Thats great mileage especially considering tolls/traffic . My last FL trip I wanted to check out Vista, just to see. In my area the Largest Centers are the most expensive, go figure.
I don't believe this at all. Why in the hell would someone pay more for your trade than what you could get a brand new one for? If they gave you 41.9 for the car that's below what the net cost is on the car new! Doesn't make sense at all.
$1,000 over seems far fetched enough ............
So, anyway, I just called the dealer the in Pembroke and no one there seems to know anything about being able to buy an '06 530 for a thousand over invoice. Plus, the used car manager says that they haven't had a pre-owned 2005 5 series.
OK, there seem to be some misunderstandings about how gap insurance works. I think a lot of our members would be interested in this conversation, so rather than keep it hidden away in the 5-Series pricing discussion, I've created a new topic about Gap Insurance. It's on the Smart Shopper board, where a lot of our members who have expertise in leasing & insurance hang out. Please go ahead and continue your conversation in that discussion - I'm sure we'll all learn a lot!
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Has anyone in the NY/NJ area recently received pricing on an all wheel drive 525xi? It seems a lot of the posts are for the rear wheel version. Any insight would be greatly appreciated.
OK. But my questions are not about GAP insurnace. I understand what that is and in any BMW lease, your getting coverage for that as part of the Acqusition fee.
My question has to do with the risk to leasee when putting down a LARGE downpayment in the evet of a total loss.
Assuming a no discounted car price of 50K and 12k down, what happens if the loss occurs in say month 3?
I called my insur company today, State Farm, and spoke with a claims agent. I was told they pay the lesor (Bank) actual csh value which we roughly estimated at 45000.
The bank would have had only 38K on the table and they would be getting back 45K plus the other payment the leasee made within the 3 months.
They are not under any obligation to return the 7K difference. However, some leases do allow the leasee to recover this excess but it needs to be specified in the lease. Not likely with BMW leasing.
I just sold my 3 series and I am moving up to a 5 series! I am looking to purchase a 2005 525 with auto, prem, and xenon (msrp $46145). I have received a qoute of $43,200 for this car (however it is not my first color combination of black/tan)!
I have found the color combination at another dealer but this car also has the cold weather package (msrp $46895). They offered me this car for $44890 plus tax/fees. I know they can do better than this!
Could anyone help me and let me know what you think about the above prices and what I should offer? By the way I am outside of LA! Any help would greatly be appreciated! Thanks
im looking for the exact same car, but on the east coast. dunno if the prices paid out there are similar, but the first quote u received seems good...even below than the lowest ive received for that exactly configured car over here. your second price seems a bit high though. be firm, and tell them to knock the price $1K lower and then definitely take it. good luck
I agree... you may get that $7K back.. But, you are still out the other $5K.. That would hurt.. I'd rather not chance it... A good lease has a pretty low money factor, anyway... So, you aren't saving a lot by making a big downpayment..
I think the MSRP was approx 50,000 and he reduced it by approx $2000. The 3350 is the amount due at signing and it includes all taxes. NYC's tax rate is 8.5%. Thanks in advance!!!
If this is an '06 530i, then it is a very good deal..
If I assume upfront is $575 1st pymt., $600 security deposit, $900 acq.fee, and $1200 cap cost reduction, $50K MSRP and selling price of $48K, then I get a payment of $621/mo. + tax...
Anyway, making all the same assumptions, only with an '05, I come up with about $523/mo. + tax or about $568/mo. tax included..
I'm just guessing on some of it.. The difference could be due to registration/license fees, etc... So, very close..
Even though the numbers match, my opinion of the deal changes a little.. $2K off MSRP is not enough.. I'd want $3K or more off... Another $1000 off the selling price, and your payment drops about $30/mo... So, my target would be under $550/mo, with the same upfronts...
kyfdx, you seem to know your stuff! Maybe you can help me. I live in the Chicago area and am unsure why IL is considered unfriendly towards leasing, do you know why this is?
