BMW Lease Negotiation

[qwerty]

Has anyone been successful in negotiating the terms of BMWs standard lease offers? 

My wife is thinking of getting an X3 or X5 lease since she drives 8-10K miles per year. So for example right now BMW is offering on the X3 $529/month with $2,750 down. The MSRP is $43,345, you can buy it after 36 months for $25,140, so during the 36 months you pay down $15,545 ($18,205-$2,750 down payment). The interest rate to pay down $15,545 at $529/month is about 14%/year, which is insanely high. If you negotiate the interest down to say 7%, the payment comes down about $50/month.  The imputed rate on the 3 series is a whopping 17% in their standard lease offer.

Has anyone been able to negotiate down the interest rate charged on your BMW lease? If so, what was the rate they were asking and what did you get it down to?

Thanks in advance.

 

[usctrojancpa]

Has anyone been successful in negotiating the terms of BMWs standard lease offers? 

My wife is thinking of getting an X3 or X5 lease since she drives 8-10K miles per year. So for example right now BMW is offering on the X3 $529/month with $2,750 down. The MSRP is $43,345, you can buy it after 36 months for $25,140, so during the 36 months you pay down $15,545 ($18,205-$2,750 down payment). The interest rate to pay down $15,545 at $529/month is about 14%/year, which is insanely high. If you negotiate the interest down to say 7%, the payment comes down about $50/month.  The imputed rate on the 3 series is a whopping 17% in their standard lease offer.

Has anyone been able to negotiate down the interest rate charged on your BMW lease? If so, what was the rate they were asking and what did you get it down to?

Thanks in advance.

If she is open to assuming someone else's lease, she can get a really good deal.  Check out some of the BMW forums for good tips....PM me if you want the name of the forums.  Has she considered buying a late model BMW and financing it with a Penfed 5-year loan with 1.99% interest rate?  She can easily sell it as long as it is in good condition with low miles and still under the factory warranty.  If you do the math, buying a 1-year old car with a 1.99% interest rate loan will beat any possible lease you might be able to negotiate...trust me, I've done the math. 

 

[rkp]

not sure on bmw's but i noticed the asian cars tend to not offer great deals buying a 1 year old car.  my rx350 was only a couple grand more than a 1 year old used version and my friend who is buying a honda noticed the same thing

how does the lease take over work? 

 

[usctrojancpa]

not sure on bmw's but i noticed the asian cars tend to not offer great deals buying a 1 year old car.  my rx350 was only a couple grand more than a 1 year old used version and my friend who is buying a honda noticed the same thing

how does the lease take over work? 

There are a few websites where people post listings of the terms to take over their lease.  Depending upon their lease payment and how much they put down, they may offer a cash incentive or require you to reimbursement them some of their downpayment.  You get approved through _____ Financial Services (BMW, Toyota, Lexus, etc) and you pay a minor transfer fee and away you go.  There are two websites out there, but I'll have to find out the names of them as I haven't checked them out in years.  I think Japanese cars hold their value better than luxury German cars, but I only buy from private party sellers as the dealer prices can be pretty high.  I'll give you an example...my car was less than 6 months old with about 5k miles when I bought it....sticker price was $75ish and I bought it for $60k.

 

[qwerty]

Has anyone been successful in negotiating the terms of BMWs standard lease offers? 

My wife is thinking of getting an X3 or X5 lease since she drives 8-10K miles per year. So for example right now BMW is offering on the X3 $529/month with $2,750 down. The MSRP is $43,345, you can buy it after 36 months for $25,140, so during the 36 months you pay down $15,545 ($18,205-$2,750 down payment). The interest rate to pay down $15,545 at $529/month is about 14%/year, which is insanely high. If you negotiate the interest down to say 7%, the payment comes down about $50/month.  The imputed rate on the 3 series is a whopping 17% in their standard lease offer.

Has anyone been able to negotiate down the interest rate charged on your BMW lease? If so, what was the rate they were asking and what did you get it down to?

Thanks in advance.

If she is open to assuming someone else's lease, she can get a really good deal.  Check out some of the BMW forums for good tips....PM me if you want the name of the forums.  Has she considered buying a late model BMW and financing it with a Penfed 5-year loan with 1.99% interest rate?  She can easily sell it as long as it is in good condition with low miles and still under the factory warranty.  If you do the math, buying a 1-year old car with a 1.99% interest rate loan will beat any possible lease you might be able to negotiate...trust me, I've done the math. 

we are still debating whether to buy or lease, the decision is not final yet. you know my wife, i wont even suggest a used car since i dont want a purse swinging in the direction of my head.  we may just buy, if we do, we will likely just take the bmw financing for a month and refi with penfed, you cant beat 1.99%.  alternatively we may just buy cash, i dont necessarily like the idea of having debt while our cash earns .75% in the bank. And I know i cant muster 50% returns like you can trading options.

