can't reconcile lease quote with numbers

ccohen6410

Can someone please help me reconcile the lease quote for a 12K mil/36 month lease on a 2024 BMW x5 sDrive 40? Also I just noticed the quote is supposed to be 10K/36 month so can you reconcile his quote with the 12K/36 month lease and then tell me what it should be with a 10K/36 month lease (which is what i want anyway). To begin with the dealer is charging a money factor of .0025. My understanding the money factor should be .0021 for best customers and my credit score is over 800. Anyway, the residual is 51% or $36,029, MSRP is 70,645. Discounts and incentives are 2,120. Agreed upon value is 68,525, rebates $1,500. Delivery service fee of 899 and other fees of $1,392. with an out of pocket of $1,844 and a rebate of $1,500, I am being quoted a payment of $1,256.02. Pre-tax cost is $1,173.85 (i live in South Florida where sales tax is 7% in Broward County). When I take the MSRP of $70,645 and add the $2,291 of fees, I get $72,936. Then i subtract the rebate of $1,500 and discount and incentives to get price of $69,316. So my rental charge is (69,316-36,029)/36 or $924.64. Then my finance costs are (69,316 + 36,029) x .0025= $263.36 for a total pre-tax cost of $1,188 and cost including tax of $1,271.16. This is different that the $1,173 pre-tax/$1,256.02 post tax the dealer is quoting. Can someone help me reconcile this and also, how is the $1,844 out of pocket calculated and does that figure into the calculation of the payment? Finally is this a good deal? By my calculations, just getting the money factor down to .0021 would reduce the monthly payment by around $40. Thank you everyone for all your help

Michaell

ccohen6410 said:

Can someone please help me reconcile the lease quote for a 12K mil/36 month lease on a 2024 BMW x5 sDrive 40? Also I just noticed the quote is supposed to be 10K/36 month so can you reconcile his quote with the 12K/36 month lease and then tell me what it should be with a 10K/36 month lease (which is what i want anyway). To begin with the dealer is charging a money factor of .0025. My understanding the money factor should be .0021 for best customers and my credit score is over 800. Anyway, the residual is 51% or $36,029, MSRP is 70,645. Discounts and incentives are 2,120. Agreed upon value is 68,525, rebates $1,500. Delivery service fee of 899 and other fees of $1,392. with an out of pocket of $1,844 and a rebate of $1,500, I am being quoted a payment of $1,256.02. Pre-tax cost is $1,173.85 (i live in South Florida where sales tax is 7% in Broward County). When I take the MSRP of $70,645 and add the $2,291 of fees, I get $72,936. Then i subtract the rebate of $1,500 and discount and incentives to get price of $69,316. So my rental charge is (69,316-36,029)/36 or $924.64. Then my finance costs are (69,316 + 36,029) x .0025= $263.36 for a total pre-tax cost of $1,188 and cost including tax of $1,271.16. This is different that the $1,173 pre-tax/$1,256.02 post tax the dealer is quoting. Can someone help me reconcile this and also, how is the $1,844 out of pocket calculated and does that figure into the calculation of the payment? Finally is this a good deal? By my calculations, just getting the money factor down to .0021 would reduce the monthly payment by around $40. Thank you everyone for all your help

You can structure the up front cash any way you want - generally, we recommend you pay the first payment (which I don't see mentioned) and any government fees up front, and add everything else to the cap cost and make it part of the payment.

Yes, you should work to negotiate the MF down to the base rate. Are there other dealers you can shop?

A $15 delta isn't much to get worked up about - could simply be a missing fee that accounts for the difference.