Also I'm new to leasing and have no idea where to start. I have an idea how the numbers work, except for the tax part being in IL. what iI need help with is how to negotiate the best deal, do I solicitate dealers for the lowest cost acting as a buyer, or leasee?
From my calcs, crude at best, an '06 530 with sport/premium/cold weather, SMG trans, and fold down seat with MF of 0.0025 is around $750-$850/mo. Does this sound right, and what would an '05 with same options including Xenons go for?
Also, if I wait until later in the year around Sept. how much could I save on an '06.Will the MF go down because that seems to be what is killing me. I have a 325iC for the summer months so I'm not in too much of a hurry if I'll get my payments down. I can only afford around $600/mo, is it even possible to get a deal like this for a 530. I also drive less than 10,000 mi/yr if I can use that to negotiate. Thanks for any input
Just purchased a 2005 525i with auto, prem. xenon and cold weather package (msrp $46,895) for $44,000 + ttl. Could anyone tell me if I got a good deal or could I have done better based on invoice......? I live in Calif and stock on the color combination I got (black saphirre and tan) are limited! Any thoughts would be appreciated!! Thanks
I have an offer on an '05 530 with cold/prem./sport package, xenons, satelite radio and auto for $51,523.(MSRP of $54,095) The lease terms are 10.000mi/yr for 36mo. MF=0.00165 and residual of 63%.
I live in Chicago Suburbs. Paying all taxes and fees up front (around $5,000) nets a monthly payment of $645.80, if I don't pay tax up front it's 748.25/mo.
1) Not sure of exactly what the $5K entails.. I'll assume it is just taxes, 1st payment, security deposit and registration/title fees..
2) If I roll the $625 acq.fee into the cap cost with your selling price of $51,523, then I get within a couple of dollars of your payment.
But, the deal is not so great..
a) The new model just came out.. Your price is around $2000 over invoice, which is too much... The selling price should be somewhere between $50,200-$50,700.
b) The base money factor is .00125... They are marking it up the maximum... At this price range, that is raising your payment over $30/mo.
If they drop your selling price to $51,000 and use the base money factor rate, it will knock $50/mo off your payment.. IMHO, that is where you should be. I would also roll the taxes into the lease, and pay the higher payment.. Illinois taxes the entire car, not just the lease payment, which is no help here.
regards, kyfdx
P.S.: If you need 12K miles/year, that should only add $14-$15/mo. to the payment..
1) I assume the $3964 upfront is $900 acq.fee, 1st payment, security deposit and about $1900 cap cost reduction? And, tax rate is, what, 8.5%?
If so, the numbers come out just about right.. Residual is correct for 3yr/30K lease. .0010 is the base rate... all good.
2) Selling price is about $1000 too high... the new '06s are out.. You should be able to get $3K off MSRP. Another $1000 off saves $30/mo.
3) I wouldn't want to put $4K upfront.. I'd rather have about $1300 upfront and payment of about $640/mo. (based on your numbers... $610/mo. with another $1000 off the selling price).
To recap, the only real problem is the selling price.. a good thousand too high...
I just spoke with the dealer again on an '05 530 with auto,cold,premium package and satelite radio prep. Do you know what the satelite prep is off hand?
My major question is that the dealer requoted me a MF of 0.00150 when I said BMW was offering 0.00125 (original offer of 0.00165). Should I be able to get the BMW quote of 0.00125 regardless? This would save me almost $20/mo vs. 0.00150. Also how do these numbers sound for those options: MSRP $49,995 Price offered by dealer (he says will offer a BMW authorized discount of $2500 on all '05 530's) $47,495 he said his invoice is $46,254.98 Tax is 6.75% Residual 63% Tax owed for IL resident 3,209.65 total or 89.15/mo $650 sec. deposit Ist payment? Acq Fee $625 Doc fee $55.39 Plates/reg fees $143 Total out the door cost if I pay $2,500 cap cost reduction (taxes paid up front I believe) will be $3,896.58. He then said I could lease for $603/mo (In my range)
My calcs come out different. I figure I would owe $562.87/mo pre any tax. If I pay the $2,500 in taxes up front then I should have 709.65 owed which would be $19.71/mo. 562.87+19.71=582.58/mo not the $ 603/mo he quoted. If I can get the MF of 0.00125 then it would come out to $543.13/mo pre tax or $562.84/mo with tax.