 

[irvinehomeowner]

Will follow this thread... looking into the X5 also.

 

[usctrojancpa]

Has anyone been successful in negotiating the terms of BMWs standard lease offers? 

My wife is thinking of getting an X3 or X5 lease since she drives 8-10K miles per year. So for example right now BMW is offering on the X3 $529/month with $2,750 down. The MSRP is $43,345, you can buy it after 36 months for $25,140, so during the 36 months you pay down $15,545 ($18,205-$2,750 down payment). The interest rate to pay down $15,545 at $529/month is about 14%/year, which is insanely high. If you negotiate the interest down to say 7%, the payment comes down about $50/month.  The imputed rate on the 3 series is a whopping 17% in their standard lease offer.

Has anyone been able to negotiate down the interest rate charged on your BMW lease? If so, what was the rate they were asking and what did you get it down to?

Thanks in advance.

If she is open to assuming someone else's lease, she can get a really good deal.  Check out some of the BMW forums for good tips....PM me if you want the name of the forums.  Has she considered buying a late model BMW and financing it with a Penfed 5-year loan with 1.99% interest rate?  She can easily sell it as long as it is in good condition with low miles and still under the factory warranty.  If you do the math, buying a 1-year old car with a 1.99% interest rate loan will beat any possible lease you might be able to negotiate...trust me, I've done the math. 

we are still debating whether to buy or lease, the decision is not final yet. you know my wife, i wont even suggest a used car since i dont want a purse swinging in the direction of my head.  we may just buy, if we do, we will likely just take the bmw financing for a month and refi with penfed, you cant beat 1.99%.  alternatively we may just buy cash, i dont necessarily like the idea of having debt while our cash earns .75% in the bank. And I know i cant muster 50% returns like you can trading options.

Then let me teach you, with the savings that you have put away I can turn you into a cash buyer within a few years.    That being said, I don't think you may be as comfortable taking on the risk that I have to to make those 50% returns but even if you can tolerate a little bit of the risk I can you can make 8-10% and still sleep soundly at night.

 

[qwerty]

Then let me teach you, with the savings that you have put away I can turn you into a cash buyer within a few years. 

we may have to discuss this next weekend over some food. PS - i swung by my buddy's place you closed in NP square this past saturday night to see how the move was going and i mentioned the three of us should do lunch next week. ill text you some times to see what works.

 

[usctrojancpa]

Then let me teach you, with the savings that you have put away I can turn you into a cash buyer within a few years. 

we may have to discuss this next weekend over some food. PS - i swung by my buddy's place you closed in NP square this past saturday night to see how the move was going and i mentioned the three of us should do lunch next week. ill text you some times to see what works.

Yeah, let's grab lunch this weekend if you guys are free.  I'll share all of my option trading strategies with you guys.

 

[rkp]

USCT - you should make a private thread and teach all of us noobs

 

[homer_simpson]

Man, I thought I was the only person considering the X5.  :-\ 

X5 World has good info too

 

[homer_simpson]

Then let me teach you, with the savings that you have put away I can turn you into a cash buyer within a few years. 

we may have to discuss this next weekend over some food. PS - i swung by my buddy's place you closed in NP square this past saturday night to see how the move was going and i mentioned the three of us should do lunch next week. ill text you some times to see what works.

Yeah, let's grab lunch this weekend if you guys are free.  I'll share all of my option trading strategies with you guys.

Going to go grab pen and paper!!

 

[usctrojancpa]

USCT - you should make a private thread and teach all of us noobs

On my option trading strategies?  You sure you got the risk appetite for it?  It's funny, a few of my former buyers told me that I should start a hedge fund but knowing Murphy's Law I'll start losing money as soon as begin investing with other people so I'll just try to explain how I do it and people can make their trades themselves.  Besides, I don't to deal with all the paperwork and investors freaking out when there are days that a good bit of money is lost. 

 

[homer_simpson]

I wonder if we can get a group by going on the X5 LOL..

 

[irvinehomeowner]

I wonder if we can get a group by going on the X5 LOL..

