Tony - the residual is 60% and I got the car in November but I dont think the numbers have changed. You might want to consider the 24 month lease it looks good too.
My only remaining question to anyone is if the residual rate is fixed by BMW and non-negotiable with the dealer? I am kind of sensing this as the only movement I get from dealers is on the MF and sale price.
I am currently looking at a lease on: 2006 BMW 530i Automatic Premium Package #06-2237
Inception due at signing: $3619 Refundable sec. deposit $2500.00 Cap cost reduction.24 month closed end lease
10K mi/yr;20 cents thereafter ttl payments $12,456.00 Price includes all costs to be paid by consumer except for licensing, reg. fees & taxes. The mileage is pretty much dead on what I will use.
Advertised payment is $519.00 mth.
Is this a good deal? What other information should I have before going through with this?
First of all, wonderful forum... your insight is greatly appreciated.
I wish to lease either a 530xi sedan or wagon for 24mo/15k. What are the current money factors and residuals for these 2 models and when do they expire? Also, I have leased through BMW financial, so how are security deposits potentially factored?
I would always roll the tax (if one is in a state where the tax is paid upfront), and the acquisition fee into the lease.. For exactly the reasons you describe..
Also, I like my lease payment to reflect my actual costs.. That keeps me from making bad deals, and/or exceeding my budget...
This is one of the most informative forums I have ever visited. Having all of this information is like having the answer key to an exam I am just sitting down to take!
Can someone please post the latest residuals and money factors for a 2006 550i for 24 and 36 months with 12,000 miles/year?
Hi, I'm looking to move from Lexus to BMW, and am considering the new 550i with a list price of about $68k. What would the money factor be on a 36 month lease, and would the residual be the same 59% thanks, Scott
A local dealer has a 2006 525 with 4700 miles never titled ( used by local exec. ). They are using MSRP prior to Sept. 06 which is 800 lower than current MSRP
2006 525 premium package auto xenon
24 mos/12k miles residual 76% mf .00160
MSRP 46570 selling price 44770 aq fee 675 dealer fee 389 1st mo + sec dep 550
my question - how much additional discount should i ask for to account for the 4700 miles. The 24k miles on the lease goes from 4700 miles to 28700
Worked dealer down to $850 over invoice 525i Prem Pack, Auto, Xenon. What is the reasonable price to pay for advertising fee? I am being charged $650.
To lower payment BMW suggested I purchase at 36/12,000 instead of 36/15,000 and could purchase miles later at .15 cents per miles if I needed them. Is this a good idea? Or should I just stick with more than less.
To lower payment BMW suggested I purchase at 36/12,000 instead of 36/15,000 and could purchase miles later at .15 cents per miles if I needed them. Is this a good idea? Or should I just stick with more than less.
What kind of miles do you plan on driving? That's the most important question that only you can answer.
BTW, you can buy more miles from BMW up until 4 months from the end of your lease for 16 cents (not 15).... (Buying them up front is 15 cents.)
Almost. The mf of the 530i is 0.00140 which comes out to 3.36% interest, almost 3% less interest than the 550. A few months back you could have had a 545 for a mf of only 0.0010 or 2.4% interest. I took advantage of this and have a 2005 545 for just about the same monthly payment as a 2006 530i.
Hey could you REALLY help me out.. i need the same info (mf AND resid) on 24mo and 36mo 525 and 530 lease, but for 10k/yr... (your numbers were in response to 12k/yr).
I have went over leasing with a fine tooth comb, and every time I run the numbers I find it is better to buy. You just do not come out ahead on a lease, no matter how you slice it. After the lease period, you have nothing, zilch. When you buy, you have the market value of the car, and if you sell at about 3 and 1/2 years, you hit a sweet spot, where you get a very good price for your BMW, which can be rolled over into another BMW.
Every Scenario I ran showed the following: buying would save $5000 to $9,000 over a lease. I was using low ball resale values as well. So, the only reason to lease would be if you did not want to outlay a large sum of money for a down payment, or you are in your own business and you can deduct the lease payment from taxes.
Hey, I pulled a Homer Simpson!! DOH!!! Please disregard post 237. Doh Doh!!! I need to work numbers at the start of the day instead of at the end of the day.
