Last post on Oct 26, 2010 at 7:35 PM
You are in the BMW 3-Series
What is this discussion about?
Certified Used (CPO), Car Warranties, Sedan
#28 of 57 Re: CPO and Extended Warranty [kyfdx]
Aug 15, 2008 (4:19 pm)
Lease was 3 years. The residual is 24302. I've looked around other boards and seems like the maintenance plan went up quite a bit in the last year or so. People seemed to have started at 1495 and bargained it down to 995. Whereas now they started at 2595 and I got it down to 1895. Not sure if this increase in price was standard.
Just to summarize my situation:
Residual is 24302.
They started the CPO/warranty price at 2895 and brought it down to 1895. This would be for 6 years/100K.
They started the service contract at 2395 and brought it down to 1995. This would be for 6 years/100K.
I really like my car and have kept it in pretty good condition. But this is my first BMW lease so I am trying to get all the info I can. I didn't finance it initially because I thought I would just lease again but I like my car enough to buy it. I get the feeling that I can get the service down a couple hundred.
What do you think?
#29 of 57 Re: CPO and Extended Warranty [etj]
by kyfdx@Edmunds HOST
Aug 16, 2008 (6:42 am)
I think even $3500 is too much to warranty a $24K car for two years.. Especially, when you have to pay now, and the coverage doesn't even start for another year..
If you really like the car, and it's been fairly reliable, then I'd just buy it with no extensions.. You are covered for the next year...
Here is something else to think about.. When your dealer is CPOing your car, you aren't buying it from BMWFS and then adding those coverages... The dealer is buying it from BMWFS, adding the coverages, then re-selling the car to you. It's possible (even likely) that the dealer is getting the car for even less than the $24,302 that you would pay.. BMWFS typically sells the car to the dealer for the current auction price.
So, I'd compare the price of your car to what you can buy a similar CPO unit + $1500 for the maintenance... Don't focus so much on the individual components... Add it all up. Does it make sense to buy an '06 325i with 30K miles for $28K?
Bargain hard... be aware that the dealer is probably paying less than you are for the car... maybe a lot less.. so, don't be swayed by adding up the individual components of the deal, thinking they can't go any lower...
#30 of 57 Re: CPO and Extended Warranty [kyfdx]
Aug 16, 2008 (1:09 pm)
Thank you for your thoughts! I really do like my car but I would also like the peace of mind of getting the extensions if I can negotiate them down.
A couple more questions regarding negotiations:
1. Does it matter to the dealer if I buy the car out directly from BMWFS? I ask so I can use this as leverage to reduce the CPO fee from the dealer.
2. Is there a way to find out the auction prices? Did some research but can't seem to find this without being a registered dealer.
#31 of 57 Re: CPO and Extended Warranty [etj]
by kyfdx@Edmunds HOST
Aug 17, 2008 (8:22 am)
Auction prices? Post a description of your car HERE.
The answer you get, will determine the answer to your first question. If auction values are quite a bit lower than your buyout, then your dealer can purchase your car for less than you can... This should translate into a discount for you...
Another member did this a few years ago, and ended up getting his car, with CPO warranty attached for the same price as the buyout on his lease. His post is HERE.
Aug 17, 2008 (8:24 am)
Read down farther in that last linked discussion... You'll see some more posts and info about that deal...
#33 of 57 Leaky trunk
Aug 29, 2008 (1:23 pm)
I have a '04 Z4 3.0i that is CPO. Factory warranty ended this past May but I have CPO until 2010.
There is a leak somewhere in the trunk where water is getting in. I brought it to the dealer last April while it was still in the factory warranty and they replaced a brake light seal claiming it was the reason for the leak. I haven't really parked my car in the rain since then until a few weeks ago.
My trunk is still leaking, so I brought my car back to the dealership in Bellevue, WA (Seattle area) and they had the car for 2 days but couldn't find the problem after spraying the car with a hose and a pressure washer.
They told me they speculate it would be the drain holes under the roof, but they can't be sure until they look at it. It's not covered under warranty, and will cost $755! WTF.
To make matters worse, they said that my service record from April doesn't state why I brought the car in, so it's another reason why the leak won't be covered retroactively.
Can someone tell me some good news here on how I can get this fixed? This whole situation seems BS.
#34 of 57 Help? Bought car late last nite and need to decide on ext warranties!
Aug 31, 2008 (6:39 am)
Hoping I can get some quick help, as just learned about the run flat tire concerns and just found this website early this morning.
Bought a 2007 BMW 328i with 14,5 miles on it. Should I buy the Extended Maint (1895) and/or the Millenium T&W (tire/windshielf door ding) plan (995)? WAs not planning to, but after reading about expensive repairs and need to change tires more frequently than I thought, am now wondering...(I know I should have researched this better before buying, but I do not have much personal car buying experience)
Any quick advice would be much appreciated, as need to go back in just a few hours and resign some papers (was there late last nite).
#35 of 57 Re: Help? Bought car late last nite and need to decide on ext warranties!
Sep 01, 2008 (6:19 pm)
Relax. enjoy the car. Get a good Tech. The extended Warranty will ONLY kick in AFTER the Standard Warranty expired. Since you car is a 2007 with 14,5 ?- it's still cover under the Standard [4 years or 50K with-ever comes first.] Depend on your home town law but you should have 30 to 90 days after buying the car to get an Extended Warranty from your dealership.
If I were you i will pick the Extended Warranty after try to lower its price [ You'll be in fact lending the money to the dealer for about 3 years at CERO%!].
I would not buy the Millennium a&W. Instead I will put that money in a bank since most folks will tell you that the parts likely to break apart are the one not cover by the warranty.
#36 of 57 Re: Help? Bought car late last nite and need to decide on ext warranties! [dujox]
Sep 01, 2008 (10:52 pm)
First, thank you very much for your reply... although I need to let you know that I had to make a decision before I got this response, so here's what I did: I declined Lo Jack and Extended Warranty plans but did get the Millennium t&w plan. My reasoning:
(1) I have 2 new tires on car - the rear ones - and the fronts have about 50% life according to the dealership,
(2) I was told that the dealership never repairs, and only replaces the tires,
(3) the high cost of the required tires (224 on one website someone referred me to, and even more if bought at the dealership)
(4) reading so much online about how the tires often have to be replaced after just 12-15,000 miles, and last
(5) they re doing lots of road repairs in my commuting/driving areas
I did ask if they could do anything about the price, and at least got it down $100 (better than nothing...although I had no idea that sales tax would be charged on price!)
What is your experience with run flat tires?
And, why do you recommend trying to get the Extended Maint warranty? Becuase BMW labor and parts costs are so high? I was hoping that with an 'almost new' car like this, I wouldn;t have to worry about much in terms of maint or repair costs within the next 5 years...
Interested in hearing more... as I apparently have a lot more to learn (and the dealer did not have an owner's manual to give me yet!)
#37 of 57 Re: Help? Bought car late last nite and need to decide on ext warranties! [valorie]
Sep 24, 2008 (2:45 pm)
The extended maintenance warranty will pay for itself within the first year assuming you drive the car 12-15k miles per year. Brakes cost around $850 per axle, oil changes are about $200, microfilters $250. at 100k spark plugs due $600. note; a maintenance warranty is strictly maintenance, it will not cover mechanical repairs.