Last post on Aug 10, 2011 at 2:16 PM
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BMW Z4, Coupe, Convertible
#502 of 511 Purchasing my leased 2007 3.0si roadster
Apr 25, 2010 (10:18 pm)
Hello all. Need some guidance. I'm about a month away from the end of my 36-month, 12K mile per year lease. I've kept the car in great condition, and have put 39K miles on it so far. Haven't found anything for 2010/2011 that I'm in love with, plus, I'm having withdrawal symptoms from the thought of giving up "my" car, so I thought I'd buy it.
So, residual per my contract is $33K++
Edmunds has appraised my car, with all options and mileage as follows:
Trade in: $22,632
Private Party $25,227
Dealer Retail $27,526
Certified Used Vehicle $29,153
My dealer offered to sell me my leased car for $28,325, and he said that if I call BMW Financial services, they'll quote me the residual, and no lower.
Also, to upgrade my no-cost maintenance another 2 years (after 4-year original warranty) or 100K miles (whichev comes first) will cost another $2500
Question 1: What price of the Edmunds' quotes should I be negotiating toward? I thought that the "trade-in" price, was basically the wholesale value of the vehicle to the dealer, such that I should be negotiating closer to $22K, and not $28K
Question 2: Should extending my original warranty REALLY cost $2500? That's $1250 a year -- would I be spending THAT MUCH on maintenance/upkeep from year 4 onwards?
Any help on either question, or any insight on this post is much appreciated!
#503 of 511 Re: Purchasing my leased 2007 3.0si roadster [delfer]
Apr 26, 2010 (3:04 am)
Personally, if the dealer will CPO your car for that price I'd grab it. You could look at other similar cpos for the same year just for comparison, but factor in the mileage penalty you will have to pay. It doesn't hurt to try to get the price reduced further by quoting the cpo price of similar vehicles and autotrader.com prices as well as your edmunds.com valuation, but personally I don't think that's a terrible price (but I'm just a Z4 owner, not a pro)
As for the maintenance contract you are being ripped off. Dealer cost is $1395 and msrp is $1895. If you want to buy the car first work out the deal on the car itself and don't discuss the maintenance contract. AFTER that is finalized and in writing, then negotiate the maintenance contract. I think what they are doing is using extra markup on the maintenance contract to offset a decent deal on the car. Keep in mind that BMWFS charges the dealer a "loyalty adder" if the original lesee buys out his lease.
One caution is I'm not sure whether you can buy extended maintenance after you buy out the lease. Call BMWFS and ask them (I'm sure the dealer will say you can't) because it might be a "first owner only" deal-I'm not certain.
and remember you can do your lease buyout with ANY dealer, not just the one you leased through, so go see a couple more and see what you are offered. Good luck!
#504 of 511 Re: Purchasing my leased 2007 3.0si roadster [erdoran]
Apr 26, 2010 (12:35 pm)
So my plan is to buy my car out first, and keep it for the next year. BMWFS was the one who sent me an email allowing me to extend my original maintenance plan.
I believe you said that if the dealer is willing to sell me my car (CPO included), at $28,325, it's a good price. Unfortunately, the $28,325 was just to buy out the car, I'd need to pay extra for the maintenance upgrade or to CPO.
Now, you're saying I can buy my leased car from another dealer? I didn't know that -- literally, I thought since I am leasing my car from Pacific BMW/BMWFS, they are the only ones who can give me a final offer on the buy-out price.
That said, I hope someone out there can help with Question #1.
Question 1: What price of the Edmunds' quotes should I be negotiating toward? I
thought that the "trade-in" price, was basically the wholesale value of the vehicle
to the dealer, such that I should be negotiating closer to $22K, and not $28K.
THANK YOU FOR YOUR REPLY!
Jan 25, 2011 (5:06 pm)
Found a 2005 with 33,000 miles on it. I understand there was a facelift in 06? Not sure what the how significant that upgrade was. But the dealer has come down to 15,500 on the car. I'm feeling more room, that he'll move to 14, 900. It's a stick. Wasn't sure if I wanted a stick in this model till I drove it. I actually like it. I drove a new mazda mx 5 and it was a PITA with the six speed.
This one is sand color and a similar colored top. Not exactly the color I wanted. Has new run flats, brakes and a battery. It's got a power top and runs well. Any input on this at this price? Looks like I'm at about the private party price for it. I'd say it's between good and excellent condition. Should I go for it or is the 06 so much better to wait on? There is no warranty with this one. i kinda wanted to find an 06 CPO in the 16 or 17 range.
2 owners on this one. Seems like a lot of owner for such low miles and needing a battery, brakes and tires so soon? I've read about the tires being short lived, but....
#506 of 511 Re: Used [snowallergy]
by kyfdx@Edmunds HOST
Jan 25, 2011 (5:13 pm)
1) 6 years old.. not too surprised about the battery...brakes vary on BMWs, but anywhere between 30K-60K is not too surprising.. Tires, as well.. Higher performance tires.. 30K is about it...
2) Two owners in six years... A lot of BMWs are leased.. and, a lot of people buy a convertible that haven't had one before... and it just isn't for them.. that wouldn't put me off.
3) It's hard to find a CPO '06 model, because most of them would already be 5 years old...with only a year left on warranty... A dealer won't market an '06 as CPO, but you might find a private party that bought their's as CPO.
4) Without an option list, it's hard to be sure on the price, but that's pretty low miles for an '05... Price seems decent from a dealer (BMW dealer?).
Jan 25, 2011 (5:36 pm)
Thanks for the response. I just checked edmunds TMV on the vehicle. I didn't know the 2.5 was so much less than the 3.0 in this year.
Private Party Sale $13,817
Dealer Retail $14,949
Just buying one as a toy. So given what I see here, I'm down to the private party price considering the color. I looked at the colors in that year for that car and there is no sand color. I guess it's possible the site just missed all the colors on that model? It looks like original paint. And the car fax is clean. Nice stereos in these cars.
The only added option I see is the power top that gives the proverbial thud when it hits the windshield. I understand that at least a TSB on this car. Really doesn't bother me as long as it doesn't damage anything.
This 2006 on ebay looks to be a CPO. Either that or they're trying to give the impression it is..?
#508 of 511 Re: Used [snowallergy]
by kyfdx@Edmunds HOST
Jan 25, 2011 (6:42 pm)
Sure looks like CPO... the tipoff is the expiration date.... June, 2012.. If they were sellling some sort of third party warranty, it wouldn't expire in 17 months...
17 months of warranty goes by pretty fast... It adds some value, but not sure how much.... Of course, it gives you 17 months to decide if you have a problematic car that you might want to get rid of...
If the car is a toy.... then, I vote with going cheaper on the front end... rather than paying up for bigger engine, more warranty, etc, etc.
Jan 25, 2011 (6:46 pm)
Not sure what it's called.. . maybe bronze or Kalahari beige, or something like that..
Aug 10, 2011 (2:16 pm)
A reporter is interested in talking with roadster fans who would like or dislike the idea of a smaller engine in the new BMW Z4. If you care to share your comments, please send an email, including your daytime contact info, to predmunds.com no later than 5:00pm Pacific on Friday, August 12, 2011.