Okay, lets say that you buy a 2006 530 for a Selling Price of $51,500. Your out the door total is $56,000, including a California Tax rate of 7.97%, and license and doc fees. You put a down payment of $31,000. You go to a credit union and obtain 72 month financing at 5.85%. After three years you have paid out: $31,000 down payment + $13083 ($363.42/36months), which is a total of $44,083.
Now, the car after three years is worth $33,000. The amount owed is $15519. So, at the end of three years if you sell your car you would have $17481 in your pocket. Thus, the car has cost you $44,083 -$17481, which equals $26,601. Is this correct? Or, am I missing something?
Now, if you lease for three years. Lets Say the MSRP of the Car is $54500, the selling price is $51,500. So, you would have the following:
MSRP 54500 sell price 51500 down 0 security deposits 3000 Acquisition 625 registration 490 tax rate 7.97% miles per year 12,000 lease term 36 months residual 62% money factor 0.00115 (reduced to this amount because of six extra security deposits) Base payment $608.11 tax 48.47 total payment $656.57
Total Lease Cost $4146 is Drive off $22,980.09 is monthly payments $27,126.41 is total payments $ 3,000.00 is Refund of Security Deposits $24,126.41 is cost of three year lease
So, in this case it would be cheaper to lease?????? What am I missing???? Is this correct??
I leased my 545 for no money down except for some small fees and I am paying only 2.4% interest. Try finding that interest rate on a car loan.
In addition, you say put down $31,000 like that should be a walk in the park for most people which it isn't. Also, for some who can easily come up with that kind of cash, they would rather invest it than throw it at a depreciating asset.
The only way many people can afford a BMW is through BMW Financial Service's incomparably attractive lease deals.
To do an apples to apples comparison, you need to run both scenarios with ZERO down..
In your comparison, the lease is cheaper, but, the spread would be even bigger, because of the opportunity cost of that large downpayment by the buyer.... He has a $31K down payment that is no longer earning interest in a bank account..
Usually, the difference in cost between lease vs. buy over three years comes down to different factors.
1) Interest rate.. Is there an incentivized money factor on the lease? If so, advantage to leasing
2) Sales tax treatment.. Does your state only tax the actual lease payment or depreciation on a lease? Or the entire purchase price? If only the lease payment, advantage to leasing
3) Is the residual percentage realistic? Can you actually trade the car in for that amount at the end of the lease? If the residual is unrealistically high.. advantage to leasing..
If these three factors are not in favor of leasing, then buying is usually cheaper over three years... or, at worst, the same cost..
Of course, if you keep your car longer than three years, then it is almost always more advantageous to buy..
Well, no one has answered morales4 on MACO fees. I too would like to know if anyone has had them sucessfully waived or reduced...is this item negotiable to the same extent $$ over invoice is? (i know, everything is negotiable, but some things less so it seems). I searched this forum and have not found any answers on point...
Hi im about to lease a 2006 BMW 525i. It is a Demo with about 8,000 miles on it. It has the cold and premium package with fold rear seats and satellite radio. I have to put down $3,768 (475 First months payment, 1123.41 TAX, 625 Bank fee, 1,000 Down and 500 Sec Deposit.) and my monthly payments is 475 for 2 years and 15k a year. Any advice would be greatly appreciated. thank you.
BMW posts new lease numbers every month... There is no way to know for sure if the numbers will be better or worse next month...
Even the lease deals are decent now, I don't think I'd want to lease six weeks ahead of my lease expiration.. Any possible savings would be eaten up by making payments on two cars for 1.5 months...
Hi im about to lease a 2006 BMW 525i. It is a Demo with about 8,000 miles on it. It has the cold and premium package with fold rear seats and satellite radio. I have to put down $3,768 =
475 First months payment
1123.41 TAX,
625 Bank fee
1,000 Down
500 Sec Deposit
and my monthly payments is 475 for 2 years and 15k a year. Any advice would be greatly appreciated. thank you.
Thanks. That is what I thought. Just wanted to make sure that I wasn't missing a good buying (leasing) opportunity before the end of the year. I do not need two cars and will only be over about 1,000 miles on my current lease.
