Last post on Feb 16, 2013 at 11:05 PM
You are in the BMW 5-Series
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BMW 5 Series, Sedan
#5750 of 12737 ED Part II
Feb 28, 2003 (9:43 am)
Regarding negotiations with the dealer:
I got on the BMWUSA web site, obtained the name and phone number of the four closest dealers (all within 15 miles), that took 10 minutes, tops. I then called the first dealer, got a salesman on the phone and said, "Will you sell me a 530i via the BMW European Delivery Program for $1,500 over ED Invoice?"
His response was, "Hmmm, we don't usually do that kind of deal. Can I call you back in 10 minutes?"
"Yes, my phone number is..."
Eight minutes later, he called me back and asked me, "If I agree to this deal, are you ready to buy right now?"
"If you agree, I will be there in less than an hour to sign the paperwork and pay you a deposit."
The entire transaction was over in less than two hours from the time when I first looked up the list of the dealerships.
In my case, this is less of an issue as we were going to Europe anyway; however, using Expedia.com, it took me about 20 minutes to make the plane reservations R/T to Munich and the hotel reservations in Paris. As we were going in April, I didn't figure on having too much of a problem finding hotel rooms while we were touring, and I didn't.
I do not count this as a valid expense. Passports are good for 10 years, and can be renewed by mail. A new Passport costs $85 (regardless of whether it is a new issue or a renewal) to process. In addition, you need two "Passport Photographs" of yourself, so when I include my time to have the pictures taken, the time to print out the application (http://travel.state.gov/DS-0011.pdf), fill it out, lick the envelope, stamp it and mail it, we are still talking less than $200, which works out to $20 per year. Given that I used my Passport twice last year, the cost that can be allocated for my ED trip is $10.
IMHO, expenses for meals and such are not valid as one must eat anyway, that and you are fed two meals (dinner and breakfast over, and lunch and a snack on the way back) each way. In Europe many hotels include a breakfast or offer one for a very nominal charge (the Hotel Uhland is no exception). Basically that means that you need to provide for your own dinner Friday and Saturday nights and you Lunch on Saturday, everything else is covered. Once again, you will need to eat anyway, will it cost you more to eat in Munich than here in the States? Probably not by much, if at all.
We now live in the era of the ATM, I haven't "Exchanged Currency" since 1991. These days, you simply walk up to the nearest ATM, stick in your card, and out pops local currency, debited directly to your account, and with no "Exchange Fees" associated, you get the EXACT prevailing exchange rate.
Waiting around in airports:
Hmmm, nobody can "Bill" all of the time, we all need some "Down time". I use airport and airplane time as the time to catch up on reading the latest Tom Clancy or Nelson Demille. Maybe I'm just wierd, however I actually look foreward to this time just so that I can relax. Needless to say, in my mind, this is "No Charge".
Riez, you must understand, you and I sing from the same page of the BMW Hymnal on most things BMW. I know that I can count on you being my "Loyal Opposition" regarding the ED thing, as you can count upon me being the same for you. In the end, we are both right, it just depends upon what one's priorities are.
#5751 of 12737 Shipo-Euro
Feb 28, 2003 (9:54 am)
Shipo, Thanks for the great euro summary. One Q: I'm remembering from a local dealer (?) that when leasing a euro delivery car one must pay one pmt when ordering it & another pmt before picking it up, to cover cost while using it in Europe & shipping back. Thus 2 pmt before getting it here. Did I misunderstand something or was that a crafty tactic on the salesman's part to get me to buy out of his inventory?? What he said sounds like a rip off.
#5752 of 12737 Habitat1
Feb 28, 2003 (9:54 am)
According to my salesman: Not only do ED cars not come out of the dealership allocations, and not only do they count toward bonuses and commisions, they also count in the calculations for what the dealership gets allocated in future years.
It is certainly in a dealerships' best interest to sell as many ED cars as possible, even at a minimal profit.
#5753 of 12737 Jeffry & Reiz
Feb 28, 2003 (10:02 am)
Hmmm, I am fairly certain that my lease initiation date is exactly one month prior to the delivery date of my car in Munich. Essentially, that means that you do have to make two payments prior to delivery, however, starting with the second payment, the car is technically in your possession.
I forgot to include Insurance in my ED discussions. You do not need to insure you car until you take delivery of it here in the States. While in Europe and on the water, BMW covers the insurance for you.
