BMW 5-Series Lease Questions

bettencb

You are correct. They were using the old program - got them straightened out. All in with no cap cost reduction and 7 MSDs, my payment will be around $780 including tax for a 2007 550i with Cold Weather, Logic 7, Automatic, and Sirius. Pretty good, don't you think? CB

groovyrocks

lease details for 2007 bmw 530i with PPkg, auto, navigation, comfort, PDC, shades, 10k miles/yr, 36 months.
net cap cost = 52,515 [invoice + $910 + options + destination fee($625)]
down = $0
security = $0
money factor = 0.00175, residual = 63%, monthly + tax = $696
other fees ; acquisition = $625, document = $45, registration = $410.
Lease guru's please advise if this is a good deal.
will try to negotiate 12000 miles/yr and pay 8 security deposits to bring MF down.

rley

Here is what I was quoted by my local dealer in Indiana on a 2007 530i:

MSRP $55,415
Sell Price $53,308
Lease $823 including 6% sales tax ($776 before tax)
36 Month/15,000 per year. No money down, no Sec. Deposit, only first lease payment and documentation fees ($199.00) due at signing.

I have a feeling that the discount is a bit on the low side, but I am limited on number of dealerships I can deal with. Are these figures at least a little bit fair?

franklingt3

Auto, Cold, Sirius, Nav, Prem, Comfort Access, Split Rear Seat, Voice Activation.

$55,890, sell $53,000
24 months, 12k, $637 per month with TTL out the door $5,000 incl all NJ taxes and fees.

Am I good to go??

Franklin in NJ

stang98sc

Can someone tell me what should my monthly payment be if I were to lease a 5 series with the following:

36 month lease
12k miles a year
MSRP: $52,870
Invoice: $48,410
I can put 500 down plus taxes, title feee and DMV

lawman10

Carman the MSRP is $48865 and they sold me the car for $45866.00 I leased the car for $594 including tax for 36 months/12kmiles with 2600 total down which includes first month, one month security. I think I got a great deal what do you think.

Thanks

beamerjbu

Looking to Lease a 2007 530xi

MSRP on this vehicle is $55,400

Terms of Lease needed are 36mos/15K per year

I do not want to put any more then $3000 total out of pocket/drive away

Looking to have a lease payment of $650/month.
Can someone tell me my options or negotiating assistance.

I received one quote of $725/month with $2700 total down. This sounds really high based on some of the earlier posts.

Thank You - Going today to try and close a deal.

John

jkmd

Hello,

I got a quote of $650 a month including tax to lease for 36 mos, 15K a 525xi with prem packg, auto shift, cold weather, GPS, satellite after trading in my 1999 Audi A4 with blue book value of 6300 (needs a lot of work). Does this sound like a reasonable deal?

beamerjbu

Just thought I'd share my recent lease deal on a 530xi

2007 530xi Silver Gray, Black Leather, Anthracite Maple
Premium Package, Cold Weather Package, Sirius, Navigation
MSRP $55,440

36mos/12K mpy
$3400 Total Out of Pocket (Includes Bank Fee, Security Deposit, Liscense, Registration and all taxes)

Monthly Payment = $642

Dealership - Prestige BMW Ramsey NJ
Salesperson was great and I think this is a great deal. Shopped at three other dealers and they were not even close to these numbers.

Thoughts??

tybalt33

What was the money factor you got on the lease? Did you apply any additional security deposits to lower the rate?

tybalt33

Something does not add up in your figures. The BASE price without oprions on the 07 530i as listed on Edmunds.com starts at MSRP $47,500- American.
1.Where are you getting MSRP of 55970?
2. What is the $3000 discount you are quoting?

beamerjbu

The $$ factor that she used was .0016. I did not put any additional Security Deposits down because I asked her if I would be able to and she said it does not make sense to because the $$ factor is already low.

tybalt33

Just thought I'd share my recent lease deal on a 530xi

2007 530xi Silver Gray, Black Leather, Anthracite Maple
Premium Package, Cold Weather Package, Sirius, Navigation
MSRP $55,440

36mos/12K mpy
$3400 Total Out of Pocket (Includes Bank Fee, Security Deposit, Liscense, Registration and all taxes)

Monthly Payment = $642

Dealership - Prestige BMW Ramsey NJ
Salesperson was great and I think this is a great deal. Shopped at three other dealers and they were not even close to these numbers.

Thoughts??


