Lease Deal Evaluation

BruinsFan330i · 01-16-2016, 03:57 PM

Hey All,

I am in the process of leasing a 340 X drive and wanted your opinons on my current offer.

MSRP - $58,145
Selling Price - $53,500
Residual - 61%
Money Factor - .00123 with 7 MSD (I know this is higher than expected)

Base Monthly - $610
After taxes (6.25) - $648

Cash due at signing:
MSD - 4,550
Fees - 1415 (I hate paying these)
First Payment - 648
Total - 6,613

I sent him back after seeing this breakdown and he came back with $625 a month but I didnt get the updated breakdown. I am assuming they adjusted the money factor since I told them that was high or dropped some fees and will take $750 as cap cost reduction. Let me know what you guys think about it.

I should mention I am in this position because I totaled my 2015 335i two weeks ago. I leased that one 4 months ago and I was paying $529 a month.

Thanks,
Casey

BruinsFan330i · 01-17-2016, 06:00 PM

I also was wondering why would a dealership reduce the money factor to base rate if they are also selling me the car at invoice? I am running into a little trouble with negotiating there. My sales guys asked why they would do that and I didnt have a good reason. I know they need to make money too. But I also know they cushion their profit with the fees.

BruinsFan330i · 01-18-2016, 08:47 PM

Nobody seems to care but I will update here anyways. I didnt see a final breakdown of numbers but I signed on $599 a month with $6,200 down (4,200 MSD).

bones · 01-20-2016, 08:56 PM

nice. any idea what it would be w/ $0 in MSD? Where did you go? Herb's?

XRAVE · 01-20-2016, 09:39 PM

Quote:

Originally Posted by bones

nice. any idea what it would be w/ $0 in MSD? Where did you go? Herb's?

Assuming base MF, 652 a month (7% tax included) and 2200 due at signing (includes fees and first months)

BruinsFan330i · 01-21-2016, 04:52 PM

I went to BMW Peabody in MA.

DS_BMW · 01-22-2016, 02:39 AM

Quote:

Originally Posted by XRAVE

Quote:

Originally Posted by bones

nice. any idea what it would be w/ $0 in MSD? Where did you go? Herb's?

Assuming base MF, 652 a month (7% tax included) and 2200 due at signing (includes fees and first months)

No way I would tie up 4200 in MSD for 50 extra a month.

XRAVE · 01-22-2016, 03:21 PM

Quote:

Originally Posted by DS_BMW

Quote:

Originally Posted by XRAVE

Quote:

Originally Posted by bones

nice. any idea what it would be w/ $0 in MSD? Where did you go? Herb's?

Assuming base MF, 652 a month (7% tax included) and 2200 due at signing (includes fees and first months)

No way I would tie up 4200 in MSD for 50 extra a month.

It's a huge return on investment. Almost 50% over 3 years. Your not gonna get that anywhere else lol

kromix · 01-22-2016, 03:27 PM

Quote:

Originally Posted by XRAVE

It's a huge return on investment. Almost 50% over 3 years. Your not gonna get that anywhere else lol

Best investment vehicle wish I could put unlimited chunks of money into MSD's and get equal returns.

rich8566 · 01-23-2016, 03:09 PM

Quote:

Originally Posted by BruinsFan330i

Nobody seems to care but I will update here anyways. I didnt see a final breakdown of numbers but I signed on $599 a month with $6,200 down (4,200 MSD).

It is always wise to use max MSDs. The risk free rate of return, which BTW is tax free, is unbeatable.

mtx450 · 01-29-2016, 09:02 PM

I wish you could do MSD's in NY.

Gotta drive over the bridge to NJ if you wanna do it.

kromix · 01-30-2016, 12:34 AM

Quote:

Originally Posted by mtx450

I wish you could do MSD's in NY.

Gotta drive over the bridge to NJ if you wanna do it.

Hey it's not that far not too big of a hassle..... Atleast you aren't in Miami, takes 8+ hours to even get out of the state... Thank god we can do MSD's here :P

SLOWER · 03-07-2016, 07:05 PM

I'm negotiating a lease now and I notice after reading this thread there is no Security Deposit. How did you guys insert the Multiple Security Deposit tactic into your lease negotiation?