Feb 28, 2003 (10:04 am)
My comment regarding "high performance, manual transmission cars" was relative.
Given my druthers, I would rather break in any new car myself. But given that the 540i 6-speed appeals to the more enthusiastic driver, there is a slightly higher probabilty of abuse or less careful break-in than with, say, an E300 diesel. That's why I would be particularly prudent about checking the ownership and service history of a 540i 6-speed. Fortunately, it's sheer cost rules out most of the Mustang / Camaro drag racing set.
I would also be wary of short term leases. When I bought my 540i in 1999, I fully intended to keep it a long time and took care of it accordingly. Someone who acquires a 540i 6-speed on a 3-year lease has little incentive to be as careful as I was. You know, the owners vs. renters issue in real estate.
Feb 28, 2003 (10:58 am)
My 2 cents worth. I wanted to buy ED back in December, 2001, but did not.
First, it was right after 9/11 and my wife did not want me to fly unnecessarily (she has since mellowed but is still against it). Second, the delay between ordering and delivery in US (California) was close to 3 months and since I was leasing, over $1,600 was lost to lease payments without the car in my garage. Third, my car at the time needed expensive repairs to stay drivable and I could not wait the three months until delivery of the BMW.
These personal factors (other than the lost lease payment issue) were not considered by shipo and other posts on the subject.
Feb 28, 2003 (11:51 am)
First, this topic should probably be in the ED message board. But my name is not Pat, so I did not say that.
Like was previously said, the situation will determine the cost. Most of my ED costs involved travel.
I did not haggle much. I contacted (emailed) 7 dealers in Texas and let them call me. I was already willing to pay the ED MSRP because it was lower than the regular MSRP. Only two dealers offered a discount. I coersed the closest dealer into a price cut. Filled out the paper work. Made final changes over the phone. Paid deposit over the phone. Did not dealer with the dealer until I came home. in real time, I probably spent a day.
I go home to England every other year. So the plane tickets would have been purchased. I have the expense of buying gifts for my father, stepmother, nieces and cousins. These expenses would have been made without a BMW.
Travel costs for me involved one plane ticket from Houston to MUC via LGW. Buy gifts at MUC. U-Bahn and S-Bahn to Delivery Center. Eat the food at the delivery center. Pickup the car. Drive from Munich to Spangdahlem (one gas stop). My brother paid for dinner. No hotel costs for three days. Paid for lunch for my nieces twice. Split the cost of meals out with my brother. Leave Spangdahlem and drive to Zeebrugge with my brother. I paid the ferry cost for my brother and I (about $112). Bought breakfast on the ferry. Got to Dover and drove to Ipswich. Toll tunnel cost and gas stop. Got to Ipswich, my family had plenty of food (again no cost). Stayed three days, bought gifts.
Had to pickup my wife at Gatwick, because she did not fly to MUC with me. Drove to my father's house. More food, no cost. From this point until I returned to the States, I bought three more meals. My gas expense was high, but it was no higher than the last time that I went home and had to rent two cars and travel with the rest of my clan.
If I had my own business or went to Germany just to pick up a car, I probably would not do it. Unless, I could get a business expense out of it.
Feb 28, 2003 (12:51 pm)
You are correct; I did neglect to take into account the three weeks of wait between dropping my car off in Munich and picking it up again in New Jersey. I also failed to mention that that delay for the west coast is more like eight to ten weeks. Then again, I did say that depending upon an individualís perspective; ED may or may not be a good deal. For those of us on the east coast (with numerous dealerships willing to deal, shorter flight durations and shorter transit time durations), it is pretty much a no-brainer.
Feb 28, 2003 (1:20 pm)
It's very kind (which is to say consistent) of you to use "no-brainer" in such a way as to imply that it excludes all present company.
Some enjoy travel, whether it's in a performance sedan, an aircraft, or a ferry boat. Some do it often enough to have learned ways of dealing with the niggling details of (especially international) air travel. Some feel that it's routine and consider an ED BMW a bonus to an otherwise routine trip, or at the very least, an endeavour that doesn't inspire dread and loathing.
#5759 of 12737 Was that a flame?
Feb 28, 2003 (2:32 pm)
Hmmm, I don't know if I have ever needed my Nomex jump suit here on the 5-Series board before now.
FWIW, if an individual living on the East Coast is even remotely considering the ED Program, I think it is a "No Brainer". That said, if someone dosen't like to travel, they won't consider that option, and that too is a "No Brainer".