Thanks for sharing your deal with us- That sounds like a pretty sweet deal on the car! Hope you enjoy it.
What was the price of the car (MSRP vs what you paid) and your total cap cost?

beamerjbu

The MSRP was $55,440 and the they took off $3100 - total cc was $52,340.

tybalt33

Nice!
What was the money factor for the lease? Did you get the dealer to cut any of the associated fees (i.e. MACO fees, aquisition etc)?

bbreaker

Carman,

I wanted to know if you thought this was a great deal. This offer was printed in the newspaper today. Here is a link for the specific terms:

http://bmw-north-scottsdale.ebizautos.com/detail.aspx?iid=1086011

It sounds like a great deal, and if you agree, I may just jump on it. If the link does not work the basics of the offer are:

2007 525i Titanium Grey metallic with grey leather interior
MSRP 47,515
Monthly payment 439+tax
Down payment 3,122 plus 1st payment, refundable security deposit, MVD, bank and doc fees
24 month lease
10,000 miles

Thanks Carman

dpeck1

That sounds very good. What was the name of the salesman. I will call him. Thanks very much.

avhaaften

Hi CarMan,
I'm in the market for an '07 550i - wanted to see if the September rates are out yet from BMW finance - particularly money factor and residual on a 36 month/15k lease. Thanks.

offset

This what my dealer is offering me on a new M5. This would be a corporate lease with me consigning. My credit score is 659. Some feedback would be great

Your lease is as follows:
MSRP: $95,475
Cap cost: $95,475
Residual : 56%=> $53,466
Factor: 0.00445
Drive off:: $20,000 + $10,000 (Refundable Security Deposit)
Payments: $1,324 + Tax=> $1,425 inc. tax (based on 7.75% )
This structure is based on 36 months and 12,000 miles per year

mark1234

Does anyone know the MF and residuals for a 530XI this month? I had heard MF was .00160 but not sure about residual.
Specifically, 36mo/15K miles.
Also, the going rate for price seems to be $1000-2000 over invoice, is that what everyone seems to be encountering?

Thanks

mineral

I've talked to a private party about taking over his lease on a 2006 M5 (by phone so far: haven't seen the paper work). He bought the M5 6 months ago. 36 month lease. Payments are $1535. Residual $81250. The residual seems way out of wack to me. Does this make any sense to any of you more expert leasing guys? Or am I missing something?

dhanley

Residual is wrong--that must be the cap cost.

kyfdx

Or.. maybe the current payoff?

montecristo

Hi guys. I've been reading your posts and I thank all of you for such great knowledge and tips. Today, I finally pulled a trigger on '07 525i.
I spent about 5 hours at the dealership here in SoCal today and I was doing alright with the quotes you guys posted until the sales person start talking about the cap cost. This is what I finally got for my grey silver 525i:

2007 525i with PP, Auto Tran, Heated FS, Xenon Headlights, Nav., I-Pod adapter

MSRP: $51,560

Final Price: $48,274 + $825 acquisition fee

$49,099 Gross Capitalized Cost (whatever it means)
-$1894 Cap Cost Reduction

=$47,205 Adjusted Cap Cost
-$30,342 Residual Value
=$16,863 Depreciation and amortized amounts
+$4,886 Rent Charge
=$21,749 Total Base Monthly Payments

36months, 15k miles/yr, $3,048 TDO (cap cost reduction, 1st monthly pmt, $375 license fee, $28 DMV fee, $146.75 tax on cap cost, $53 doc fee)

monthly payment: $650.96

This is the best I could do because the sales person was almost in tears and kept saying that they're only making $200 gross profit off of this transaction.

Did I get a good deal? or at least a fair deal?

noleguy

carman and kyfdx,

Can you give me your opinion on whether or not this is a good deal on a 2007 525i lease:

2007 BMW 525I, Sapphire Black w/Gray Leather, Automatic and Premium Package-
MSRP - $47,470.00
Sale price - $46,560.00+ttt

Lease= $655.29+tax X 36 months, w/ $1,159.16 total down, w/12K miles/year

Residual= 62%
Money Factor= .00205
Security Deposit= $0
Acquisition Fee= $795.00

Thanks in advance for your opinion.

BTW - I am new to this forum and think it is a GREAT

CarMan@Edmunds

Hi superman105. The money factor that you mentioned is available to any consumer who leases through BMW Financial Services and pays a security deposit and BMW Financial Services' $625 acquisition fee at lease signing.