What am I missing, or his he yanking my chain here. Thanks for any input.
Your dealer's numbers look correct, assuming the money factor of .0015. He is taking the selling price, adding the acq.fee ($625) and the tax ($3210), then subtracting the cap cost reduction ($2500).. This results in a cap cost of $48,830.
Your upfront of $3897 includes 1st pymt, security deposit, doc fee and plate tag + the $2500 cap cost reduction.. (pretty close, I think).
1) "BMW authorized discount of $2500"? Pure hooey.... the dealer has complete control over what and how much discount to offer... I think another $500-$800 off would be much more reasonable.
2) The base rate of .00125 would drop the payment $20/mo. under this scenario.. So, from $603/mo to about $583/mo. If you can get the selling price down another $500, that would save another $15/mo.
So, given those figures, his monthly payment calculation is right on the money.. I'd just want a better deal.. In this case, about $35/mo. better at least.
I'm new to leasing and still trying to figure out how all the numbers work. I'll definately try to get a few hundo off the price and get the MF to 0.00125.
I'm really experienced.. just don't tell my wife..
I researched buying a 3-series for almost a year, before we bought ours in December of '03... Doing that research, I found a lot of on-line forums with a lot of good information.. which I still follow and keep up with..
As far as the leasing, I've leased five different cars... I had a pretty good handle on the math from the start, but I've learned something on every lease.. And, if you follow these boards long enough, you learn to spot problems and pitfalls.. Car_man on the lease questions board is a good source of info, and also Terry on Real World Trade-In Values...
I try to only give info in the areas where I feel I'm knowledgeable.. If I don't know, I try to stay out of it.. (All info comes with no warranty, express or implied... lol).
Thanks to all who post here as the information is very useful, and especially kyfdx and the information conveyed regarding leasing. I am currently looking at a lease on a 2005 545 I have put the numbers below and I would like any comments as far as pricing and the 'numbers' given. The dealer says this is good but as always I would like to confirm. Thank in advance!
MONEY FCTR .00140 ACQ FEE 825.00 TERM 36 months PRICE 63888.00 SEC DEPOSIT 0.00 ALLOWABLE MI/YR 15000 LIC FEE 21.00 ESTIMATED MI/YR 15000 TITLE FEE 18.00 CASH DOWN 2500.00 MISC TX/FEE 31 M.S.R.P. 65315.00 32 INIT PYMT 3958.72 TOT ACCESS 21 DOC FEE 399.00 RESIDUAL 0.61 NET CAP CST 62213.00 TAX RATE 7.00 GRS CAP COST 64713.00 MONTHLY TAX 53.50 1ST PAYMENT 817.79
CAP RED 2500.00 TOT MO PYMT 817.79 TAX ON RED 175.00 NET CAP COST 62213.00 TOT OF PYMTS 29440.44 1ST YR FEES 438.00 ADJ RESIDUAL 39842.15 EST FEES/TM 117.00 SEC DEPOSIT 0.00 TOT TERM DEP 22370.85 TOT TAXES 2101.00 OTHER FEES 27.93 MONTHLY DEP 621.41 MO LEASE CHG 142.88 BASE PAYMENT 764.29 TOT INIT PMT 3958.72
Sorry this is so long but wanted to include all figures (I hope I have!) Once again looking for help on the Lease numbers and whether or not this deal is decent. Thanks, kjw
1) Using their numbers, I come up with the exact same pre-tax payment of $764.29.
2) My sources say that the 15K residual is 59%, and the 12K residual is 61%. So, unless there was some mid-month change (doubtful), I think they are quoting 12K/yr mileage numbers..
