Edmunds dealer partner, Bayway Leasing, is now offering transparent lease deals via these forums. Click here to see the latest vehicles!
2013 and earlier BMW 7-Series Lease Questions
CarMan@Edmunds
Member Posts: 38,514
Hi everyone. Please use the following discussion to post any questions that you have about leasing a BMW 7-Series. Thanks.
Car_man
Host
Smart Shopper / Prices Paid Forums
Car_man
Host
Smart Shopper / Prices Paid Forums
0
This discussion has been closed.
Comments
I'd appreciate it if you could provide BMW's money factor and residual value for a 36 month lease on a 2006 BMW 750 and 760.
Thanks,
Steve
Car_man
Host
Smart Shopper / Prices Paid Forums
Here is the interesting situation. I originally leased a 2002 745Li for 4 years. In 2004 they bought the 2002 back and gave me the 2004 due to the problems I had with the 2002. The lease remained in place and the residual value on the lease was left as that established based on the 2002 745Li 48 month (residual $45K). The 2004 has a much higher trade-in value than the residual.
The dealer has offered to give me the difference between the residual value and what they determined to be the current trade-in value in cash or a pay down on the Adjust Cap. They have offered $52,750 as the trade-in value.
They have also stated that if I sell the car between now and when I pick up the new vehicle they will honor the sale to the buyer at the price agreed and give me the creidt at the sale price less $500. If I find a buyer for the 2004 that will pay more than $52,750 they will sell it to them and eliminate me having to buy the car, pay sales tax and resell it.
Is it pracitical for me to try to find a buyer under these circumstances? The car is prefect and is worth more than the $52,750 but is it worth my efforts to try to make a few thousand more on the deal??? Are there any red flags in this deal that I have not noticed???
Thanks,
Steve LL
Oconomowoc, Wi
Car_man
Host
Smart Shopper / Prices Paid Forums
Your right .. this is a very interesting and "rare" situation ...... keep in mind the dealer has nothing to do with the lease .. it's between you and the lease company ... just make sure BMWF agree's with all of the figures and the residual is in play from the 02, etc etc ....
As far as the trade figure (depending on the miles, color and the condition) $52,750 is a little on the low side ....
Me personally.? .. I would run this dude down Retail Rd .. get with the detail gods, finish any service and run a big fat Ad, the Milwaukee area does big $$ on the big imports ..... $59,900 *asking* and wave bye bye at the first $57,9/$58,9 ... it's a rare situation you're in, you might as well take advantage of it ...
Terry
I have several questions if you dont mind...
First, I am looking to lease a 750Li BMW with the luxury seating and entertainment packages; with the 19 inch tires. I was curious to know if you could work up a sample lease payment for me. I am interested in leasing for approximately 36 months 12000 miles a year. I am not sure exactly what the buy rate lease money factor is or what the residual value percentage would be. To be honest I am not sure how I would go about finding out what these values are.
Secondly, are there any significant benefits to getting the sports package - if you buy the 19 inch wheels and are looking for a vehicle with a smooth ride. I am not sure exactly sure what the sports package adds-does it give the car more horsepower? Maybe this option isnt for me.
It sounds like negotiating approximately 3000 dollars off the msrp is about as good as i am going to get on this vehicle?
I am assuming tax on the car is not included in the msrp price and will factor in when the lease payment is determined--therefore i am wondering if it is better to lease a car in another state with lower sales tax rates.
Are there other tricks I should look out for when negotiating the vehicle's price? ie will the dealer try to decrease the residual value in the calcualations or add other unnecessary charges? Does it cost more if they have to order the car for you?
sincerely appreciated....
The following discussion would be a better place for you to discuss the merits of various options for this car: "BMW 7-Series".
$3,000 below MSRP is probably around $1,000 to $1,500 over dealer invoice, which is a reasonable price for this car. You're right, sales tax is not included in vehicles MSRPs. Unfortunately, you will not benefit from leasing your vehicle in a state that has a lower sales tax rate than your home state does. States prevent this sort of thing from happening by forcing consumers who purchase out of state to pay their home state's sales tax rate when they go to register their vehicle.
Dealers do not have the authority to alter vehicles' residual values. They do however often have the authority to mark-up vehicle's money factors to add additional back-end profit to deals. Make sure that the base money factor that I mentioned earlier is being used to calculate your car's lease payment.
While vehicles that are ordered do not cost any more, dealers prefer to sell vehicles that they already have in stock and are usually willing to discount vehicles that they already have more than one that they will have to order.