Car_man
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CarMan@Edmunds

Hi stang98sc. Let's work up a lease payment on this car for you and see what we come up with. According to my calculations, if you were to lease a 2007 BMW 530i with an MSRP of $52,870 and a selling price of $48,410 through BMW Financial Services right now for 36 months with 12,000 miles per year, its zero down, pre-tax monthly payment should be around $565 with the payment of a security deposit and BMW FS' $625 acquisition fee at lease signing.

Car_man
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CarMan@Edmunds

Hi lawman10. The selling price that you were given for this car is very attractive. It's tough for me to say whether this dealer marked up your car's money factor or not. I come up with a zero down, pre-tax monthly payment of around $555 for it. If you didn't make any sort of capitalized cost reduction, the payment that includes tax is probably in the right ballpark.

Car_man
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CarMan@Edmunds

Greetings John. The best way to negotiate an attractive lease on a vehicle is to negotiate as low a selling price for it as possible, just as if you were paying cash for or financing it, and then have the dealer calculate its lease payment using its buy rate lease money factor. BMW Financial Services' current buy rate lease money factor for a 36 month lease of a 2007 530xi is .00160.

Car_man
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CarMan@Edmunds

Hello jkmd. I would be happy to share my thoughts on this deal with you, however you never mentioned its selling price or MSRP. These are important numbers for you as a consumer to know for two reasons. First, the selling prices of leased vehicles can be negotiated, just as if you were paying cash for them. Without knowing this car's selling price in relation to its MSRP you don't know how much of a discount you are getting on it. The second reason is that one needs the selling price and MSRP, including the destination charge, of a vehicle to calculate its lease payment. Let me know these numbers and I'll tell you what I think.

Car_man
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CarMan@Edmunds

Hi bbreaker. The first thing that you need to find out about this deal is this car's selling price. The selling prices of leased vehicles are negotiable, just as if one was paying cash for or financing them. If you let me know this car's selling price, I'd be happy to give you my opinion of this deal. One thing that I can tell you about it right now is that its down payment is way too big. Consumers can and should lease any vehicle that they want without making any sort of capitalized cost reduction. This car's monthly payment will be higher without a cap cost reduction, but not making one protects you from losing money if your vehicle is totaled in an accident or stolen and never recovered. Anyhow, let me know the selling price and I'll tell you what I think.

Car_man
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CarMan@Edmunds

Hi avhaaften. If you were to lease a 2007 BMW 550i 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 59%, respectively.

Car_man
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CarMan@Edmunds

Hi bbreaker. I had to remove your post because it contained your salesperson's name. Posting the names of dealerships in this forum is OK, but not the names of specific salespeople. Here's the rest of your post:

"It is at North Scottsdale BMW. I just talked to him. He said the Cap cost was 45,389.74
Money Factor .0016
Residual 73%

Does this add up? It doesn't look like they are discounting the base price very much off the MSRP, but the low MF and especially the 73% residual is probably how they can get the monthly payment so low. Right?"

Car_man
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CarMan@Edmunds

Hi offset. It doesn't appear as though this dealer is doing you any favors. They are charging you full MSRP for this car and marking up its money factor a ton. BMW Financial Services' current buy rate lease money factor for the 2006 M5 is .00319. Even worse, you are making additional security deposits. Each additional deposit that you make on this car, after the first, will reduce its money factor by .00007. The M5 is an amazing car and I realize that they are probably in very short supply given their limited production, but this deal is not very good. Perhaps this is just the price that one has to pay for this car right now. Have you tried shopping around at all? Are there any other M5s in your area?

Car_man
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CarMan@Edmunds

Hi mark1234. The money factor that you heard is correct. BMW FS' current residual value for a 36 month lease of a 2007 530xi with 15,000 miles per year is 60%. For more information on how much you should pay for this car, make sure to sop by the following discussion: "BMW 5-Series: Prices Paid & Buying Experience".

Car_man
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new525iguy

Hello everyone,

I recently purchased (LEASED) a 2007 525i over 36 months with 15k per year. I know after reading other posts I did not get a good deal. I still want to show what I paid and learn from my mistakes, so on the next lease I will be better prepared.

Year = 2007
Make = 525i
Lease = 36 months
Miles = 15k year

Options*
Premium Package
Sport Package
Automatic Steptronic Transmission

Total Suggested retail price $50,770
Gross Capitalized cost = $49,881.03 :sick:
Purchase Option at end of term = $30,462.00
(I think my residual is 62% based on my depreciation amount being $18882.44) (($18882.44 / $30462.00 = 62))

I will just list everything so you can comment on where I got ripped off and I will take notes for the next time.