3) The base rate is .0010.. They are marking up the rate to .0014.. Part of the markup could be the security deposit waiver.. but, if security is waived because you are a returning lessee, then they are marking up the MF the maximum allowed.
4) They are also marking up the acquisition fee the maximum to $825 ($625 base).
5) They are only giving you a $1500 discount, but then charging you a $400 doc fee.. Your effective discount is only $1100 off MSRP.. The spread between MSRP and invoice is over $5000..
Basically, they are getting you coming and going.. High selling price, document fees, marked up money factor and acquistion fee... Nothing about this deal is good..
If it were me, I'd want $3K off MSRP (leaving a healthy $2K+ profit), no document fee, base money factor, and base acq. fee...
That would reduce your initial payment by $2100 ($1500 bigger discount, no $400 doc fee, $200 less acq.fee), keeping your cap cost the same, and with the .0010 money factor, knocking $40/mo. off your payment, as well.
Or, if you want to keep your initial payment the same... And you achieved all of the above, the monthly pre-tax payment would drop to $663/mo., from the current $764/mo..
IMO, your lease is $100/mo. too high pre-tax..
Hope this helps, kyfdx
Remember.. I think they are using the wrong residual for 15K/year.. Better check that first..
Have you thought of European Delivery? I'm picking up my 2006 525, automatic, xenon, premium package for $1000's less than US MSRP. Easy process. Think about it.
I would highly recommend calling Santa Barbara BMW. They are the best in Southern California. Per forum rules, I am not allowed to reveal dealer's name. However, if you go online and mail for a quote, you'll get the right dealer.
Whoops. I just read that you bought the car. Congratulations and enjoy!
Does anyone have info on money factors and residuals for 2006 530i leases (36 month, 15K/miles per year)
I'm picking up a 2006 530 in a few days (Sport, Prem Sound, fold down seats, sat radio). MSRP about 56K, Invoice 51,240. Dealer agreed to $2000 over invoice when I ordered the car
My pre-tax payment estimate is $680 (assuming drive-off of approx $1,600 [acq, lic, 1st payment] and using the 05 base money factor of .00125 and 60% residual)
Anyone know if this is in the ballpark of what I should expect?
I've been offered this deal on a new 545i with cold weather package & premium sound as the only options. The deal is for 36 months at 20,000 miles per year. The drive-off is $2,145, including first month, and thereafter $830 per month incl. 7.75% sales tax.
On the other hand, I have an indication from one other dealer that he will go even lower -- by about $80 per month, on a car he doesn't have yet. This seems barely possible.
Thanks so much for the information. The figures requested were for 12K/year mileage so you are correct. However and more important to me are you other observations and suggestions. I did have a question about the following statement you make -
That would reduce your initial payment by $2100 ($1500 bigger discount, no $400 doc fee, $200 less acq.fee), keeping your cap cost the same, and with the .0010 money factor, knocking $40/mo. off your payment, as well.
I did not want to assume, but are you suggesting that instead of me providing the $2500 CAP, I should achieve all of the above and only CAP by only $400?
Otherwise, I do understand the message and greatly appreciate your insight and suggestions. I will see what I can do with the new information and let all know, but please let me know if I interpreted your point above correctly. Once again 'thank you!'
I always suggest making the lowest upfront payment possible.... 1st payment and security deposit only... I was just offering you two different scenarios..
1) Same upfront as in your quote, $100/mo. lower payment..
2) $2100 less upfront, same cap cost, $40/mo. lower payment..
More or less.. I didn't go back and look at the numbers again..
The tax is 7% (Ohio). $772 is quite a bit lower than what I was quoted. Could you tell me how you arrived at that figure? I can probably take that calculation and ask him to match it.
I thought Ohio changed their tax law in relation to leases... You might be paying 7% on the entire selling price... If so, that would make the quotes pretty close. You'd have to check that out, as I'm not positive..