Buy 2 get 1 free... I call dibs on the free one!

 

[homer_simpson]

Just saw a commercial for BMW X5 Diesel offering a $4500 Eco Credit

 

[OCgasman]

We have a 2007 X5.  We love it and especially the way it drives for a SUV (or SAV according to BMW)...when it's not in the shop, but sadly it's been in the shop ALOT since purchase.  Thank the lord, I purchased the extended warranty cuz that extended warranty already paid for itself at 55k miles.  We'll trade it in soon for another SUV.  But, the only other SUV we like that's out right now is the Porsche Cayenne.  Ugg, kinda pricey and I don't feel like paying $200 for oil changes.  Plus, we actually use our SUV to go camping and snowboarding.  We should just get a 4runner or Xterra and be done with it.  Just an FYI for anyone looking to lease/purchase a X5, the new redesigned X5 (codename F15) should be out early/mid next year according to all the BMW sites.

 

[homer_simpson]

We have a 2007 X5.  We love it and especially the way it drives for a SUV (or SAV according to BMW)...when it's not in the shop, but sadly it's been in the shop ALOT since purchase.  Thank the lord, I purchased the extended warranty cuz that extended warranty already paid for itself at 55k miles.  We'll trade it in soon for another SUV.  But, the only other SUV we like that's out right now is the Porsche Cayenne.  Ugg, kinda pricey and I don't feel like paying $200 for oil changes.  Plus, we actually use our SUV to go camping and snowboarding.  We should just get a 4runner or Xterra and be done with it.  Just an FYI for anyone looking to lease/purchase a X5, the new redesigned X5 (codename F15) should be out early/mid next year according to all the BMW sites.

Yeah I've heard numerous stories about the problems the X5 have.. What were the majority of the problems yours had when it went in the shop (if you don't mind me asking)?

 

[davenlei]

We have a 2007 X5.  We love it and especially the way it drives for a SUV (or SAV according to BMW)...when it's not in the shop, but sadly it's been in the shop ALOT since purchase.  Thank the lord, I purchased the extended warranty cuz that extended warranty already paid for itself at 55k miles.  We'll trade it in soon for another SUV.  But, the only other SUV we like that's out right now is the Porsche Cayenne.  Ugg, kinda pricey and I don't feel like paying $200 for oil changes.  Plus, we actually use our SUV to go camping and snowboarding.  We should just get a 4runner or Xterra and be done with it.  Just an FYI for anyone looking to lease/purchase a X5, the new redesigned X5 (codename F15) should be out early/mid next year according to all the BMW sites.

We were debating between the X5 and the GX470 and after seeing all the issues and breakdowns people posting about on the X5 forums and seeing the relatively few issues with the GX, we went with the GX and love it.  Although the GX470 (and GX460) is a luxury SUV, it is actually designed to be a good off road vehicle and has some pretty cool technology (KDSS) which automatically disconnects the sway bar from the body to give you extra suspension travel when you are in rough terrain (Option on the 470 and standard on the 460).  The rear height adjustable air suspension helps when towing or hitching up to the GX as well. 

 

[iacrenter]

We have a 2007 X5.  We love it and especially the way it drives for a SUV (or SAV according to BMW)...when it's not in the shop, but sadly it's been in the shop ALOT since purchase.  Thank the lord, I purchased the extended warranty cuz that extended warranty already paid for itself at 55k miles.  We'll trade it in soon for another SUV.  But, the only other SUV we like that's out right now is the Porsche Cayenne.  Ugg, kinda pricey and I don't feel like paying $200 for oil changes.  Plus, we actually use our SUV to go camping and snowboarding.  We should just get a 4runner or Xterra and be done with it.  Just an FYI for anyone looking to lease/purchase a X5, the new redesigned X5 (codename F15) should be out early/mid next year according to all the BMW sites.

We were debating between the X5 and the GX470 and after seeing all the issues and breakdowns people posting about on the X5 forums and seeing the relatively few issues with the GX, we went with the GX and love it.  Although the GX470 (and GX460) is a luxury SUV, it is actually designed to be a good off road vehicle and has some pretty cool technology (KDSS) which automatically disconnects the sway bar from the body to give you extra suspension travel when you are in rough terrain (Option on the 470 and standard on the 460).  The rear height adjustable air suspension helps when towing or hitching up to the GX as well. 

Are you part of the 1% of Americans that actually use their luxury SUV off road?