Lease experts.....lend me a hand plz

Aces_High · 11-24-2008, 10:03 AM

Hey all I need some opinions.....

I was in servicing a friends vehicle and browsing the showroom and saw a DEMO 335i coupe that kinda caught my eye.....Salesman approached, we made small talk......and I asked for some numbers since he said the deal would be sick since its a demo.......I said wtf......lets see the #s.

Car MSRP was $52,000.00
Selling price became 43,000.00

with 0 cap cost reduction.

RES is 57%
MF: 0.00170

aquisition fee of 925 and approx 400 for docs rolled into cap cost...

so the numbers on a 10K thirty six month lease come out to 655 due at delivery(first payment), and 655 a month........

help me out as I don't want to risk having the car sold to someone else, in the event that this is a stellar deal......

The car has 12,093 miles on it, its an 08........and sales manager said he is only keeping the auto tranny rebate as his profit.......bs or not??

take it or walk?

Ali.K_BMW · 11-24-2008, 10:15 AM

Thats a great deal. its a lease too. so your not going to keep the car after the term. You will be still under warranty and maintenance too.

"my opinion"

Aces_High · 11-24-2008, 10:19 AM

Thx for the prompt reply. do you feel there is anymore room for negotiating? or verifying that really the only profit in the car is the 1200 tranny rebate ???

batmobl · 11-24-2008, 10:32 AM

If you use the lease calculator on leaseguide.com, the monthly comes out to $533.66 (not including taxes since you didn't say how much taxes). Just for kicks, I added 8% tax and the payment still came out to $576. So I am not sure how the dealer came out with $655. It seems they are adding some other costs and not disclosing them. Good luck.

Aces_High · 11-24-2008, 11:03 AM

Quote:

Originally Posted by batmobl

If you use the lease calculator on leaseguide.com, the monthly comes out to $533.66 (not including taxes since you didn't say how much taxes). Just for kicks, I added 8% tax and the payment still came out to $576. So I am not sure how the dealer came out with $655. It seems they are adding some other costs and not disclosing them. Good luck.

Dude r u serious??? hahaha fill me in please, that is a HUGE difference.....ya and you just about nailed the tax. its 8.25 %.

Aces_High · 11-24-2008, 11:13 AM

I just researched this it seams that they deduct from the residual value the mileage that is presently on the vehicle. so basically it becomes an equation such as in this case 12,000miles x 0.15cents per mile = $1,800......so this effectively makes the residual of the vehicle 53%...???? wtf????

Hmm does this matter or make a difference??? am I swallowing the drop in value because of the mileage??? Never found myself in a situation quite like this......

Ali.K_BMW · 11-24-2008, 11:38 AM

the rate for a 335i is .00175, if your not a previous owner, you will not qualify for that rate.

There is also a Acqusition fee.

Aces_High · 11-24-2008, 12:28 PM

Quote:

Originally Posted by Ali@TurnersvilleBMW

the rate for a 335i is .00175, if your not a previous owner, you will not qualify for that rate.

There is also a Acqusition fee.

well i got a MF of 0.00170000 on paper at least......and ya I leased a e90 for my sis 2 yrs ago, so I get the good rate.......and ya I'm aware of the Acq fee. I'm just curious what this residual game is.....what it means in terms of me, and in terms of dealer profit , etc....

Help me out

batmobl · 11-24-2008, 02:10 PM

I added the acquisition fee you posted and the $400 doc fees you listed in my calculations listed above. Go to leaseguide.com and plug in the numbers. It is a pretty accurate calculator. I think the dealer is not giving you all the numbers or you might be overlooking something.

Aces_High · 11-25-2008, 07:25 AM

Can someone either who has had experience with demo cars weigh in with an opinion.....or perhaps a BMW salesperson.

On a separete note. Let us consider the vehicle as a untitled used vehicle.....what would a 08 335i coupe in above average condition with 12K miles go for at wholesale? I really want to know how this demoing stuff works...

Does the car go to auction after its demo time is up and at that point dealerships bid on them? I overheard one salesman trying to pitch a demo'd x5 to another customer, saying that bmw NA sends these cars to them because of their great CSI and sales standing? bs?

Or are demo cars driven by the dealership management staff, and then after they rack up a years worth of mileage they want to sell them?

Help is appreciated.....I've got to either make a decision or move on ......and I do understand leasing quite throughly, however I don't quite know how to approach this situation. Its technically not new, so invoice and whatnot don't really matter, since if we didn't start below invoice I wouldn't even have waited for him to finish his sentence. and at the same time its not a CPO or Official used car to work the car that way.......

