Purchase Price

[Bmwusa-f36]

Hi.
I just came from my local dealer with a leasing quote for a sdrive 35i Z4.
MSRP is 65900, went down to 63050 with the price. Is it ok, or should I ask for more. monthly payment with 0 down would be 1060 plus tax.
What do you guys think about it?

[Jbrock22]

I leased a 2009, MSRP $ 65K. $1600.00 out of pocket, 15k/year. With 9% PA tax @ $ 534.00/month.

[msimon18]

JBrock22.....

questionnable..... that comes out to 21K for 36 months. The residual would be about 44K or 68%.......

[msimon18]

actually when you consider the 9% tax ir would be over 70% residual.....

[Jbrock22]

My bad, not $ 65k wrong MSRP.
My exact deal:
2009 3.0i Cold, Prem pkg,Sportpkg, Auto, Sat & Dest charge.= MSRP $ 55695.00

I Picked up the car on 10/31/2009. My exact #'s are: $ 1674.59 Total out of pocket. Monthy payment 492.70 per month plus $44.34( PA Tax) Total= 537.04/month & its 15k per year. 29 Months( first month included in the out of pocket) Adjusted Capitalized cost= $ 47,710.00 Residual value $ 36201.75 BMW lease. Sweet deal!!!

[teagueAMX]

Can you guys help me out with michaelr@kapp-usa.com's deal, below.

I've never leased before and would appreciated if you could talk me through the deal he's looking at.

One thing seems to be there is no term for the lease. Also, I assume you want a lease with a high residual rate so that your payment is lower - is this correct?

Originally Posted by michaelr@kapp-usa.com

Hi.
I just came from my local dealer with a leasing quote for a sdrive 35i Z4.
MSRP is 65900, went down to 63050 with the price. Is it ok, or should I ask for more. monthly payment with 0 down would be 1060 plus tax.
What do you guys think about it?

[Bmwusa-f36]

Originally Posted by Jbrock22

My bad, not $ 65k wrong MSRP.
My exact deal:
2009 3.0i Cold, Prem pkg,Sportpkg, Auto, Sat & Dest charge.= MSRP $ 55695.00

I Picked up the car on 10/31/2009. My exact #'s are: $ 1674.59 Total out of pocket. Monthy payment 492.70 per month plus $44.34( PA Tax) Total= 537.04/month & its 15k per year. 29 Months( first month included in the out of pocket) Adjusted Capitalized cost= $ 47,710.00 Residual value $ 36201.75 BMW lease. Sweet deal!!!

Thanks man, I just made my dealer crazy. he even calculated everything new, to get a deal like this. maybe I should tell him, that it is not 65k but 56k.

[Bmwusa-f36]

Originally Posted by teagueAMX

Can you guys help me out with michaelr@kapp-usa.com's deal, below.

I've never leased before and would appreciated if you could talk me through the deal he's looking at.

One thing seems to be there is no term for the lease. Also, I assume you want a lease with a high residual rate so that your payment is lower - is this correct?

The lease term would be 36months, 10000 miles a year. the quote he gave me was with no downpayment and not trading my 335i e93 in. Only to get a number. I dont know, if I have much influence on the residual he puts in.

[msimon18]

JBrock22 - Amazing deal but I am guessing that it is because you are leasing a LEFTOVER 2009 model that they are willing to come down so far. Was the car a demo ???

[matthewz409]

Originally Posted by teagueAMX

Can you guys help me out with michaelr@kapp-usa.com's deal, below.

I've never leased before and would appreciated if you could talk me through the deal he's looking at.

One thing seems to be there is no term for the lease. Also, I assume you want a lease with a high residual rate so that your payment is lower - is this correct?

Since he didn't post details about the lease we are left to guess. Is it a '10 or '11 model? What is the money factor? What is the residual?

