the next two months.

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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Hi snq310. Your lease payment for this car will depend upon the selling price that you are able to negotiate. Stop by the following discussion to see how much other community members have paid for similar vehicles lately: "BMW 3-Series: Prices Paid & Buying Experience". Once you have an idea of how much you should pay, let me know and I would be happy to use BMW's current lease program to estimate what this car's monthly payment should be like for you.

    The loan that the dealer mentioned to you sounds like a balloon note. Balloon notes are very similar to leases in that they provide consumers with low monthly payments and the option to purchase their vehicles after a specific period of time for a predetermined price. Balloon notes are not nearly as popular as leases. The really only seem to be used in areas that have tax rules that make them more attractive than leases, like your area.

    You really shouldn't make such a large down payment when leasing. If your lease BMW is stolen or totaled in an accident before the scheduled end of your lease, your down payment will essentially disappear. Consumers are free to lease any vehicle that they would like without making any capitalized cost reduction. All you will have to pay at lease signing is your car's first month's payment, a security deposit that is equivalent to that payment rounded up to the nearest $50 increment, BMW FS' $625 acquisition fee, and any required state taxes or fees.

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  • snq310snq310 Member Posts: 2
    It looks like most people are paying about $34100 for a 3-series such equipped. This dealership is one of the biggest in the country and does a lot of volume. Nonetheless, at that price what do you think a 3-year, 10000 mile per year lease would be like? I'd like to go over there this week and take the car home. Thanks.
  • v_ladv_lad Member Posts: 27
    take an invoice price, add 1 - 1.5% to it. take a money factor of 0.0027 or 0.00235 (they say they will raise it soon). set residual value at 64% of your price for that model 10000 miles and 36month lease. go to edmunds calculators and calculate your monthly payment. Expect to have a security deposit of about 500 and downpayment of about 2000.

    If you are buing it - look at 1% over invoice without any hidden charges.
  • v_ladv_lad Member Posts: 27
    this was posted at another thread:

    Looking to lease a 2006 330xi with Premium Package, Navigation, Satellite Radio, Heated Front Seats and Auto Trans.
    Got a 27 month lease offer with 12K miles of $639/mo total. This assumes about $900 down at signing, which is first payment and fees(tags, etc.)
    Is this a good deal? Help!

    I don't know where you live, so I assume invoice price for this is 42000.
    you have a chance to negotiate a price of 42500.
    12kmiles for 27months is 73% residual value = 42500*0.73 = 30660.
    No downpayment.
    I don't know what money factor was applied (depends on your credit history and stuff like that). let's assume 0.0027.
    edmunds lease calculator gives 627 per month+tax for a lease like that. So your price seems to be good.
  • 28firefighter28firefighter Member Posts: 9,847
    I just negotiated the following for a friend on an '06 330xi..

    Options:
    Jet Black
    Beige Leather
    Steptronic Auto
    Premium Package
    Cold Weather Package
    Navigation
    Satellite Radio

    MSRP: 46115
    Sale Price: 43,800

    Lease Terms: 585/month (including 6% tax), 0 Down, 27 Months, 12k miles/year, Lease Fees and Tags due at inception (plus a security deposit due to being a new BMW Lessee)
    Money Factor: .00225
    Residual: 73%

    This is in the philly area...how'd I make out for him? I had other dealers in the area telling me to take this deal at the other dealer, so I figured I couldn't do any better. They are also going to handle the return of his current Saab lease which is up this month (including footing the bill to inspect that car and have it detailed before turning it in). The dealer didn't have the car in stock, but it is on the current boat into the east coast, so it'll be in within the next week and a half or so.

    Thanks,
    Alex
    2025 Jetta GLI Autobahn, 2024 Jeep Grand Cherokee 4xE
  • rdarmsrdarms Member Posts: 3
    I've never leased before. I'm considering a 325xi stick for 3 years. Are there any "gotchas" to watch for from BMW, like buy-in or buy-out fees? IE. if you don't release at the end of a lease, is there an extra fee? etc? Would appreciate any advice or hints. Thanks.
    -Rob
  • laderakingladeraking Member Posts: 69
    I am considering ordering;
    Monaco Blue with Terra Leather, has anyone seen this combo?
    Should I stick with Beige?

