[Aeromotive]

Hi all.

The lease ends in July 2016, and I'm calculating the wife would reach 80000km in February 2016. We're currently cross-shopping the 340i, C450 and S4.

Here's what's worrying me :

• Wife is doing more mileage than we expected/signed for. She's gonna go above the 80000km warranty limit 5 months before lease end, which is the main reason I wanna get rid of the car.
• Car was rear-ended on a red light (totally not her fault), she had 7000$ worth of damage which was repaired at our dealership's own bodyshop (inside the dealership, so you can't get more BMW-approved than that).
• While the car was parked someone backed into her rear passenger door and fender. Damage is minimal, you have to look closely to see it (especially that the car is white, and you don't see the body panel... there is still some paint left), but the door has a 1 foot straight line dent in it that goes into the fender (her winter rim is also damaged but that's a different story). We didn't repair this as it's almost not visible.
• Summer rear tires are worn out and would need to be changed next season (didn't change them because we're switching to winter tires now). They're the same tires we got with the car since new.

I'm worried the dealerships (BMW, Merc, Audi or whatever car we choose) won't match the residual value and I'll be owing even more money on it when I return it.
I've been told it's better change the car before it approaches the 80000km mark (right now it's at 69000km) because it would hold its value better. How true is that? Should we hurry with the process?

It's the first time I'm gonna have to return a lease, let alone get rid early of a lease on a damaged car, so any advice is welcome!

Thanks.

P.S.: I do have excess wear and tear protection

[bobblehead]

Have you spoken to you bmw dealer yet on whether they will take it in now. The earliest I have heard would be 2 months prior to lease ends. If you take it in now, the dealer will generally low ball and/or penalize you in some sort of way that you have no idea you are being ripped off or not.

I guess you don't have excess wear & tear protection for you lease, if so, the BMWFS is going to have an upper hand on how to rob you left & right and any which ways they want as you have mentioned. From what you described, I can see $2000 in repair & replacement.

One thing for certain, dealer will not absorb the remaining 5 lease payments + the projected repairs without you having to get another car from the dealer, at best, they will factor in the mentioned costs and instead of discounting on the new car, dealer will simply sell/lease another to you at nearly full MSRP + fees.

Alternatively, you can simply replaced and repairs those said items and pay the excess mileage at the end and walk away and proceed to get a MB or Audi.

[lens]

Just be wary that if you go the MB route, maintenance is quite expensive and extra for prepaid. Not sure about Audi.

[Aeromotive]

I'm sorry I totally forgot to mention it, I do have excess wear and tear... I haven't dug out the papers yet to know what they cover.

[ar]

Originally Posted by chaungo

Just be wary that if you go the MB route, maintenance is quite expensive and extra for prepaid. Not sure about Audi.

Audi offers prepaid service as well (AudiCare). Dealer will likely not take the car early as they can't sell it CPO because of claim against the car and would likely sell it at auction once returned. Trade value is hit so you wouldn't reap the reward of the little positive equity the vehicle would have had at the end of the lease contract because of the claim.

My advice: Drive the car minimally until 3 months before your lease end and then shop around for dealer willing to pay you to get out lease early for you to get into another vehicle; OR put it on leasebusters and offer a cash incentive + lease transfer fee coverage. Chances are someone may be interested in a short term lease and if you still have KMs left + offering cash for them to take it over, it may be a win-win. The cash incentive would likely be less than the hit you would take in the negative equity being rolled into your next payment or the penalty in paying for extra KMs at lease end.

Good luck!

[ar]

Originally Posted by Aeromotive

Hi all.

The lease ends in July 2016, and I'm calculating the wife would reach 80000km in February 2016. We're currently cross-shopping the 340i, C450 and S4.