You can read all the fine details about leasing elsewhere on the web. The important points are the residual percentage, money factor (aka interest) and vehicle price (discount off MSRP). The other numbers such as cap cost reduction, customer cash, etc simply shift upfront money to or from the monthly payment. Last month most dealers were using a residual of 54% on '09s with about 11% off MSRP. I believe they are using 64% on '11's. You can roughly expect a drop of ~1.2%/month on the residual number. So next month an '09 would be have a residual of ~52.8%. Obviously car depreciation is not linear but it's good enough for figuring 36mon leases. At the same time the percentage off MSRP should also increase.

Beware that some dealers will push up the residual number from 54 to 56% but at the same time increase the money factor. So it looks like the car is worth more at the end of the lease but you will be paying a higher monthly interest rate and could end up paying more for the car over the lease.

If you have questions about a particular lease have the dealer run the numbers. Ask for the breakdown of all the numbers - they must give this to you as part of the 'truth in lending' laws. Then you can see exactly where your $ is going. There are a lot of other numbers to consider like GAP insurance, acquisition and disposition fees which you do not have on a normal car loan.

[Bmwusa-f36]

Originally Posted by matthewz409

Since he didn't post details about the lease we are left to guess. Is it a '10 or '11 model? What is the money factor? What is the residual?

You can read all the fine details about leasing elsewhere on the web. The important points are the residual percentage, money factor (aka interest) and vehicle price (discount off MSRP). The other numbers such as cap cost reduction, customer cash, etc simply shift upfront money to or from the monthly payment. Last month most dealers were using a residual of 54% on '09s with about 11% off MSRP. I believe they are using 64% on '11's. You can roughly expect a drop of ~1.2%/month on the residual number. So next month an '09 would be have a residual of ~52.8%. Obviously car depreciation is not linear but it's good enough for figuring 36mon leases. At the same time the percentage off MSRP should also increase.

Beware that some dealers will push up the residual number from 54 to 56% but at the same time increase the money factor. So it looks like the car is worth more at the end of the lease but you will be paying a higher monthly interest rate and could end up paying more for the car over the lease.

If you have questions about a particular lease have the dealer run the numbers. Ask for the breakdown of all the numbers - they must give this to you as part of the 'truth in lending' laws. Then you can see exactly where your $ is going. There are a lot of other numbers to consider like GAP insurance, acquisition and disposition fees which you do not have on a normal car loan.

I didnt put all the lease details in, because I was more interested in the sales price. residual would be 52%, interest rate 4.9%. and a 2010 model

[Jbrock22]

No the car was new. It was their last 09. I was going to wait still Spring and order a car. But they told me "10" leases would cost hundreds more. At the number I would not be driving a Z4. Dealer is West German in Ft. Washington PA. Good Luck!

[arirochmann]

Originally Posted by Jbrock22

My bad, not $ 65k wrong MSRP.
My exact deal:
2009 3.0i Cold, Prem pkg,Sportpkg, Auto, Sat & Dest charge.= MSRP $ 55695.00

I Picked up the car on 10/31/2009. My exact #'s are: $ 1674.59 Total out of pocket. Monthy payment 492.70 per month plus $44.34( PA Tax) Total= 537.04/month & its 15k per year. 29 Months( first month included in the out of pocket) Adjusted Capitalized cost= $ 47,710.00 Residual value $ 36201.75 BMW lease. Sweet deal!!!

That's pretty good. My '08 335xi loaded is $650/mo with 10k/year. I'm looking at a Z4 for my next car in fall of '11. Have you driven yours in the winter here in PA?

[Silver-Bolt]

Have to review our paperwork to be sure but I think our residual is 55% with a 36mo/15k lease. Our car was a demo so we beat the price down below invoice.

Dealer cost to MSRP is $5k on most BMW's. A 2010 convertible going into the winter months I would work them harder on pricing. BMW should be offering some dealer cash to move those Z's.

[BlueZ4AZ]

Originally Posted by Jbrock22

I leased a 2009, MSRP $ 65K. $1600.00 out of pocket, 15k/year. With 9% PA tax @ $ 534.00/month.

The lease payment has little meaning unless you provide the term of the lease.