    Let the opinions begin.
  • manaboutmanabout Member Posts: 31
    Carman,

    Can I get your help in confirming the deal (or no deal) my wife is getting on a 06 330xi? The lease is for 36 mo/12K mi/yr and comes out to $565.78/mo (incl. 6% NJ tax) with $1575.28 total out of pocket

    Options are: Auto, NAV, Metallic Paint, Heated Seats, Premium Package, Dest. Charge.

    MSRP - $45,645
    Cap Cost - $42,8000
    Residual - 63%
    MF - .00195

    We like our dealer, but I want to make sure that this is truly the "best" he can do.

    Thanks in advance.
  • laderakingladeraking Member Posts: 69
    Thank God i went and saw the color combo Monaco Blue and Terra Leather before i ordered the car.

    UUUUUUUGLY!

    Silver and Black with Aluminum Trim wins.

    I am waiting til Memorial day to purchase. Dealers do crazy things at the end of the month and it's magnified with the holiday.

    With the raised money factors business had to slow a little so be aggressive. 500 to 800 over invoice is the highest you should pay.

    Happy hunting
  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Here's the information that you're looking for, rqys. BMW Financial Services' new June buy rate lease money factor and residual value for a 36 month lease of a 2007 328i Sedan with 15,000 miles per year are .00140 and 61%, respectively. Let me know if you have any other questions.

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  • robray222000robray222000 Member Posts: 8
    I'm in the market to lease a 2006 325i or 330i. My lease specs are 36 months at 15K. I'm getting conflicting info from several BMW dealer's internet depts. regarding the money factor and residual for these cars at the aforementioned lease term. Can any of you supply any pertinent info. It would be greatly appreciated. Also should I expect to be able to lease these cars at 1% over invoice?
  • tex330tex330 Member Posts: 2
    Car Man -

    I have been reading the posts for a while and only signed up tonight, as I am nearly ready to lease a 3 series within the next month or two. I have already been to the dealer and he has informed me that, because I would like many features that the 330 has standard and the 325 does not, it might be best for me to go with the 330, since, in his words, "the rate is better for the 330 anyway".

    If you don't mind, would you please review what I am looking for and help me along in my communication with him?

    I am looking for the following:
    2006 330i
    Premium Package
    Automatic Transmission
    Cold Weather Package
    Premium Sound
    Comfort Access
    Sirius setup

    I have estimated this on Edmunds at an invoice price of around $38,800..

    A 36/15k is best for me...what is the current MF & Residual % for May and, is that something that the dealer won't budge on? If I ask him to lower that and he cannot/will not, then can he adjust other factors (such as price or residual value) to get me to where I want to be in terms of monthly lease payments? If I put (basically) $0 down, can you help me with what I should expect my monthly payment to be??

    Thanks so much-
    Tex330
  • evoicevoic Member Posts: 22
    I live in California and the tax rate here is 7.75%

    I am looking to sell my leased BMW 330i to a private buyer.
    Can someone explain how this whole process will work?
    What taxes am I liable for, who does the title get mailed to, etc.

    I know that CA law allows for some type of grace period, but I don't know any specifics on this.

    My payoff is $24,408 and the buyer is paying me $26,500.
    If I get hit with CA taxes, it comes to $1,891 which basically makes it pointless to do. If I am NOT liable for taxes, then I need to jump on it and get the whole thing done and over with ASAP while the buyer is interested.
    Also, my lease is up in 6 weeks, so I need to get on the move.

    Thanks for any advice you can offer.
  • v_ladv_lad Member Posts: 27
    according to tables at bimerfest for a 36\15k lease of 330i
    residual is at 62% of !MSRP! and money factor is at 0.00225.
    325i - 61% and 0.00285.
    You usually haggle on both moneyfactor and purchase price when leasing.
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