BMW 3-Series Lease Questions

skobola

You are correct, I was not even trying to calculate these facts into the lease, which may apply. In my defense, I said "if I would be you", which is exactly what I would do. However, I see that if he/she gets that used Bimmer, + full 20k miles allowance on it, there would be no comparison between my lease and the used one. However, in regard to MSDs, if someone does not have that kind of money, I would suggest them that they then rather lease a less expensive car in the first place...

qbrozen

if someone does not have that kind of money, I would suggest them that they then rather lease a less expensive car in the first place

good point.

bgreene1

Hey Car_Man,

Can you tell me what the May residual is for a 2008 335i coupe for a 3 yr/15K lease? I am assuming money factor is .00220 as you mentioned above. My car is being delivered shortly and want to compare the current deal with the one I struck earlier. Thanks.

richz

Residual 54% of MSRP – .00220 Base Rate

You definitely struck a great deal, BMW dropped residuals like crazy in May.

bryanlee81

I just got this quote from the dealer

328XI with premium, cold weather, xenon, ipod adapter

12k a year for 39 months

for $2671 out the door including first month payment with 499 a month.

Money factor is 0.00190 with 59% residual.

good deal?

richz

Do the math yourself and tell us if it's a good deal. Once you do the math it should become obvious how much above invoice they are charging you.

ewodn

This is my first time looking for a lease car.
I was talking to the bmw dealer and apparently
they are having a lease special on base model of
2008 328i, 10k miles, 24 months for $269.99 plus taxes per month.
With around $5700 ($3000 down payment and $2700 of fees) payment at signing the monthly payment should be $292.00.
This is just a base model no options on it.
He said one w/ power seat costs $344.00 with $5700 pay off at signing.
I looked on other bmw lease but didn't find any cheaper lease special than this one. Is this a good deal?
And fees always cost this much, $2700 ?

richz

Don't let him get away with "fees". Tell him to explain what each and every penny is going towards.

inhalexhale

I'm thinking about taking over someone's lease on a 2007 328xi. I believe it has auto trans and the premium package. She said fully loaded, but I have not seen it yet other than pics. (Going next week to look at it). Anyway, the deal is $465 per month, plus she pays me 2K. There are about 26 months left. Is this worth it?

Thanks for your help.

nvnc

I'm considering the lease deal below and would like an opinion on whether I should continue looking around for a better deal, I know I shouldn't put too much down but here's what I've got:

2008 BMW 328i Coupe
Sports Pkg, Metallic Paint, ipod adapter, standard leatherette, 6-sp manual
36-Month, 12K per
MSRP $37,950 ; Invoice $34, 950
$2K down, $535 per month (includes NC tax and all "fees")

Is this a fair deal or should I look around for something better? Thx!

qbrozen

how many miles did she contract for and how many does it currently have?

ccdbb

I would like to lease a 328xi around Princeton, NJ area. Anyone knows the base MF?

Thanks.

ccdbb

inhalexhale

THe lease is up in 08/2010. She agrred to 32,500 and currently has 17K.

qbrozen

she put 17k on in 9-10 months? yikes. no wonder she wants out.
that only leaves you with 15k miles over 26 months?
That's a helluva lotta money you'll be paying just to drive 15k.

inhalexhale

True, but she's also going to give me 2k in cash. So even if I buy another 5k miles so I can get the basic 10k per year, that would only cost $800. So to put it differently:

2 years left on lease
10k miles per year
465 per month
She pays me $1200 cash
2007 328xi, auto trans, premium package

With that in mind does it still seem bad? I'm deciding whether to take hers over or get a new one.

qbrozen

even if I buy another 5k miles so I can get the basic 10k per year, that would only cost $800.

You sure about that number? I know several manufacturers have a weird breakpoint where miles are more expensive. In other words, a 10k/yr lease carries 20 cents per mile over the allotment, while a 15k/yr lease carries 15 cents per extra mile. Not sure if that's the case here, but its something to watch for.

In any case, even 10k seems low to me. I believe the ad in the paper this past weekend was $399/mo for 10,500/yr and ... I'm guessing here ... but I think about $2k-$2500 out of pocket. Take that a step futher and put down MSDs and you could drive that down quite a bit. Roll in all costs on top of that and ... well, just off the top of my head ... I'm thinking you could be even lower than that $465/mo.

inhalexhale

Yea BMW has two options for mileage. You can prepay more milage @ 16cents per mile. If you just let it go over and turn it in your charged 20 cents per mile.

