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BMW X5 Lease Questions

2262 messages,  Last post on May 19, 2013 at 9:01 AM

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What is this discussion about? BMW X5, Car Leasing, SUV

Messages Page 68 of 227

#670 of 2262 $630 vs. $799 by rezf

Mar 28, 2008 (7:11 am)

leases do NOT work the way yo think they do. You are not merely spending money on the same piece of automobile.
 
The 2005 X5 was 5 years into its development and sales had started to slow down. what manufacturers do in these situation is to increase the residual rate in the lease (one of the major determinants of your lease payments) This way the payments drop and they hope to be able to maintain consistent sales numbers.
We are not at that point yet with the new X5. The car is selling like hotcake and BMW has no incentive to take a financial hit by increasing residuals, The payments of 799 vs. 630 reflect the differences in the residuals between the two cars.
If you want to know whether you have the best deal proposed to you, you need to look for these:
1) The selling price of the vehicle
2) the money factor used to govern your lease
3) make sure you do not put any extra money down towards the lease
 
Then, if you calculate your lease, you will know whether in fact you have a good deal or not

#672 of 2262 2008 X5 lease by topgun26

Mar 28, 2008 (1:14 pm)

let me know what anyone thinks of this offer:
2008 X5 3.0, msrp 61,075
  - $0 down, taxes in payments, $809.50 per month for 12k/36months
  - security of 749, bank fee of 625 and dmv for NY
---any thoughts if this is a good deal? thanx!

#673 of 2262 2008 X5 3.0 Lease for two novices by fishjill

Mar 28, 2008 (1:30 pm)

So the 2008 X5 we want has a msrp of $49, 575 with a $2,164 adjustment/discount to make it $47,411. We have a trade in that will net us $3500 to apply to the $47,411. We are then being charged $1,660 in tag/title/tax, first month's lease payment and a $809 security deposit (totaling $3,097). With no money down, other than the $3,097 and the $3,500 trade in, our monthly payment is $628. We want to lease the X5 for 36 months and 15k a year. We have previously owned a BMW so we are wondering why the large security deposit. Can anyone help two novices that don't want to get taken to the cleaners? What are we missing and does the monthly payment seem fair?

#674 of 2262 Re: $630 vs. $799 [rezf] by nj_bmw_byer

Mar 28, 2008 (2:06 pm)

Replying to: rezf (Mar 28, 2008 7:11 am)
rezf,
 
I am starting not to trust this entire process, including information obtained here. This is not my first lease, not even my first X5 lease. This will be my 3rd. When the X5 was first introduced it was a hot selling car as well. Everywhere I went salespeople where say 800.00+ for an X5 3.0 series with 12/36 lease package. After rigorous negotiation I got the same car for 650.00 including taxes. That was in 2002 I believe. In 2005 it was the same scenario -- I got the car for 630.00 including taxes. Now it is 2008 I have been quoted prices as high as 900.00. I recently was quoted a price of 702.30 down from the 799.00 including taxes. Each car was approximately $52K
 
As I am sure you know. when you lease a car you get the money factor, the final sales price and the residuals. You can easily compare that vehicle with the one i wish to lease now. It is all pretty much the same. The money factor, the residual, in fact the 2008 X5 cost a little less.
 
I cannot find a reason for this car to cost over $150.00 more. I know sales people will attempt to get as much as they can. But the consumer should be able to what is an acceptable lease agreement. You say it is all about the numbers, but in this case and I suspect many others the number don't add up. Just like I can't even create either one of my lease agreement on the basic lease calculator. Even using all the numbers on my old leases(which I still have).
 
It should be easy to say at X5 3.0 50K 12/36 lease should be X
                                                       52K 12/36 lease should be X
                                                       54K
                                                       55 etc.
                                       X5 4.4
 
These are the standard lease agreements. at least consumers would have a ball park in which to negotiate.
 
Anyway, I hired a consultant. I don't have the time to do the negotiations again and I shouldn't have to do this with a salesperson and dealer that I already had an acceptable deal with. It will cost me $500.00 but in the long run I will save over the course of the lease.
 
This whole thing makes me wanna buy a saturn.
 
ajastorm2002aol.com

#675 of 2262 please read by rezf

Mar 28, 2008 (2:21 pm)

It isn't as simple as you make it out to be. You SHOULD be able to reproduce the numbers you are being quoted using a lease calculator. Something is wrong or missing if you cannot. I have never negotiated an agreement that I was not able to reproduce from what the dealership is quoting.
Please don't take this the wrong way, but I suspect you do not have an in depth understanding of how a lease works.....most people don't and that is how/why dealershiips screw people over.
If you want the numbers verified, just provide them on this site and I would be happy to run it for you. To do so, I need the following:
1) MSRP of the car
2) negotiated selling price of the car
3) the upfront fees-ITEMIZED, including, but not limited to, acquisition fee, doc fee, MACO, title fees, any taxes, security payment (if required) etc.
4) the money factor used
5) the residual percentage used (comes from the term of the lease. Meaning 36 month lease at 12k miles yeear has a different residual than 10k miles)
6) the tax rate for your state and WHETHER THE TAX IS CALCULATED ON THE PORTION OF THE CAR YOU LEASE OR ON THE ENTIRE SELLING PRICE.
 
