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BMW 5-Series Lease Questions

3944 messages,  Last post on Jun 18, 2013 at 4:11 PM

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What is this discussion about? BMW 5 Series, Car Leasing, Sedan, Wagon

Messages Page 241 of 395

#2395 of 3944 Re: BMW offering Factory-to-dealer $5000? [blckislandguy] by jasont

Jun 28, 2009 (5:47 pm)

Replying to: blckislandguy (Jun 24, 2009 7:58 pm)
I have to admit I was questioning why people lease also, but as I really compared buying a 2006 or 2007 5 series to a lease, the lease seemed better and better. My lease offer was for a 2010 528 3 years/36k miles for $650 a month including CA sales tax or $23,400 over the term. I was able to order the exact car I wanted and I get to drive around in something brand new.
I estimated a used 2007 5 series with similar features CPO would go for $37k plus another $3,515 in sales tax. For comparisons sake, I estimated a loan doing the same drive offs as my lease which were security deposit only or $700. I used 3.9% for 60 months which was the BMW offer at the time. That means a loan of $39,800 or $731 a month. After financing for 3 years, I would have spent $3535 in interest and that $37k car would now be worth about $19k. So between depreciation of $18k plus interest I would be out $21,500 which is only a savings of $2k over the lease, which may honestly be lost if I cant sell the car for $19k.
Plus, the CPO only lasts for 2 years after the initial warranty expires, so in 3 years that 2007 5 series is now 5 years old and has no warranty, not what I am looking for. I like a new car every 3 years, I drive less than 15k miles per year, and I hate selling a car when I am done with it. The lease seemed like the best option for me.
I am curious, after seeing these figures, if you still disagree?

#2396 of 3944 by smithsonga

Jun 28, 2009 (6:03 pm)

I have leased many cars and recently purchased a CPO. Your logic is correct but I think you over estimate the cpo price. I purchased a 2007 550i for 35000. You could get a 530 or 525 for less. So redo your financials using a lower price. However, a new car every 3 yrs typically equals lease.

#2397 of 3944 Re: [smithsonga] by bmw530owner

Jun 28, 2009 (6:11 pm)

Replying to: smithsonga (Jun 28, 2009 6:03 pm)
Agreed, your CPO estimate is too high. I also purchased a 2007 530, w/ Nav, Sport and Premium package for 33K plus tax.

#2398 of 3944 Re: BMW offering Factory-to-dealer $5000? [jasont] by blckislandguy

Jun 28, 2009 (7:29 pm)

Replying to: jasont (Jun 28, 2009 5:47 pm)
I agree with your analysis for your situation. What caused me to write the post though was the almost feverish requests for people to judge if the poster had gotten absolute last nickel out of the deal. Anyone who is working that hard to save a little money, I think, could in most situations, put the same effort into the far less "efficient" used market and come up with a real score. Given that BMW Financial sets the rules and the dealers all buy the cars at the same price, no one is going to come up with a way under market price on a lease.
 
It is analgous to two investors. One guy researches the big cap stocks which are covered by everybody. He thinks naiveley that with enough work he can get an edge on Google's earnings prospects. The other guy picks an obscure corner of the market with very little coverage, say bonds issued by African countries. With enough research he could come up with an edge that would make him some money.

#2399 of 3944 Re: 2010 BMW 528i [jasont] by Car_man HOST

Jun 29, 2009 (4:52 am)

Replying to: jasont (Jun 09, 2009 8:15 pm)
Hey jasont. $250 over dealer invoice plus the use of its buy rate lease money factor is an excellent deal on a 2010 528i.
 
Car_man
Host
Prices Paid: Buying & Leasing Experiences Forum

#2400 of 3944 Re: neg equity [radone] by Car_man HOST

Jun 29, 2009 (4:55 am)

Replying to: radone (Jun 09, 2009 10:00 pm)
Hi radone. That's a lot of negative equity. You would be better off waiting until you are less upside down on your current car to get something new. If you really wanted to get out of your car right now, you would end up paying a lot more more than you normally would for your new car. Plus you would have to come up with a lot of cash to put down because there isn't a $10,000 margin in this car to absorb the negative equity,
 
Car_man
Host
Prices Paid: Buying & Leasing Experiences Forum

#2401 of 3944 Re: BMW 535 2010 lease rates [bmwfan53] by Car_man HOST

Jun 29, 2009 (4:59 am)

Replying to: bmwfan53 (Jun 11, 2009 4:33 pm)
Greetings bmwfan53. Here's the information that you're looking for. BMW Financial Services' current buy rate lease money factor and residual value for a 36 month lease of a 2010 535i with 15,000 miles per year are .00155 and 58%, respectively. The residual value for a lease with only 12,000 miles per year would be 2% higher.
 
Car_man
Host
Prices Paid: Buying & Leasing Experiences Forum

#2402 of 3944 Re: BMW offering Factory-to-dealer $5000? [teck2u2] by Car_man HOST

Jun 29, 2009 (5:05 am)

Replying to: teck2u2 (Jun 20, 2009 7:42 pm)
Hi teck2u2. BMW is indeed providing $5,000 dealer cash on the 2009 5-Series. However, this cash is not compatible with its special financing or lease programs. It's only good on cash deals, including real cash and deals that are financed through banks other than BMW FS. There is no cash available on 2010 models.
 
Car_man
Host
Prices Paid: Buying & Leasing Experiences Forum

#2403 of 3944 Re: BMW offering Factory-to-dealer $5000? [Car_man] by teck2u2

Jun 29, 2009 (11:30 am)

Replying to: Car_man (Jun 29, 2009 5:05 am)
Thanks Car_man,
 
I appreciate your response on this and my MDX forum questions.
 
I ended up going with a 09 X5 with 36K miles lease. I am happy to say that through this forum and your expert advise as well as others, I got the X5 for $170 over invoice price (see my earlier post with pricing details).
 
I am picking it up the end of July or sooner if all goes well.
 
Cheers,

#2404 of 3944 Re: BMW offering Factory-to-dealer $5000? [teck2u2] by Car_man HOST

Jul 02, 2009 (3:31 am)

Replying to: teck2u2 (Jun 29, 2009 11:30 am)
You're very welcome, teck2u2. It sounds like you got a great deal. I'm glad that you found the forums so helpful. Make sure to stop back and let us all know how you like your new ride.
 
Car_man
Host
Prices Paid: Buying & Leasing Experiences Forum

Messages Page 241 of 395

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