I'll check the paper this Sunday. On their website BMW has the 328xi sedan lease offer listed for $3500 down and $459 a month. (36 month/10k miles per year) this doesn't include taxes/fees. (328xi, premium package, auto trans)

I was quoted on a new sedan without the premium package and minimal options (power front seats/ heated seats)and it was $2075 down and $469 per month. (10k miles per year)

Granted, I can get them to go lower but do you really think they would wave the $2075 down payment, add a $3200msrp package, and drop the payment $4+ a month?

qbrozen

I had to double check myself and I was a bit off.
http://www.circlebmw.com/app-new.pdf

it was $399 with $2500 down, but its actually $3900 total out of pocket. And its 10k/year, not 10,500, like I thought. I'm not real familiar with the options, but I suppose that one in the ad doesn't have premium, either.

BUT, like I said before, too, if you go with the MSD option, you can drop that payment.

k2chad

Only a good deal if you look at the mileage left....Pricewise, the per month cost is good. It probably means the first lessee put down some cash to get the payment down. Now she is also giving you $2000? Effectively that puts you at $389/month. A good deal, if you get the miles. Some of these deals look great, until you find out that 20,000 of the allowed 30,000 miles are on the car and you've got 26 months left.

inhalexhale

I appreciate both of your help. Unfortunately it looks like this lady found someone between when I last talked to her, and today when I was suppose to go see it, that was willing to assume her lease without asking for $2k. IMO whoever she found is getting ripped off. Oh well. I was quoted on a new one, what do you guys think of this?

328xi sedan, non metallic paint, auto trans, power/memory seats, heated seats
39months/10k yr
$475 month
$925 up front ($450 sec deposit and $475 first months payment)
all inclusive (taxes, all other fees)
rate: .00175 residual: 58%

CarMan@Edmunds

I am sure that myself or another knowledgeable community member will be happy to work up a lease payment on the car that you are interested in for you, ejz1. However, we will need its full MSRP in addition to the selling price.

Car_man
Host
Prices Paid: Buying & Leasing Experiences Forum

CarMan@Edmunds

Hey bgreene1. BMW Financial Services' latest buy rate lease money factor and residual value for a 36 month lease of a 2008 BMW 335i Coupe with 15,000 miles per year are .00210 and 54%, respectively.

Car_man
Host
Prices Paid: Buying & Leasing Experiences Forum

CarMan@Edmunds

Hi ccdbb. BMW Financial Services' new June buy rate lease money factor for the 2008 BMW 328xi is .00165.

Car_man
Host
Prices Paid: Buying & Leasing Experiences Forum

mackeyvp

Can anyone provide me with the June MF and 15k mile residual for the 328i coupe?
Seems the 135i is pricing itself out of my comfort zone

ccdbb

Car_man,
Thanks for MF. Got this lease quote for 2008 328xi 30 mo 10K with auto trans, cold package (a must), metallic black and ipod (come with existing car)

msrp $38075
sell price 36675
Aquisition fee $800
residue 64%
MF .00165 if acq fee paid up front but .00180 if rolled in
7% tax
monthly $549

There might still be room for sell price. But I wonder if the acq fee is negotiable. My friend just closed a lease deal on a 2008 infinity G35x with acq fee. Other than slightly lower MF of .00174, no other differences.

Any comments? Thanks.

ccdbb

shabbirn

Hello Folks,

Would appreciate your guidance on this matter.

I am interested in leasing a new beamer however i am worried about the maintainance costs involved during the life of the lease as well as the final expense during the return of the vehicle.

Also, is there any disadvantage of taking over a lease for a used 2006 328 for around $350 a month

please help
thanks

k98rs01

Thanks for all the information you post. Could you also post the current residual and money factor for a 328i Coupe with 10,000 miles per year?

I am hoping to sign a lease in Texas in the next couple of days.

richz

Please go here for all June money factor/residual rates for all BMWs.

ccdbb

bmw offers free maintainess for the term of lease. Even better (in terms of convenience, might be for the car itself), only one maintainess visit per year. My X3 is up to term next week. Over the 36 mo lease, I only brought the car back twice for regular maintainess visits.

davidd3

I got a couple of initial quotes from dealers in the metro NY area.

BMWFS leasing program for this car is what it is, which is to say not very aggressive at this time. 3 years. 15,000 miles per year. Money factor .00185. Residual value 55%. Bank fee $625. Both dealers quoted without marking up the money factor or bank fee.

So the only things that are going to matter here are (1) sales price and (2) dealer fees.

Both quotes are based on no money down, and capitalizing the bank fee ($625) and sales tax (7.375%).

At signing, I wanted to pay only the first month's payment and DMV fee. No security deposit will be required as this would be my second BMW (if I go forward).

MSRP of quoted vehicle is $43,945.