Food for thought, the consultant makes $500 if he closes the deal for you; therefore, does he have your best interests in mind?? ONLY you can look out for yourself

#676 of 2262 Re: please read [rezf] by nj_bmw_byer

Mar 28, 2008 (3:51 pm)

Replying to: rezf (Mar 28, 2008 2:21 pm)
Actually, based upon what you have referenced to me it should be just that simple. As you explained it should all me a matter of calculable numbers. I never said I had an in depth knowledge of car leasing, if I had I wouldn't be asking for help on this web site. But i do have a knowledge of numbers and common sense. Don't take this the wrong way, however it should be very easy for anyone as knowledgeable as you say you are to give ball park estimates on given car leases because it is all a matter of numbers. It should be easy to tell consumers what a fair lease price should be - not exactly - but ball park. Anyway here are my numbers, tell how they go from 799.00 to 702.00
 
2005
 
Sticker Pr. GCC 51,370.00
sale pr.ACC 50,035.10
agreed val vehicle 48957.75
        inceptions 630.00 1st mo.
                         250.00 title, reg
                         625.00 Aquistion fee
                         105.50 NJ tire&REC/Doc Fee
total incept 1611.00
mo. factor .0029
residual val 31002.00
 
2008
 
Sticker Pr.GCC 51,660.00
sale pr.ACC 50,011.03
agrd val veh. 49,002.75
        inceptions 799.00 1st mo
                         375.36 Cap cost reduction.
                         825.64 motor vehical, lease term, doc fee, lux taxtitle, reg
total incept 2000.00
mo. factor .0029
residual val 31047 20
 
NJ tax rate and I believe the tax in on the selling price of the car.
 
This is what has been given to me.
 
In my past two leases I negotiated them myself. I just don't have the time to go through the process that i went through the first two times. I din't crunch numbers as much as I talked to salespeople at dealerships - with knowledge of what other people paid. Not saying it is the right way- but a way and a way that has worked. The consultant only gets paid if he get a lease price at or under what we agreed would be a fair price. As he looks out for himself, he has no choice but to look out fo me.
 
All i am saying is if people had a ball park on what a fair lease price would be a lot of the number crunching might not be necessary. If you buy totally into the numbers process, then you have to talk only number where the average consumer is at a drastic disadvantage. All I am asking here is to give me what would be a fair lease price for a 51K ish X 5 BMW shouldn't be this hard.
 
I hope I am not comming across as insulting just frustrated , not at you nor the site - just the process.
 
ajastorm2002aol.com

#677 of 2262 Re: 2005/2008 X5 numbers requested[rezf] by nj_bmw_byer

Mar 29, 2008 (5:13 am)

Replying to: rezf (Mar 28, 2008 2:21 pm)
Thank you for any quick response you might give to these numbers. There was a typo concerning the moneyfactor in the 2005/2008 BMW X5's. It is 0021 on 0029. the 0029 was the money factor on the Cayenne that I am also negotiation.
  
2005
  
Sticker Pr. GCC 51,370.00
sale pr.ACC 50,035.10
agrd val vehicle 48957.75
        inceptions 630.00 1st mo.
                         250.00 title, reg
                         625.00 Aquistion fee
                         105.50 NJ tire&REC/Doc Fee
total incept: 1611.00
mo. factor .0021
residual val 31002.00
  
2008
  
Sticker Pr.GCC 51,660.00
sale pr.ACC 50,011.03
agrd val veh. 49,002.75
        inceptions 799.00 1st mo
                         375.36 Cap cost reduction.
                         825.64 motor vehical, lease term, doc fee, lux taxtitle, reg
total incept 2000.00
mo. factor .0021
 
residual val 31047. 20
  
NJ tax rate and I believe the tax in on the selling price of the car.
This is what has been given to me.
.
  
ajastorm2002aol.com

#678 of 2262 Need some quick help on Lease info by fishjill

Mar 29, 2008 (9:52 am)

Sorry to re-post but we're trying to get something done this weekend. The 2008 X5 we want has a msrp of $49, 575. The dealer has come off $2,164 to make the price $47,411. We have a trade in that will net us $3500 to apply to the $47,411. In addition to the trade-in cash, the remaining up-front monies are $3097 (which consist of TTL $1,660, first month's lease payment of $628, and an apparent $809 security deposit). Our monthly payment will be $628 for 36 months/15k a year. We have previously owned a BMW so we are wondering why the large security deposit. Is the monthly payment in line? Do you think the deal price is on target or is there still some room to negotiate? Is invoice on this $45645? Thanks so much!

#679 of 2262 Re: Need some quick help on Lease info [fishjill] by rezf

Mar 29, 2008 (2:17 pm)

Replying to: fishjill (Mar 29, 2008 9:52 am)
fishjill,
based on the numbers you have quoted, the lease payment should be $602. I believe they are fully marking up the money factor from 0.0025 to 0.0029. Have them recalculate the money factor using the buy rate and lease should come out to $602 per month. security fee should also be waived if you have previously leased or financed through BMW Financial Services. If your previous BMW was bought outright or financed/leased through a third party bank, then security fee applies
Good luck

Messages Page 68 of 227

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