1) Achieve all of your recommendations - provide a CAP reduction of $2500 and get a payment $100 less.
2) Achieve all of your recommendations - only provide 1st Payment and Security and get a payment of $40 less per month.
I also see where the Security Deposit may/will help as I am not a returning Lessee so it is costing me at least a portion of the Money factor I guess.
I know, I am new so I appreciate your patience on this - once they agree to this, then we can discuss the Trade-in. Of course, then we start again with the next fun part with that! Thanks, kjw
I leased a similar car last month for $770 including 6% NJ tax, MSRP was $64,220, selling price $60,400. Same options, less sat. radio. 0 cap cost, first month and title/tags/doc fees.
Comments
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A dealer in NY offered me the following lease
530i with the premium package and halogen lights
36 months
$3350 down payment
10,000 miles per year
$575 per month.
Is that a good deal? Would like to hear anyone else's views. Thanks in advance.
I don't believe this at all. Why in the hell would someone pay more for your trade than what you could get a brand new one for? If they gave you 41.9 for the car that's below what the net cost is on the car new! Doesn't make sense at all.
$1,000 over seems far fetched enough ............
So, anyway, I just called the dealer the in Pembroke and no one there seems to know anything about being able to buy an '06 530 for a thousand over invoice. Plus, the used car manager says that they haven't had a pre-owned 2005 5 series.
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scotlow, "Gap Insurance" #2, 19 Apr 2005 7:33 pm
Where more of our members will benefit. You can just click on my link to follow that discussion.
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scotlow, "Gap Insurance" #62, 19 Apr 2005 7:33 pm
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Has anyone in the NY/NJ area recently received pricing on an all wheel drive 525xi? It seems a lot of the posts are for the rear wheel version. Any insight would be greatly appreciated.
My question has to do with the risk to leasee when putting down a LARGE downpayment in the evet of a total loss.
Assuming a no discounted car price of 50K and 12k down, what happens if the loss occurs in say month 3?
I called my insur company today, State Farm, and spoke with a claims agent. I was told they pay the lesor (Bank) actual csh value which we roughly estimated at 45000.
The bank would have had only 38K on the table and they would be getting back 45K plus the other payment the leasee made within the 3 months.
They are not under any obligation to return the 7K difference. However, some leases do allow the leasee to recover this excess but it needs to be specified in the lease. Not likely with BMW leasing.
I have found the color combination at another dealer but this car also has the cold weather package (msrp $46895). They offered me this car for $44890 plus tax/fees. I know they can do better than this!
Could anyone help me and let me know what you think about the above prices and what I should offer? By the way I am outside of LA!
Any help would greatly be appreciated!
Thanks
your second price seems a bit high though. be firm, and tell them to knock the price $1K lower and then definitely take it.
good luck
Just my $0.02
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A dealer in NY offered me the following lease
530i with the premium package and halogen lights
36 months
$3350 down payment
10,000 miles per year
$575 per month.
Is that a good deal? Would like to hear anyone else's views. Thanks in advance.
Also.. is that a $3350 downpayment? Or total amount due at signing? And, does that include tax? If so, what is your sales tax rate?
regards,
kyfdx
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If I assume upfront is $575 1st pymt., $600 security deposit, $900 acq.fee, and $1200 cap cost reduction, $50K MSRP and selling price of $48K, then I get a payment of $621/mo. + tax...
So... Is it an '06, or an '05?
regards,
kyfdx
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Anyway, making all the same assumptions, only with an '05, I come up with about $523/mo. + tax or about $568/mo. tax included..
I'm just guessing on some of it.. The difference could be due to registration/license fees, etc... So, very close..
Even though the numbers match, my opinion of the deal changes a little.. $2K off MSRP is not enough.. I'd want $3K or more off... Another $1000 off the selling price, and your payment drops about $30/mo... So, my target would be under $550/mo, with the same upfronts...
regards,
kyfdx
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Maybe you can help me. I live in the Chicago area and am unsure why IL is considered unfriendly towards leasing, do you know why this is?