Car_man
Host
Smart Shopper / Prices Paid Forums
i think your advice about making sure the dealership is using a fair lease money factor is an important point that many people who are leasing cars probably dont even know or think about.
thanks again
The best he could do was offer me a car 2000 dollars below the msrp and he offered a money factor of 0.00265 with a car residual value of 61% on a 36 month 12000 miles a year lease.
Is this a fair deal? Is the dealership able to compromise on the money factor to the 0.0025 rate that you quoted earlier? Do you think it is unreasonable to ask for 3000 below msrp on a 81 000 -83000 car?
Lastly, does it make more sense to put more money down or the least amount of money down when leasing? Is this down payment also negotiable? I do not plan on purchasing the car at the end of the lease.
Thanks again for your help car_man
Is this time of year a good time to negotiate or might there be a better time?
What is a reasonable negotiable price over invoice i should ask for?
thanks alot
any help would be appreciated
Car_man
Host
Smart Shopper / Prices Paid Forums
As far as the money factor goes, you need to pay a security deposit equivalent to your car's monthly payment rounded up to the nearest $50 increment to get the factor that I mentioned earlier. Your car's factor will be slightly higher if you opt to have your security deposit waived.
I always advise consumers against making any sort of down payment when leasing. I do so for two main reasons. The first is if your vehicle is totaled in an accident or stolen during your lease, your insurance company pays off the bank that you were leasing it through and your down payment essentially disappears. The second main reason is that down payments on leased vehicles do nothing to reduce their lease-end purchase prices. So your lease-end purchase option price for your 7-Series would be exactly the same, regardless of whether you had put several thousand dollars down, or had made absolutely no down payment at all.
Car_man
Host
Smart Shopper / Prices Paid Forums
I have a couple of questions regarding a 2005 745Li that I am in the process of trying to lease. The asking price for the car is $66,989 and car is Orient Blue Metallic with Beige Leather and has the convenience package, luxury seating package, premium sound package, heated steering wheel, rear & sid sunshades, satellite radio, and 19 inch wheels. What price should I negoiate as the lease price?
What would be a good lease money factor for this car and what should the residual preentage be?
Thanks in advance for our assistance.
Car_man
Host
Smart Shopper / Prices Paid Forums
Car_man
Host
Smart Shopper / Prices Paid Forums
You definitely should not make a $5,000 down payment when leasing this car. I always advise consumers against making any sort of down payment when leasing. I do so for two main reasons. The first is if your vehicle is totaled in an accident or stolen during your lease, your down payment essentially disappears. The second main reason is that down payments on leased vehicles do nothing to reduce their lease-end purchase prices. So your lease-end purchase option price for your 7-Series would be exactly the same, regardless of whether you had put $5,000 down, or had made absolutely no down payment at all. If you have the money laying around and want a lower monthly payment, you would be better off making multiple security deposits on your BMW than making a down payment. BMW Financial Services reduces the money factor that is used to calculate vehicles' lease payments by .00007 for each additional deposit up to a maximum of seven. The beauty of making additional deposits is that not only does it reduce your vehicle's lease payment, but you actually get that money back at the end of your lease.
Car_man
Host
Smart Shopper / Prices Paid Forums
For example, lets say next month the lease is up for the 2004 525i & would like to replace it with the used 2004 745i that is selling for $59,000 with 26,000 miles would the lease payments be lower than leasing the new 2006 750i?
(current leasing special is $5,000 down with 10,000 miles/yr for 3 years is $929.00/month...monthly payment does not include tax,title,fees, ect. please help
$59,000 and 26,000 miles...? .. lets hope there's a new Tag Heuer in the glove box for that kinda $$ .....
Terry
MSRP: 81,940
Cap Cost: 78635
MF: .0024
Residual: 69%
24 months, 15 miles
Drive Off: 2900 approx.
Please let me know if this is a decent deal.
Thanks.
Car_man
Host
Smart Shopper / Prices Paid Forums
Also, how much do I need to pay extra for 15K per year vs. 10K per year lease. BMW financial service has a special lease offer on 750i now but only offering 10K per year.