Gross Capitol Cost = $50,606.03
Capitol Cost Reduction = $1261.59
Adjusted Capitol Cost = $49344.44
Residual Value = $30462.00
Rent Charge = 6004.72 (Not sure what this is)
Total Base monthly payments = $24887.16
Lease term = 36
Base monthly = $691.31
Sales Tax/ Use Tax = 53.58
TOTAL MONTHLY PAYMENT = $744.89

Drive OFF
Capitol Cost reduction = $1261.59
First Monthly = $744.89
Refundable Security = 0.00
Initial Title = 0.00
Initial Registration = 0.00
Initial License fees = $387.00
Sales Tax /Use = 0.00
Acqusition fee = 0.00
dmv electronic fee = 0.00
sales tax Capitol cost reduction = $97.77
Doc Prep = 0.00
California Tire fee = $8.75
Total = $2500.00

Itemization of Gross capitol Cost**
Total Agreed upon Value = $49881.03
Other ACQ FEE = $725.00
Gross Cap cost = $50606.03

I know I did not get a good deal after reading some of the other posts. After I received the vehicle I realized it did not have the Logic 7 stereo with sattelite as the sales rep explained. I had already singed and they said there was no cooling off period. This angered me and I called BMWUSA and they said I should have looked at the dealer sticker more carefully. Obviously this is my mistake and the dealer manager said he would give me $500.00 as good will but I have yet to see it. I appreciate all the advice that will be givin.

Thanks..

montecristo

I'm sure other experts on this board can give you better advice, but let me give it a shot.
I think you first got ripped off on the purchase price. I think you paid around $2,500~$3,000 over invoice. Secondly, I think they charged you money factor of 0.00209.

I would report to BMW customer service. I think you definitely have a case on Logic7 that they lied to you. When BMW calls you for a customer survey, if you respond negatively, the salesperson will not be eligible to receive 'Honors' status, and this will prevent him from getting perks such as free bmw lease among others. It will also affect the whole dealership as well and I heard they will get hit on kickbacks.

new525iguy

Thanks for the feedback montecristo. I never had someone call me for the BMW to survey only for BMW automated payment, if I was interest and also info on the bmw owners circle. (website) I did suprisingly get a call after I posted this yesterday about the $500.00 check. He said it was in the mail and that people were out sick so it was never mailed?? Anyways... I know that this is a learning experience and it is only a car. I was very bitter at first and felt ripped off, but if I am the buyer & customer and don't do my research on factors etc. this was bound to happen. Three years will go by fast, but I really did want that stereo with 6 disc cd and subwoofers etc. Any more thoughts on the pricing for this would be greatly appreciated!

bmwfan5

Hi Car man,

I just wanted to share the details on a lease deal I just got on a 550i in New Jersey and wanted to get your thoughts on how I did. Specifics are below:

2007 550i

Selling price - 500 over invoice
Money factor - .00195
Residual value - 73% (2 year lease, 10K per year)

Payment worked out to $734.46 per month as I chose to pay taxes and motor vehicle fees upfront. Could you let me know your thoughts? Thanks!

cfopv

What is the name of the dealer who offered you 500 over invoice? I'm in the market for a 525xi and can't find any dealer willing to budge off of selling prices that make any of the leases reasonable.

I got a 3 year lease quote on a 525xi at two central NJ dealers for approx. $750/month. I laughed at them!

bmwfan5

I got the deal from Prestige BMW in Ramsey, NJ and know of others in NJ who have got similar deals (500 to 1000 over invoice). Please feel free to send me a message if you would like more details.

CarMan@Edmunds

Welcome noleguy. We're talking about a car that has a $3,500 spread between its MSRP and dealer invoice price, yet you are only being given less than a $1,000 discount on it. I am not intimately familiar with what the market is like for the '07 5-Series right now, but if I was in your area and was in the market for this car I would comparison shop with a few other dealers. This may be as good as it is going to get, but I would want to confirm that before pulling the trigger. Make sure to stop by the following discussion for more information on how much you should pay for this car right now: "BMW 5-Series: Prices Paid & Buying Experience".

One thing that I know for certain is the money factor that you are being charged for your 5-Series is way too high. BMW Financial Services' current buy rate lease money factor for a 36 month lease of this car is only .00160 with the payment of a security deposit at lease signing. Make sure that the dealer you are working with uses this money factor to calculate your car's monthly payment. Also, BMW FS' base acquisition fee is only $625, so this aspect of your deal is being marked up as well.