Also I'm new to leasing and have no idea where to start. I have an idea how the numbers work, except for the tax part being in IL. what iI need help with is how to negotiate the best deal, do I solicitate dealers for the lowest cost acting as a buyer, or leasee?
From my calcs, crude at best, an '06 530 with sport/premium/cold weather, SMG trans, and fold down seat with MF of 0.0025 is around $750-$850/mo. Does this sound right, and what would an '05 with same options including Xenons go for?
Also, if I wait until later in the year around Sept. how much could I save on an '06.Will the MF go down because that seems to be what is killing me. I have a 325iC for the summer months so I'm not in too much of a hurry if I'll get my payments down. I can only afford around $600/mo, is it even possible to get a deal like this for a 530. I also drive less than 10,000 mi/yr if I can use that to negotiate.
Thanks for any input
I live in Calif and stock on the color combination I got (black saphirre and tan) are limited!
Any thoughts would be appreciated!!
Thanks
All of the incentives on the '05 5-series are for leasing.. That is the way I would go, if leasing works out for you...
regards,
kyfdx
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I live in Chicago Suburbs. Paying all taxes and fees up front (around $5,000) nets a monthly payment of $645.80, if I don't pay tax up front it's 748.25/mo.
Does this sound like a good offer?
2) If I roll the $625 acq.fee into the cap cost with your selling price of $51,523, then I get within a couple of dollars of your payment.
But, the deal is not so great..
a) The new model just came out.. Your price is around $2000 over invoice, which is too much... The selling price should be somewhere between $50,200-$50,700.
b) The base money factor is .00125... They are marking it up the maximum... At this price range, that is raising your payment over $30/mo.
If they drop your selling price to $51,000 and use the base money factor rate, it will knock $50/mo off your payment.. IMHO, that is where you should be. I would also roll the taxes into the lease, and pay the higher payment.. Illinois taxes the entire car, not just the lease payment, which is no help here.
regards,
kyfdx
P.S.: If you need 12K miles/year, that should only add $14-$15/mo. to the payment..
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here is the deal being offered:
2005 530i (premium packages, cold weather package and xenon)
MSRP 50,795
Sales price: 48,700
Residual 63%
Money Factor .00125
Down Payment 3964
Monthly Pymnt $550
NY
Is this a good deal? Thanks
If so, the numbers come out just about right.. Residual is correct for 3yr/30K lease. .0010 is the base rate... all good.
2) Selling price is about $1000 too high... the new '06s are out.. You should be able to get $3K off MSRP. Another $1000 off saves $30/mo.
3) I wouldn't want to put $4K upfront.. I'd rather have about $1300 upfront and payment of about $640/mo. (based on your numbers... $610/mo. with another $1000 off the selling price).
To recap, the only real problem is the selling price.. a good thousand too high...
regards,
kyfdx
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My major question is that the dealer requoted me a MF of 0.00150 when I said BMW was offering 0.00125 (original offer of 0.00165). Should I be able to get the BMW quote of 0.00125 regardless? This would save me almost $20/mo vs. 0.00150. Also how do these numbers sound for those options:
MSRP $49,995
Price offered by dealer (he says will offer a BMW authorized discount of $2500 on all '05 530's) $47,495 he said his invoice is $46,254.98
Tax is 6.75% Residual 63%
Tax owed for IL resident 3,209.65 total or 89.15/mo
$650 sec. deposit
Ist payment?
Acq Fee $625
Doc fee $55.39
Plates/reg fees $143
Total out the door cost if I pay $2,500 cap cost reduction (taxes paid up front I believe) will be $3,896.58. He then said I could lease for $603/mo (In my range)
My calcs come out different. I figure I would owe $562.87/mo pre any tax. If I pay the $2,500 in taxes up front then I should have 709.65 owed which would be $19.71/mo. 562.87+19.71=582.58/mo not the $ 603/mo he quoted. If I can get the MF of 0.00125 then it would come out to $543.13/mo pre tax or $562.84/mo with tax.