11-24-2008, 10:03 AM	#1
Aces_High Germans do it Best 4 Rep 105 Posts Drives: 328i e90+92 , 335i e92,MB E350 Join Date: Nov 2007 Location: Burbank, CA iTrader: (1)	Lease experts.....lend me a hand plz Hey all I need some opinions..... I was in servicing a friends vehicle and browsing the showroom and saw a DEMO 335i coupe that kinda caught my eye.....Salesman approached, we made small talk......and I asked for some numbers since he said the deal would be sick since its a demo.......I said wtf......lets see the #s. Car MSRP was $52,000.00 Selling price became 43,000.00 with 0 cap cost reduction. RES is 57% MF: 0.00170 aquisition fee of 925 and approx 400 for docs rolled into cap cost... so the numbers on a 10K thirty six month lease come out to 655 due at delivery(first payment), and 655 a month........ help me out as I don't want to risk having the car sold to someone else, in the event that this is a stellar deal...... The car has 12,093 miles on it, its an 08........and sales manager said he is only keeping the auto tranny rebate as his profit.......bs or not?? take it or walk? __________________ Allow me to be a blessing to you and allow yourself to be a blessing to others. "There are no limitations to the mind except those we acknowledge; both poverty and riches are the offspring of thought."
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11-24-2008, 10:15 AM	#2
Ali.K_BMW Colonel 111 Rep 2,164 Posts Drives: 2020 BMW 330i xDrive Join Date: Aug 2008 Location: United States iTrader: (7) Garage List 2013 BMW 335i [0.00]	Thats a great deal. its a lease too. so your not going to keep the car after the term. You will be still under warranty and maintenance too. "my opinion" __________________ Former BMW Client Advisor
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11-24-2008, 10:19 AM	#3
Aces_High Germans do it Best 4 Rep 105 Posts Drives: 328i e90+92 , 335i e92,MB E350 Join Date: Nov 2007 Location: Burbank, CA iTrader: (1)	Thx for the prompt reply. do you feel there is anymore room for negotiating? or verifying that really the only profit in the car is the 1200 tranny rebate ??? __________________ Allow me to be a blessing to you and allow yourself to be a blessing to others. "There are no limitations to the mind except those we acknowledge; both poverty and riches are the offspring of thought."
	Appreciate 0 Quote

11-24-2008, 10:32 AM	#4
batmobl Private 3 Rep 64 Posts Drives: 335i Join Date: Oct 2008 Location: Raleigh, NC iTrader: (0)	If you use the lease calculator on leaseguide.com, the monthly comes out to $533.66 (not including taxes since you didn't say how much taxes). Just for kicks, I added 8% tax and the payment still came out to $576. So I am not sure how the dealer came out with $655. It seems they are adding some other costs and not disclosing them. Good luck. __________________ 2008 e90 Jet Black/auto/prem/nav/comfort/usb-ipod/sat/35% 3M tint/189 18" rims
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11-24-2008, 11:13 AM	#6
Aces_High Germans do it Best 4 Rep 105 Posts Drives: 328i e90+92 , 335i e92,MB E350 Join Date: Nov 2007 Location: Burbank, CA iTrader: (1)	I just researched this it seams that they deduct from the residual value the mileage that is presently on the vehicle. so basically it becomes an equation such as in this case 12,000miles x 0.15cents per mile = $1,800......so this effectively makes the residual of the vehicle 53%...???? wtf???? Hmm does this matter or make a difference??? am I swallowing the drop in value because of the mileage??? Never found myself in a situation quite like this...... __________________ Allow me to be a blessing to you and allow yourself to be a blessing to others. "There are no limitations to the mind except those we acknowledge; both poverty and riches are the offspring of thought."
	Appreciate 0 Quote

11-24-2008, 11:38 AM	#7
Ali.K_BMW Colonel 111 Rep 2,164 Posts Drives: 2020 BMW 330i xDrive Join Date: Aug 2008 Location: United States iTrader: (7) Garage List 2013 BMW 335i [0.00]	the rate for a 335i is .00175, if your not a previous owner, you will not qualify for that rate. There is also a Acqusition fee. __________________ Former BMW Client Advisor
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11-24-2008, 02:10 PM	#9
batmobl Private 3 Rep 64 Posts Drives: 335i Join Date: Oct 2008 Location: Raleigh, NC iTrader: (0)	I added the acquisition fee you posted and the $400 doc fees you listed in my calculations listed above. Go to leaseguide.com and plug in the numbers. It is a pretty accurate calculator. I think the dealer is not giving you all the numbers or you might be overlooking something. __________________ 2008 e90 Jet Black/auto/prem/nav/comfort/usb-ipod/sat/35% 3M tint/189 18" rims
	Appreciate 0 Quote

11-25-2008, 07:25 AM	#10
Aces_High Germans do it Best 4 Rep 105 Posts Drives: 328i e90+92 , 335i e92,MB E350 Join Date: Nov 2007 Location: Burbank, CA iTrader: (1)	Can someone either who has had experience with demo cars weigh in with an opinion.....or perhaps a BMW salesperson. On a separete note. Let us consider the vehicle as a untitled used vehicle.....what would a 08 335i coupe in above average condition with 12K miles go for at wholesale? I really want to know how this demoing stuff works... Does the car go to auction after its demo time is up and at that point dealerships bid on them? I overheard one salesman trying to pitch a demo'd x5 to another customer, saying that bmw NA sends these cars to them because of their great CSI and sales standing? bs? Or are demo cars driven by the dealership management staff, and then after they rack up a years worth of mileage they want to sell them? Help is appreciated.....I've got to either make a decision or move on ......and I do understand leasing quite throughly, however I don't quite know how to approach this situation. Its technically not new, so invoice and whatnot don't really matter, since if we didn't start below invoice I wouldn't even have waited for him to finish his sentence. and at the same time its not a CPO or Official used car to work the car that way....... __________________ Allow me to be a blessing to you and allow yourself to be a blessing to others. "There are no limitations to the mind except those we acknowledge; both poverty and riches are the offspring of thought."
	Appreciate 0 Quote