Car_man
Host
Smart Shopper / Prices Paid Forums
Cap cost 77320
MF 0.0022
Residual 72% (10K/yr)
24 mos, 10K/year
Car_man
Host
Prices Paid Forum
San Diego. Looking for rock-bottom gross cap and would like to shoot for 2% over invoice. Credit score 750, annual gross greater than $200K, currently leasing 2005 325i, will need at least 15K/year,and will put down deposit (2500-5000) as needed. Goal is to spend no more than $1,000 monthly. What are my chances and what else should I be doing to bring in the deal? Also, as a single person who rarely has passengers, would I do just as well with the 750i instead of the Li?
Car_man
Host
Prices Paid Forum
The MSRP (w/ options) on the 2006 750Li was $84,900 and I got the dealer to bring the purchase price down to $80,900. I offered to put $3,500 down, they gave me a .00255 buy lease rate (MF), residual of 58% and waived my security deposit (current lessee of a 325) and came up with a monthly payment of $1,269. I declined and told them I wanted something in the $1,100-$1,200 range. They said they couldn't do it and I walked. They called me the next day and asked if I would make a deal if they took $10 or $25 off of the monthly payment. I reiterated my desire to go no higher than $1,200 per month. I believe I can do better and that the dealership probably added on to the MF BMW is currently offering on the 2006 models. If they lower the MF, I think I may get what I want.
Thanks for your advice, Car_man!
Car_man
Host
Prices Paid Forum
Currently have 2005 745IL (but paying on 2003 745IL) $870 month 36 month lease,12,000 miles. -
In July, ordered 2007 750LI, MSRP $83,795.00, price would be $79,703.85, 36 month lease,10,000 miles and also giving $7700 refundable security deposit (supposedly to bring price down - have done this with past 3 cars) Will pay all NY taxes,fees and 1st month payment. They are quoting me a residual of .61 and rate of 1.76 bringing the payments to $1019. Price was to be determined, upon new car prices which were not available at the time.
But $150 is not exactly "a few bucks more" as they stated. I feel like I am getting the shaft. Please help have to let them tomorrow - Friday 10/13 - Is it work it ?
MSRP 84590
Purcase price 84556
Bank fee $825
Total CAP 81381
Residual 50754
MF .00265
DMV fees 604
Total Drive off $1961.46
Payment incl CA sales tax is 1300
Another thing that I don't like about this deal is the money factor that you were quoted. It appears as though the dealer that you are working with is marking your car's money factor up to add additional hidden back-end profit to your deal. BMW Financial Services' current buy rate lease money factor for a 36 month lease of a 2006 BMW 750Li is only .00200 with the payment of a security deposit at lease signing. Make sure that the dealer you are working with uses this factor to calculate your car's monthly payment.
The dealer that you are working with is also marking up the acquisition fee that you were quoted. BMW FS' base lease acquisition fee is only $625.
I am not that familiar with what the market is like for this car right now, but you may also want to stop by the following discussion to see how much other community members have paid for similar vehicles lately: "BMW 7-Series: Prices Paid & Buying Experience".
Car_man
Host
Prices Paid Forum
The selling price that you were quoted for this car isn't very good either. You aren't being given any sort of discount on this car. The selling prices of leased vehicles are negotiable, just as if you were paying cash for or financing them. I am not all that familiar with what the market is like for the 7-Series right now, but this late in the model year I would suspect that you should be given some sort of discount on a leftover 2006 model. Try stopping by the following discussion to see if any other community members have purchased similar cars lately: "BMW 7-Series: Prices Paid & Buying Experience".
Car_man
Host
Prices Paid Forum
Car_man
Host
Prices Paid Forum
Its my turn again! I was able to use this great forum last time I leased (Aug of 05 for an M45). I am getting ready to place my order for a 750LI and was wondering if you had the #'s for the 24 month program.
Thanks in advance!!
1. Does BMW allow leasing used 745/750s?
2. Is it true that BMW extended original manufacturer's warranty on 2001-2003 (does anyone know exact years) cars due to quality problems?
3. Does BMW extend original manufacturer's warranty for the duration of a second lease?
4. How much can I expect to pay a month for 2003 745i that retails for about $48,000 on a 36 months 0 down lease?
Thank you
2. BMW extended the NEW car warranty an additional 2yrs or 50k miles from the in service date for model years 02 and 03. Not so sure abt the 01s.
3. I dont think so - but if the vehicle has a CPO stamp, it automatically qualifies for a CPO extended warranty. The CPO warranty is not as solid as the NEW car warranty, but its still better than nothing
4. I have no clue - sorry. If you're looking at an 03, look for one that has a prod date of 7/03 or later.
Good Luck.
Thank you!!