Buzzo · 03-07-2016, 08:36 PM

Quote:

Originally Posted by SLOWER

I'm negotiating a lease now and I notice after reading this thread there is no Security Deposit. How did you guys insert the Multiple Security Deposit tactic into your lease negotiation?

Just mention you want to use max MSD's.

rich8566 · 03-12-2016, 01:18 PM

Quote:

Originally Posted by DS_BMW

Quote:

Originally Posted by XRAVE

Quote:

Originally Posted by bones

nice. any idea what it would be w/ $0 in MSD? Where did you go? Herb's?

Assuming base MF, 652 a month (7% tax included) and 2200 due at signing (includes fees and first months)

No way I would tie up 4200 in MSD for 50 extra a month.

MSDs give you a tax free return on your money of nearly 9%. That's as good as gold unless BMW Financial Services goes belly up.

01-16-2016, 03:57 PM	#1
BruinsFan330i Private First Class 12 Rep 106 Posts Drives: 19' X3 M40i Join Date: May 2013 Location: Melrose, MA iTrader: (0)	Lease Deal Evaluation Hey All, I am in the process of leasing a 340 X drive and wanted your opinons on my current offer. MSRP - $58,145 Selling Price - $53,500 Residual - 61% Money Factor - .00123 with 7 MSD (I know this is higher than expected) Base Monthly - $610 After taxes (6.25) - $648 Cash due at signing: MSD - 4,550 Fees - 1415 (I hate paying these) First Payment - 648 Total - 6,613 I sent him back after seeing this breakdown and he came back with $625 a month but I didnt get the updated breakdown. I am assuming they adjusted the money factor since I told them that was high or dropped some fees and will take $750 as cap cost reduction. Let me know what you guys think about it. I should mention I am in this position because I totaled my 2015 335i two weeks ago. I leased that one 4 months ago and I was paying $529 a month. Thanks, Casey Last edited by BruinsFan330i; 01-16-2016 at 04:31 PM..
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01-17-2016, 06:00 PM	#2
BruinsFan330i Private First Class 12 Rep 106 Posts Drives: 19' X3 M40i Join Date: May 2013 Location: Melrose, MA iTrader: (0)	I also was wondering why would a dealership reduce the money factor to base rate if they are also selling me the car at invoice? I am running into a little trouble with negotiating there. My sales guys asked why they would do that and I didnt have a good reason. I know they need to make money too. But I also know they cushion their profit with the fees.
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01-18-2016, 08:47 PM	#3
BruinsFan330i Private First Class 12 Rep 106 Posts Drives: 19' X3 M40i Join Date: May 2013 Location: Melrose, MA iTrader: (0)	Nobody seems to care but I will update here anyways. I didnt see a final breakdown of numbers but I signed on $599 a month with $6,200 down (4,200 MSD).
	Appreciate 0 Quote

01-20-2016, 08:56 PM	#4
bones Private First Class 123 Rep 180 Posts Drives: 2020 M340 RWD Join Date: Sep 2008 Location: Boston iTrader: (0)	nice. any idea what it would be w/ $0 in MSD? Where did you go? Herb's?
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01-21-2016, 04:52 PM	#6
BruinsFan330i Private First Class 12 Rep 106 Posts Drives: 19' X3 M40i Join Date: May 2013 Location: Melrose, MA iTrader: (0)	I went to BMW Peabody in MA.
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01-29-2016, 09:02 PM	#11
mtx450 Lieutenant 169 Rep 548 Posts Drives: 2011 E90 M3 ZCP Join Date: Jan 2016 Location: Long Island, NY iTrader: (0) Garage List 2011 BMW M3 [0.00]	I wish you could do MSD's in NY. Gotta drive over the bridge to NJ if you wanna do it.
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03-07-2016, 07:05 PM	#13
SLOWER Lieutenant Colonel 309 Rep 1,733 Posts Drives: 2003 M3 Join Date: Apr 2013 Location: MA iTrader: (8) Garage List 2024 BMW X5 M60i [0.00] 2003 M3 Convertible [0.00]	I'm negotiating a lease now and I notice after reading this thread there is no Security Deposit. How did you guys insert the Multiple Security Deposit tactic into your lease negotiation?
	Appreciate 0 Quote