[Alpine003]

Hi guys,

Lately, I've been serious considering a lease on a '14 F31 wagon. I've never leased before but t I was wondering is the MF figure of .0013 as I understand it will be variable depending on Lease APR.

What kind of credit score do you generally need to be to obtain that? 700-750, 750-800, 800+

Just trying to get a feel for the various MF figures and how it correlates to credit score.

I did some rough calculations and it seems like the MF figure can really vary the monthly payments.

Also, IL is a state where you have to pay the sales tax up front. Anyone see any negatives in rolling up the sales tax in with the overall lease?

TIA

[kromix]

Originally Posted by Alpine003

Hi guys,

Lately, I've been serious considering a lease on a '14 F31 wagon. I've never leased before but t I was wondering is the MF figure of .0013 as I understand it will be variable depending on Lease APR.

What kind of credit score do you generally need to be to obtain that? 700-750, 750-800, 800+

Just trying to get a feel for the various MF figures and how it correlates to credit score.

I did some rough calculations and it seems like the MF figure can really vary the monthly payments.

Also, IL is a state where you have to pay the sales tax up front. Anyone see any negatives in rolling up the sales tax in with the overall lease?

TIA

MF is not variable. It can be marked up by the dealer for-profit, but it's set in stone by BMW. It changes monthly. It can be decreased by doing MSDs (Multiple security deposits). If dealer tries to upcharge you on Money Factor, tell him you want the base rate.

Here's some reading material for you:

MSDs: http://www.bmwconfig.com/post/2011/0...nvestment.aspx

Money Factor/Residual: http://www.ridewithg.com/index.php/2...es-march-2013/

[Alpine003]

Originally Posted by kromix

MF is not variable. It can be marked up by the dealer for-profit, but it's set in stone by BMW. It changes monthly. It can be decreased by doing MSDs (Multiple security deposits). If dealer tries to upcharge you on Money Factor, tell him you want the base rate.

Here's some reading material for you:

MSDs: http://www.bmwconfig.com/post/2011/0...nvestment.aspx

Money Factor/Residual: http://www.ridewithg.com/index.php/2...es-march-2013/

Thanks! That's some great info.

[mntbiker]

Originally Posted by kromix

I'll explain again, yes GAP insurance covers you, but it doesn't refund your down payment. It's personal preference, yes, but not financially sound. Which is why I'm making the suggestion to you for next time. Money down is money lost in a total loss.

So if I lease a car $0 down, and you lease a car with $2000 down (cap cost reduction), BOTH Cars GAP insurance will cover the total of the car, but you won't get a refund check for $2,000 or $5,000 or whatever amount you put down. That money is lost.

Nobody leases a car expecting to have a total loss obviously, but shit happens? Or are you guaranteeing there is 0% chance this occurs to you?

I rather have a higher monthly, put the money aside and pay towards the higher monthly so that I still feel like the monthly is lower, so that in the event of a catastrophic loss, I don't lose whatever money I haven't paid yet which I put aside.

Does this make sense?

Like you said, the end result is the same, money down or not in total payments, but the middle result isn't should you have a total loss. I keep whatever is left of my $2k going towards each payment in my bank where you lost it all.

Great explanation. A lot of people misunderstand this and assume GAP insurance will handle it.

[Ryan9095]

Originally Posted by mntbiker

Great explanation. A lot of people misunderstand this and assume GAP insurance will handle it.

I wasn't misunderstanding. I just personally would rather have a lower monthly payment and risk losing a little bit of money in the rarity this would occur. But great explanation Kromix --- thank you!

[kromix]

Originally Posted by Ryan9095

Thanks for the explanation Kromix. I understand that it would be money lost since gap insurance doesn't cover money down just replacement cost, however, I'd still prefer a lower monthly payment and risk losing a little bit of money in the rarity this would occur. Great explanation though thank you.

So my last point to this is, then in that case, why don't you take your down payment, put it in a seperate savings account that auto-pays BMWFS 5 days early so that when your payment is due, you only pay $x amount lower monthly payment to your eyes.


Should you have an accident you stop that auto payment and have a "free' $1500 bucks or whatever is left in there :P

We live in Miami, u can give me the money and I'll auto pay it for you, if u have an accident ill give u the money back

[ssedha]

Well, in terms of leasing, you could also use that downpayment towards the MSDs, which will reduce your payments, save you money vs. the actual payments + the money you put down on MSDs, you get back! or in case you go for another BMW, put it towards that. Again, to each their own. But, the MSD route seems a bit better than just the downpayment. Of course, when you reduce your cap cost, that results in much better monthly as compared to just reducing the interest rate!

The only loss you might take here though is in case you want to get out of your lease, then it might be a tough sell asking for a large chunk of money when you are asking someone else to takeover your lease contract. So each has it's pros / cons

[norrec]

328i Sport Line - $43295 MSRP
$0 down
$1k credit + $750 loyalty
15k/year - 36 months

$2k drive off
$510/month tax included.

Is this a decent deal? I ordered the car already but reading some of the other threads/posts here makes me question it.

[kobechrome]

Without knowing what you actually paid for the car (cap cost), its hard to tell. I ran some quick numbers and at around invoice + incentives, you should be paying in the 480's. If you add dealer profit the monthly goes up. Send your cap cost over and I can run the calculations more accurately.

[kromix]

Originally Posted by norrec

328i Sport Line - $43295 MSRP
$0 down
$1k credit + $750 loyalty
15k/year - 36 months

$2k drive off
$510/month tax included.

Is this a decent deal? I ordered the car already but reading some of the other threads/posts here makes me question it.

Like he said need more info, but on first look seems high.

Could you also provide us the MF and Residual used + any fees such as Dealer Fee / Acq Fee / Bank Fee / Doc Fee etc.

[PFol310]

2013 328i

Mineral Grey
Nav w/BMW Assist
MSRP 40,095
Selling price 36,424 + 1k Rebate ( total cap cost $35,424)

$389 mo for 36 months 10k year
$389 is with 9% monthly CA Sales tax

$1661 total drive off ( first month, Acq fee, DMV, etc...)

[Lucky#slevin]

FYI 1st time BMW owner and poster here.
Just thought I'd share my deal and I am very curious on how I did??

2013 328xi sport line, premium, lighting, navigation
$3,256 down taxes, bank, mv and 1st month, $447 a month x 36 w/ 10,000 miles.
I inquired about the multiple sec. Deposits which Woulda been an additional $3150 out of pocket. Woulda brought payment to $401 a month for 10,000 miles. Big difference and I really wanted to but could not fork over 6k on a lease.

[phx08]

Originally Posted by Lucky#slevin

FYI 1st time BMW owner and poster here.
Just thought I'd share my deal and I am very curious on how I did??

2013 328xi sport line, premium, lighting, navigation
$3,256 down taxes, bank, mv and 1st month, $447 a month x 36 w/ 10,000 miles.
I inquired about the multiple sec. Deposits which Woulda been an additional $3150 out of pocket. Woulda brought payment to $401 a month for 10,000 miles. Big difference and I really wanted to but could not fork over 6k on a lease.

Replied to your message in the other thread. Just an FYI