Overall, I am not very impressed with this offer.

Car_man
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CarMan@Edmunds

Greetings new525iguy. I am sorry that you do not feel that you got a good deal on your car. The best way to get a good deal on a leased vehicle is to focus on your car's selling price and money factor. These are the two main profit centers for dealers on leases. The selling prices of leased vehicles are negotiable, just as if you were financing or paying cash for them. To get a good deal, one should shop around and negotiate the lowest possible price that they can on the vehicle that they want and then have the dealer calculate their vehicle's monthly payment using its "buy rate" lease money factor. The buy rate is the money factor that is published by the bank that you are leasing through. It is important to make sure that the buy rate is used to calculate your vehicle's monthly payment because dealers are often allowed to "mark-up" vehicles' money factors to add additional hidden back-end profit to deals. BMW dealers are notorious for marking up money factors. Another item that dealers can mark up is your vehicle's acquisition fee. BMW Financial Services' base acquisition fee is only $625. Try not to pay more than that.

So that is basically how to negotiate an attractive deal on a lease. Let me know if you have any other questions.

Car_man
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zengravy

Hi all. This is my first post to this forum. I have found it an invaluable resource in researching my first BMW, a 2007 530i with Premium, Logic7, Auto, Sport, Nav, Comfort Access, Jet Black, Black Dakota Leather w/ Anthracite Maple.

Here is what the dealer is offering me (European Delivery using European Invoice):

Cap Cost: 51978.95
No Cash Down (only first month payment)
Residual - 60%
MF - 0.002
Acq. Fee - $825.00
Lic. Fee - $72.30
Title Fee - $28.00
Insp. Fee - $21.75
Tax Rate - 6.25%
36 Months - 15K Miles

$779.36

I've seen folks here mentioning 0.0016 as the current MF. Is it possible that this has changed again or am I getting ripped?

Thanks!!!

dehanc

That sounds like a great deal. I am in the market for a 2007 550 and would be interested in more details. Did you do European Delivery?

jimboinla

Hi,
Someone suggested that I post this here as well... so...sorry about the dupe but I'd really like to know

From what I've read, it sounds like I've got a good "sale price" but not a good lease rate. Please clue me in please before I buy. Thx

2007 530i Sport
15,000 miles per year 36 month lease
MSRP: $57,070 Residual: 60% = $34,242
Sale price: $53,930 Base pmt: $701.19 (+tax 57.85)

530i:$43,700 PrmPck: 1,640 SprtPck: 2,550 StepAuto: 1,210
HotSeats: 455 PrkDist: 635 Nav: 1640 Net: 51,830
Destin: 695 MACO: 380 Training:180
== 53,085 + 800 "over" + 45 Opt TTL = $53,930

These numbers were shown as well:
"LSE FCT 0.1750" Due FLSR: 52,337 gp+pac+inc: 51,936

Drive off: 1993.60 (1st month 759.04 + 449.75 lic, + 725 BNK + 28 DMV

Thanks for any help.

armitagemike

Car Man:

My name is Armitage Mike.

I hope to benefit from your expertise.

I am looking at a 530XI lease - 36 months @10,000 miles per year. Is a 12,000 mile per year lease much more?

Invoice MSRP
Base Price $44,770 $49,000
Selected Options $4,655 $5,060
Destination Charge $695 $695
Total $50,120 $54,755

I don't need the car until December 1st.

What do you think my pre tax, 0 money down lease should be? Is the December 1st date a problem or a benefit (i.e., tell them to order the car).

Thanks for your help

Armitage Mike

fishbone1

Hi Car_Man,
I know you are the guru of the BMW boards. Would you be able to tell me the current money factor and residuals for the 2007 335i coupes? I am interested in doing a 15K mile lease but could you also provide me with the numbers for a 12K and 10K lease? Thank you for your help.

bmwfan5

No, I didnt do European delivery. I custom ordered the car for US delivery at the local dealership. Please feel free to email me for more details if you like and I'd be happy to help out.

poet715

Hi
I got htis quote for 525 i premium package, aut., xenon lights
The MSRP on this car is $48270.00.
Your price at $650.00 over invoice is $45,685.00.
The TOTAL off is now $2592.68 Including $700 security dep)
And the monthly payment is now $632.15 tax INCLUDED. (CALifornia tax)
Does seem an OK deal?
The other offer
$45105, mini drive off $1765, payment $654, MF=1.6, Residual is 60% (Security dep $688)
Please advise