I was in a BMW dealership today and they told me about the "pull ahead" program that BMW is running where they will cover 3 payments to get you out of another BMW lease. It sounds like a good program. Does anyone have any experience with this? Are there any concerns about it?
Also, they told me that the 550i's are in short supply and going (more or less) for sticker. Does anyone have any recent experience otherwise?
Appreciate the help on mf and residuals that were already posted. This is a great forum!
Comments
24 mo 12k miles
MF .00180
RESIDUAL 76%
MSRP 48665
SELLING PRICE 47465
black
beige
premium package
automatic
comfort access
xenon
sirius
aqui. fee 625 + dep 600 + 1st mo + dealer fee 317
after calculations mo payment is 588 + tax (6.6%)
looking to do this today
love the board and thank you in advance for quick response
final price $47,500
36 months
12000 miles
Money factor .0016
Residual 62%
Thanks in advance!
Jason
It appears you got a great deal.
one says res. on 24mo/12k is 73%
another says 24mo/12k is 76%
what is correct
Only the money factor and selling price are negotiable.
ft 695 695
step 1275 1210
44,470 37875
+1200 dealer
24/76% $396.49 plus tax$6.25% 24.78=$421.27 pmt
total lease $10,111-$1000.00 BMWCCA membership $9,111.00
what am I missing ?
DL
Amortized over a 24 month lease, that is over $100/mo. just in sales tax.. Giving a payment closer to $500/mo.
regards,
kyfdx
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I am currently looking at a lease on:
2006 BMW 530i
Automatic
Premium Package
#06-2237
Inception due at signing: $3619
Refundable sec. deposit $2500.00
Cap cost reduction.24 month closed end lease
10K mi/yr;20 cents thereafter ttl payments $12,456.00
Price includes all costs to be paid by consumer except for licensing, reg. fees & taxes. The mileage is pretty much dead on what I will use.
Advertised payment is $519.00 mth.
Is this a good deal? What other information should I have before going through with this?
First of all, wonderful forum... your insight is greatly appreciated.
I wish to lease either a 530xi sedan or wagon for 24mo/15k. What are the current money factors and residuals for these 2 models and when do they expire? Also, I have leased through BMW financial, so how are security deposits potentially factored?
Many thanks
Thanks,
Brad
530: 74% residual, mf 0.00140
DL
Also, I like my lease payment to reflect my actual costs.. That keeps me from making bad deals, and/or exceeding my budget...
regards,
kyfdx
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DL
Can someone please post the latest residuals and money factors for a 2006 550i for 24 and 36 months with 12,000 miles/year?
Thanks, Brad
36 months: residual = 59%, money factor = 0.00260
I'm looking to move from Lexus to BMW, and am considering the new 550i with a list price of about $68k. What would the money factor be on a 36 month lease, and would the residual be the same 59%
thanks,
Scott
The money factor is currently 0.00260.
A local dealer has a 2006 525 with 4700 miles never titled ( used by local exec. ). They are using MSRP prior to Sept. 06 which is 800 lower than current MSRP
2006 525
premium package
auto
xenon
24 mos/12k miles
residual 76% mf .00160
MSRP 46570
selling price 44770
aq fee 675
dealer fee 389
1st mo + sec dep 550
my question - how much additional discount should i ask for to account for the 4700 miles. The 24k miles on the lease goes from 4700 miles to 28700
thanks
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To lower payment BMW suggested I purchase at 36/12,000 instead of 36/15,000 and could purchase miles later at .15 cents per miles if I needed them. Is this a good idea? Or should I just stick with more than less.
What kind of miles do you plan on driving? That's the most important question that only you can answer.
BTW, you can buy more miles from BMW up until 4 months from the end of your lease for 16 cents (not 15).... (Buying them up front is 15 cents.)
A few months back you could have had a 545 for a mf of only 0.0010 or 2.4% interest.
I took advantage of this and have a 2005 545 for just about the same monthly payment as a 2006 530i.
THANK YOU IN ADVANCE!!!!
Thanks in advance.
525 36 months 63% res. 0.00160 mf
530 24 months 75% res. 0.00140 mf
530 36 months 63% res 0.00140 mf
Every Scenario I ran showed the following: buying would save $5000 to $9,000 over a lease. I was using low ball resale values as well. So, the only reason to lease would be if you did not want to outlay a large sum of money for a down payment, or you are in your own business and you can deduct the lease payment from taxes.