What am I missing, or his he yanking my chain here. Thanks for any input.
Your upfront of $3897 includes 1st pymt, security deposit, doc fee and plate tag + the $2500 cap cost reduction.. (pretty close, I think).
1) "BMW authorized discount of $2500"? Pure hooey.... the dealer has complete control over what and how much discount to offer... I think another $500-$800 off would be much more reasonable.
2) The base rate of .00125 would drop the payment $20/mo. under this scenario.. So, from $603/mo to about $583/mo. If you can get the selling price down another $500, that would save another $15/mo.
So, given those figures, his monthly payment calculation is right on the money.. I'd just want a better deal.. In this case, about $35/mo. better at least.
Oh yeah.. almost forgot..
3) Illinois sales tax on leases really sucks..
regards,
kyfdx
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I'm new to leasing and still trying to figure out how all the numbers work. I'll definately try to get a few hundo off the price and get the MF to 0.00125.
I researched buying a 3-series for almost a year, before we bought ours in December of '03... Doing that research, I found a lot of on-line forums with a lot of good information.. which I still follow and keep up with..
As far as the leasing, I've leased five different cars... I had a pretty good handle on the math from the start, but I've learned something on every lease.. And, if you follow these boards long enough, you learn to spot problems and pitfalls.. Car_man on the lease questions board is a good source of info, and also Terry on Real World Trade-In Values...
I try to only give info in the areas where I feel I'm knowledgeable.. If I don't know, I try to stay out of it.. (All info comes with no warranty, express or implied... lol).
regards,
kyfdx
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MONEY FCTR .00140
ACQ FEE 825.00
TERM 36 months
PRICE 63888.00
SEC DEPOSIT 0.00
ALLOWABLE MI/YR 15000
LIC FEE 21.00
ESTIMATED MI/YR 15000
TITLE FEE 18.00
CASH DOWN 2500.00
MISC TX/FEE 31
M.S.R.P. 65315.00
32 INIT PYMT 3958.72
TOT ACCESS 21
DOC FEE 399.00
RESIDUAL 0.61
NET CAP CST 62213.00
TAX RATE 7.00
GRS CAP COST 64713.00
MONTHLY TAX 53.50
1ST PAYMENT 817.79
CAP RED 2500.00
TOT MO PYMT 817.79
TAX ON RED 175.00
NET CAP COST 62213.00
TOT OF PYMTS 29440.44
1ST YR FEES 438.00
ADJ RESIDUAL 39842.15
EST FEES/TM 117.00
SEC DEPOSIT 0.00
TOT TERM DEP 22370.85
TOT TAXES 2101.00
OTHER FEES 27.93
MONTHLY DEP 621.41
MO LEASE CHG 142.88
BASE PAYMENT 764.29
TOT INIT PMT 3958.72
Sorry this is so long but wanted to include all figures (I hope I have!) Once again looking for help on the Lease numbers and whether or not this deal is decent. Thanks, kjw
2) My sources say that the 15K residual is 59%, and the 12K residual is 61%. So, unless there was some mid-month change (doubtful), I think they are quoting 12K/yr mileage numbers..
3) The base rate is .0010.. They are marking up the rate to .0014.. Part of the markup could be the security deposit waiver.. but, if security is waived because you are a returning lessee, then they are marking up the MF the maximum allowed.
4) They are also marking up the acquisition fee the maximum to $825 ($625 base).
5) They are only giving you a $1500 discount, but then charging you a $400 doc fee.. Your effective discount is only $1100 off MSRP.. The spread between MSRP and invoice is over $5000..
Basically, they are getting you coming and going.. High selling price, document fees, marked up money factor and acquistion fee... Nothing about this deal is good..
If it were me, I'd want $3K off MSRP (leaving a healthy $2K+ profit), no document fee, base money factor, and base acq. fee...