NY dealer quoted $679 per month based on sales price of $41,650. Also due at signing, in addition to first month's payment and DMV fees, is a nominal dealer fee of $45.

CT dealer initially quoted $678 per month based on sales price of $41,600. Then I found out they have a $275 dealer fee which they refuse to waive. I asked them to re-quote by capitalizing the fee. The revised quote is $686. The CT offer is a little bit worse of a deal. The sales prices are similar, but the CT dealer charges a higher dealer fee.

How about the dealer discounts being offered here? About $2,300 below MSRP. Can I expect to do much better than this through negotiation or is this pretty much the going rate?

richz

That payment sounds really high. I am looking for a 335xi coupe and that's what I am coming up for a 3 year / 36K lease. There is currently a $1200 (maybe $1250, can't remember) automatic transmission credit that the dealer gets from BMW so make sure when you try and figure out how much over invoice you want to pay you factor that in too. The dealer won't tell you about the $1200 credit he gets from BMW but you should know that it will certainly pad his margin on the deal.

davidd3

There is currently a $1200 (maybe $1250, can't remember) automatic transmission credit that the dealer gets from BMW so make sure when you try and figure out how much over invoice you want to pay you factor that in too. The dealer won't tell you about the $1200 credit he gets from BMW but you should know that it will certainly pad his margin on the deal.

So automatic transmission is basically a free option then! I could not find this credit in Edmunds "Incentives and Rebates." Is there a place where I can substantiate this credit? I just want to make sure I know what I am talking about before I press dealers to apply all or some of this credit to lower their prices.

I hesitate to negotiate price with dealers based on some amount above invoice, because the invoice amount I find in my internet research (e.g., Edmunds) always seems to be lower than what the dealer says is their invoice price. Instead I just get some offers and then play them off against each other. Eventually I start to see the lowest common denominator, or one dealer breaking away from the pack, as the case may be.

Edmunds TMV for this car is about $1,400 below MSRP. The initial quotes I got are about $2,300 below MSRP. So I supposed that I might be off to a good start. No?

richz

You should go here and do some reading. Edmunds is not very accurate as far as incentives go.

davidd3

You should go here and do some reading.

I did. It's not clear to me that it applies to leases too, but I will certainly ask my dealers about this. Thanks for pointing this out.

davidd3

This deal was possible b'cos of the $1210 option credit for automatic transmission.

I just confirmed that this credit applies to leases. The above quote was in a recent post in another Edmunds forum describing a lease deal. Thanks again.

jordan1450

Okay so I'm currently a Junior in college and I graduate in May of 2010. I'm trying to do some research so that I can lease a BMW upon graduation with minimized stress.That being said, I am really confused about how to figure out lease prices.

I have a couple of questions about college graduates and lease programs...

1. I understand that BMW does have a college lease program but I wondering how good does your credit have to be to qualify?

2. I called the dealership and asked if you can use MSD for a certified pre-owned vehicle and he said it would not make sense to and I was wondering if someone could explain to me why is this so?

3.Does anyone know which banks BMWFS uses to assess credit worthiness?

Furthermore,

I live in NJ and at the BMW dealership nearest to me is currently offering a 2008 328i with an auto tranny and heated seats for $299 a month for 24 months.

This pricing is ideal for me since I would like to have a monthly payment that is between 300 and 400 dollars. That seems like a really good deal to me but I cant figure out how they come up with these deals.

Thanks in advance any and all help is greatly appreciated.

davidd3

First offers from 2 preferred dealers were based on prices which were both about $2,300 below MSRP, which I thought was pretty good until someone in this forum was kind enough to tell me about the automatic transmission option credit.

Automatic transmission is now a $1,325 option. So I emailed both dealers today asking about the option credit. Good news is that they both readily confirmed the credit. Bad news is that they both said they had already taken the option credit into account when they worked up their lease quotes. By my math, this makes the dealer discounts they offered only about $1,000. I called them on that. Eventually, one dealer moved $200 (i.e., $2,500 off MSRP) and the other dealer moved $400 (i.e., $2,700 off MSRP). The better price is coupled with a lower dealer fee too. They both made noises about how there is no more room for negotiation . . .

The dealer who was less competitive on the 328i coupe tried to entice me with a 328i sedan instead, and it might just work. Quoted a lease payment of $588, based on a discount of $3,300 off MSRP, bank fee and sales tax (7.375%) rolled in, buy rate BMWFS lease program (lease program for sedan is better than lease program for coupe), paying at signing only first month payment, DMV fees, and $275 doc fee (which dealer refuses to waive but will roll into the monthly payment). Now that seems much more like it. Compare this $588 to same dealer's $671 lease quote for a similarly equipped 328i coupe. Now I'm thinking more seriously about going with the sedan instead. Problem is that it would be mentally tough to get another 3-sedan after deciding that a 3-coupe would be a nice change.