Here's what's worrying me :

• Wife is doing more mileage than we expected/signed for. She's gonna go above the 80000km warranty limit 5 months before lease end, which is the main reason I wanna get rid of the car.
• Car was rear-ended on a red light (totally not her fault), she had 7000$ worth of damage which was repaired at our dealership's own bodyshop (inside the dealership, so you can't get more BMW-approved than that).
• While the car was parked someone backed into her rear passenger door and fender. Damage is minimal, you have to look closely to see it (especially that the car is white, and you don't see the body panel... there is still some paint left), but the door has a 1 foot straight line dent in it that goes into the fender (her winter rim is also damaged but that's a different story). We didn't repair this as it's almost not visible.
• Summer rear tires are worn out and would need to be changed next season (didn't change them because we're switching to winter tires now). They're the same tires we got with the car since new.

I'm worried the dealerships (BMW, Merc, Audi or whatever car we choose) won't match the residual value and I'll be owing even more money on it when I return it.
I've been told it's better change the car before it approaches the 80000km mark (right now it's at 69000km) because it would hold its value better. How true is that? Should we hurry with the process?

It's the first time I'm gonna have to return a lease, let alone get rid early of a lease on a damaged car, so any advice is welcome!

Thanks.

P.S.: I do have excess wear and tear protection

Excess wear and tear would cover $7500 in damage. From experience, I know BMW overcharges for damage. I had minor curb rash on wheels at lease return that would normally cost $150-$200 to refinish by a third party. BMW decided that the wheel repair cost was around $600-$800.

If the damage is minor, I wouldn't worry too much but proceed with caution.

[Aeromotive]

Actually my plan was to get the MB dealership buy the BMW from BMW Finance. My hope is they pay exactly the residual at that time so I'm not in the negative.
The sales representative at MB confirmed they do that... Anybody went through the process before?

[Earthmaster]

He's going to the dark side. DONT HELP HIM!!! hahah

[Ali Shiralian]

I'm in the same boat as you although mine is 2014 and only have 20k on it. I did speak to the dealer and they have a lease pull ahead program up to six months before the lease end. I'm sure they'd love to have my car back as its in showroom condition

[Aeromotive]

I wouldn't to to the dark side if the 340i had some major changes to it, but I didn't expect it to, since it's been only 2012 since they started the new generation.. I'm not blaming them. It's just that it's nice to get something fresh after 2.5 years.

I test drove the 340i and my butt dyno couldn't feel the 20hp PLUS there seemed to be more turbo lag/higher RPM torque/whatever you wanna call it, making the car a bit hesitant when you press the gas pedal at low RPM's. The 335 has more power right from the start.

But the 340 vs 335 comparison is a different subject altogether, let's stay on topic here

[lens]

Originally Posted by Aeromotive

I wouldn't to to the dark side if the 340i had some major changes to it, but I didn't expect it to, since it's been only 2012 since they started the new generation.. I'm not blaming them. It's just that it's nice to get something fresh after 2.5 years.

I test drove the 340i and my butt dyno couldn't feel the 20hp PLUS there seemed to be more turbo lag/higher RPM torque/whatever you wanna call it, making the car a bit hesitant when you press the gas pedal at low RPM's. The 335 has more power right from the start.

But the 340 vs 335 comparison is a different subject altogether, let's stay on topic here

I don't know why but whenever people use the term butt dyno, I crack up everytime.

[bobblehead]

Originally Posted by Aeromotive

Actually my plan was to get the MB dealership buy the BMW from BMW Finance. My hope is they pay exactly the residual at that time so I'm not in the negative.
The sales representative at MB confirmed they do that... Anybody went through the process before?

I do believe MB will charge you a fee between $500 - $1000 for this exercise. I asked this about 4 yrs ago. Not sure if the amount has changed since. If dealer says they will do it for nothing, then they will simply give you this much less in their new car discount. After all, would anyone do anything for free ?

[Aeromotive]

Originally Posted by chaungo

I don't know why but whenever people use the term butt dyno, I crack up everytime.

I'm hoping you understood my sarcasm.

[lens]

Originally Posted by Aeromotive

I'm hoping you understood my sarcasm.

I did, I was saying that in general haha.

[steve@codemybimmer]

Just lease bust it. There are plenty of people who would be more than happy to assume your lease with just one year left on it.

[Aeromotive]

Not sure anyone in their right mind would want to take over my lease?
I know I wouldn't do it

[bobblehead]

As long you are giving big cash incentive ... But that's not what you want to do anyway