That would reduce your initial payment by $2100 ($1500 bigger discount, no $400 doc fee, $200 less acq.fee), keeping your cap cost the same, and with the .0010 money factor, knocking $40/mo. off your payment, as well.
Or, if you want to keep your initial payment the same... And you achieved all of the above, the monthly pre-tax payment would drop to $663/mo., from the current $764/mo..
IMO, your lease is $100/mo. too high pre-tax..
Hope this helps,
kyfdx
Remember.. I think they are using the wrong residual for 15K/year.. Better check that first..
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I would highly recommend calling Santa Barbara BMW. They are the best in Southern California. Per forum rules, I am not allowed to reveal dealer's name. However, if you go online and mail for a quote, you'll get the right dealer.
Whoops. I just read that you bought the car. Congratulations and enjoy!
I'm picking up a 2006 530 in a few days (Sport, Prem Sound, fold down seats, sat radio). MSRP about 56K, Invoice 51,240. Dealer agreed to $2000 over invoice when I ordered the car
My pre-tax payment estimate is $680 (assuming drive-off of approx $1,600 [acq, lic, 1st payment] and using the 05 base money factor of .00125 and 60% residual)
Anyone know if this is in the ballpark of what I should expect?
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Drive-off of about $2300...
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Thanks for the help
On the other hand, I have an indication from one other dealer that he will go even lower -- by about $80 per month, on a car he doesn't have yet. This seems barely possible.
What do you think?
Thanks so much for the information. The figures requested were for 12K/year mileage so you are correct. However and more important to me are you other observations and suggestions. I did have a question about the following statement you make -
That would reduce your initial payment by $2100 ($1500 bigger discount, no $400 doc fee, $200 less acq.fee), keeping your cap cost the same, and with the .0010 money factor, knocking $40/mo. off your payment, as well.
I did not want to assume, but are you suggesting that instead of me providing the $2500 CAP, I should achieve all of the above and only CAP by only $400?
Otherwise, I do understand the message and greatly appreciate your insight and suggestions. I will see what I can do with the new information and let all know, but please let me know if I interpreted your point above correctly. Once again 'thank you!'
kjw
What do you think of these numbers? The dealer did not give me specific split numbers but thsi is the final amount. I am a returning BMW lessee.
My payment with zero down and 15K includinfg sales tax is $864.
Thanks.
2005 545i Sedan
Destination Charge
$695
Exterior
Silver Gray Metallic
Interior
Beige Dakota Leather
Poplar Grain Wood Trim
Packages
Sport Package
$3,300
Premium Sound Package
$1,800
Cold Weather Package
$750
Price as configured
$64,740
Options
STEPTRONIC automatic transmission
$0
BMW On-Board Navigation System
$1,800
Satellite Radio
$595
Finance Options
Down Payment
$0
Lease
Term
36 months
Annual Mileage
15000
1) Same upfront as in your quote, $100/mo. lower payment..
2) $2100 less upfront, same cap cost, $40/mo. lower payment..
More or less.. I didn't go back and look at the numbers again..
regards,
kyfdx
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Due at signing: 1st payment, security deposit, license/title fees only. (under $2K, total)
Not sure what your tax is.. you'd have to see a breakdown of the payment to see if that is close to what you were quoted..
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Thanks.
$64740 MSRP
$61740 selling price
$62365 cap cost (selling price + acq.fee)
3yr/45K lease
59% residual
.0010 money factor
Payment $772/mo.+tax
regards,
kyfdx
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Thanks - I believe I have it - just to recap
1) Achieve all of your recommendations - provide a CAP reduction of $2500 and get a payment $100 less.
2) Achieve all of your recommendations - only provide 1st Payment and Security and get a payment of $40 less per month.
I also see where the Security Deposit may/will help as I am not a returning Lessee so it is costing me at least a portion of the Money factor I guess.
I know, I am new so I appreciate your patience on this - once they agree to this, then we can discuss the Trade-in. Of course, then we start again with the next fun part with that! Thanks, kjw