CarMan@Edmunds

Hey mackeyvp. You never mentioned how long you want to lease this car for or what mileage allowance you need, so for now I will assume that you are interested in a 36 month lease with 15,000 miles per year. Let me know if you want something different. BMW Financial Services' current buy rate lease money factor and residual value for a 36 month lease of a 2008 328i Coupe with 15,000 miles per year are .00185 and 55%, respectively.

Car_man
Host
Prices Paid: Buying & Leasing Experiences Forum

CarMan@Edmunds

Hi jordan1450. Wow a BMW as your first car our of college. I want to go to school where you're going . I had an Isuzu Amigo and then a Nissan Altima when I got out. If you have a good job and don't have a messed up credit history you should not have any trouble leasing a car through BMW Financial Services.

I know that BMW FS obviously allows lessees to make MSDs on new BMWs, but I've never looked into whether this program is available on CPO vehicles. I suspect that it is, but I am not 100% certain.

Car_man
Host
Prices Paid: Buying & Leasing Experiences Forum

parnelli66

Leasing a BMW straight out of college? Dumb Dumb Dumb. Buy a used car, pay it off as soon as you can, and then start saving. Don't get on the "perpetual car payment driving a luxury car I can't really afford" cycle so many posters here are on.....

gforce11

My first car out of grad school was a 2001 325i During undergrad and into grad school, I was cruising in a 1993 Mazda MX6 thought.
I think its fine to lease a bmw out of college if you have no school loans.

G

davidd3

I am on the verge of leasing a new 2008 328i coupe. Decided the way I want it. Been working on negotiating the deal.

And then I realized this car is coming equipped with Bridgestone Turanza tires. These are the worst tires I ever had. They came with my 2006 330i. Tread wear was OK, but became much too noisy way too soon. I read reviews at tirerack.com and this is an extremely lowly rated tire. It is unthinkable that BMW is still using this tire 3 years later.

So I asked my sales guy if I can order the car with substitute tires, such as Continental. I recalled reading in a forum some time ago that this can be done when the customer is insistent enough. His reaction was firstly negative and secondly non-commital.

I intend to put the same inquiry to one or more other dealers to hear what they would say.

But it occurred to me that I might benefit from the personal experience and/or advice of knowledgeable persons monitoring this forum.

Please let me know your thoughts.

Thanks.

hpate

Hello to all.

I am seriously thinking of leasing a 2008 BMW 328i Sedan for the Mrs. and I've never did a lease before..I need someone's expert advice before I sink myself into something that I'm not ready for. Well this is what I am interested in ..a 36 month lease.w/15000 miles per year. I would like to know what is a fair monthly note without a down payment. Also I'd like to know if you would have to pay insurance being that it is a lease and not a purchase...please someone help me out..P.S. I live in Louisiana and the tax is like 9%.

wantnewcar2

It is hard to tell what the fair monthly note would be without knowing how you will have the car configured (options). Then there is the negotiated selling price, which has a large influence in the monthly payment... Yes, you have to have insurance. You will be responsible for the condition of the vehicle even in a lease.

Also, the longer you go (36 months vs 24 months) and the more miles you have (15K vs 12K) will drive up the price. The residual will be best at 24 months.

gforce11

Here's a lease formula/calculator. Make sure you get the sale price, MF, residual value and MSRP from the dealer so you can calculate your lease properly. Ideally you want to secure the lowest possible sale price and if you have good credit, you should qualify for the lowest MF available in your area.
Here are the lease rates for all BMW 3-Series for the month of June.

davidd3

Disregard my question asked in a previous post.

I heard from my dealer that in recognition of numerous customer complaints, the car is no longer being built with Bridgestone Turanza tires. They are using Continental Pro in the meantime, while they have not yet decided what will be the substitute tire of choice in the long run.

So getting them to build my car with substitute tires turned out to be a non-issue.

davidd3

Ordered a new 328i coupe yesterday.

Lease details as follows, based on June lease program. If leasing program in month of delivery is better, I'll change to that. So what is described below is now my worst case scenario.

MSRP $43,395
36 months
15,000 miles per year
money factor .00185
residual value 55%
monthly payment $650 (this includes bank fee and 7.375% sales tax)
due at signing 1st month's payment + DMV fees + $45 document fee

Expect to take delivery in late Aug or early Sep.

jeffman619

What was the sales price? how much is "bank fee"? can that be negotiated away?

gforce11

bank fee cannot be negotiated, but the doc fee can in some/most cases.

jeffman619

Is that tacked onto every loan or lease through BMW finance? how much is it?