Now, the car after three years is worth $33,000. The amount owed is $15519. So, at the end of three years if you sell your car you would have $17481 in your pocket. Thus, the car has cost you $44,083 -$17481, which equals $26,601. Is this correct? Or, am I missing something?
Now, if you lease for three years. Lets Say the MSRP of the Car is $54500, the selling price is $51,500. So, you would have the following:
MSRP 54500
sell price 51500
down 0
security deposits 3000
Acquisition 625
registration 490
tax rate 7.97%
miles per year 12,000
lease term 36 months
residual 62%
money factor 0.00115 (reduced to this amount because of six extra security deposits)
Base payment $608.11
tax 48.47
total payment $656.57
Total Lease Cost
$4146 is Drive off
$22,980.09 is monthly payments
$27,126.41 is total payments
$ 3,000.00 is Refund of Security Deposits
$24,126.41 is cost of three year lease
So, in this case it would be cheaper to lease?????? What am I missing???? Is this correct??
In addition, you say put down $31,000 like that should be a walk in the park for most people which it isn't.
Also, for some who can easily come up with that kind of cash, they would rather invest it than throw it at a depreciating asset.
The only way many people can afford a BMW is through BMW Financial Service's incomparably attractive lease deals.
In your comparison, the lease is cheaper, but, the spread would be even bigger, because of the opportunity cost of that large downpayment by the buyer.... He has a $31K down payment that is no longer earning interest in a bank account..
Usually, the difference in cost between lease vs. buy over three years comes down to different factors.
1) Interest rate.. Is there an incentivized money factor on the lease? If so, advantage to leasing
2) Sales tax treatment.. Does your state only tax the actual lease payment or depreciation on a lease? Or the entire purchase price? If only the lease payment, advantage to leasing
3) Is the residual percentage realistic? Can you actually trade the car in for that amount at the end of the lease? If the residual is unrealistically high.. advantage to leasing..
If these three factors are not in favor of leasing, then buying is usually cheaper over three years... or, at worst, the same cost..
Of course, if you keep your car longer than three years, then it is almost always more advantageous to buy..
regards,
kyfdx
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Premium package
Automatic
Xenon headlights
MSRP: $47,270
Invoice: $43,310
MF: .00175
24 months
12,000 miles
Residual: $35,925.20 (76%)
Down Payment includes:
BMW Acquisition Fee: $825
Registration: $354
Doc Fee: $45
Cap Reduction: $450
Total Down: $2,217
Monthly Payments: $543.00 ($501.50 + $41.37 taxes - 8.25%)
Dealer says that Edmunds Invoice does not show BMW marketing fee of $385. So invoice should be $43,695.
Also, dealer says that MF of .00160 is only available to prior BMW owners. Best he can do is .00175
This is in Southern California.
Any comments on this deal would be appreciated.
Regards.
Your dealer is correct about the Edmunds invoice not showing MACO (BMW ad fee), as those fees vary by region and do not apply to all dealers..
.00175 is the base money factor without a security deposit.. If you want the .0016 money factor, you'll have to make a security deposit.
Your dealer has marked up the acquisition fee by $200.. the base fee is $625..
regards,
kyfdx
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Even the lease deals are decent now, I don't think I'd want to lease six weeks ahead of my lease expiration.. Any possible savings would be eaten up by making payments on two cars for 1.5 months...
regards,
kyfdx
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If you negotiate an "invoice plus" offer, then you can expect it to be included.... It is on the invoice..
But, if you offer $45,XXX for a certain car, then they certainly shouldn't be adding it on top of an agreed to amount.. It is their cost, not yours..
regards,
kyfdx
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475 First months payment
1123.41 TAX,
625 Bank fee
1,000 Down
500 Sec Deposit
and my monthly payments is 475 for 2 years and 15k a year. Any advice would be greatly appreciated. thank you.
Also, they told me that the 550i's are in short supply and going (more or less) for sticker. Does anyone have any recent experience otherwise?
Appreciate the help on mf and residuals that were already posted. This is a great forum!