[TrevorM3]

is the residual 55% this month?

[Pimpsy]

Originally Posted by southbay

Includes everything.
Car is on the lot. Local pick up. 20 miles from my house.

A decent deal on M5C right now seems to be somewhere around 8% off MSRP depending on the build, and no markup on the money factor.

You should be able to work out the numbers from there, and personally I would not put any money down on a lease beyond the first payment.

[calimarc]

Originally Posted by Pimpsy

A decent deal on M5C right now seems to be somewhere around 8% off MSRP depending on the build, and no markup on the money factor.

You should be able to work out the numbers from there, and personally I would not put any money down on a lease beyond the first payment.

I’ve been shopping a 2019 M5C custom order for $130,675 build on lease. Best I’ve found thus far is 6.2% and my non negotiable Money Factor @ base rate.. I know you have more leverage on a car sitting on their lot. One dealership seemed to treat my special paint order as some sort of “risk” to them (if I walked) by talking some nonsense of “non refundable deposit!”

[positiveions]

Originally Posted by southbay

Was just offered this:

2019 M5 Competition

MSRP 115,995
10k/36m
7k down

1699.00/mo.

Thoughts?

What is the MF and residual? Also, why so much down?

[southbay]

Originally Posted by positiveions

What is the MF and residual? Also, why so much down?

55%
.0018

My company is putting it down to match my partners down that he put on his lease. Saves a bit on taxes in the long run.

[TrevorM3]

Originally Posted by southbay

55%
.0018

My company is putting it down to match my partners down that he put on his lease. Saves a bit on taxes in the long run.

thanks! maybe residual will creep up a bit next month

[calimarc]

Originally Posted by TrevorM3

thanks! maybe residual will creep up a bit next month

Thanks what I’m talking about

[positiveions]

Originally Posted by southbay

55%
.0018

My company is putting it down to match my partners down that he put on his lease. Saves a bit on taxes in the long run.

Any discount on the car?

[southbay]

Originally Posted by positiveions

Any discount on the car?

5% on a competition

[TrevorM3]

how does the 5k lease credit work into a deal? does it go towards discount off MSRPs?

[dardeca]

Originally Posted by TrevorM3

how does the 5k lease credit work into a deal? does it go towards discount off MSRPs?

Dealer discount is negotiated separately...then add the $5k lease credit on top of that to get to selling price.

[Pimpsy]

Originally Posted by dardeca

Dealer discount is negotiated separately...then add the $5k lease credit on top of that to get to selling price.

My understanding is that the $5K goes directly towards the cost of the lease...not the agreed upon total value.

[dardeca]

Originally Posted by Pimpsy

My understanding is that the $5K goes directly towards the cost of the lease...not the agreed upon total value.

I think we're saying the same thing...but I'm not totally clear on what you're saying. So here is an example...

MSRP: $115k
Dealer discount: $10k
BMW NA lease credit: $5k

Sales price of car: $100k

The residual on the car assuming 10k miles/year is 55% (this is set by BMW NA)...so 55% of $115k is: $63,250.

Your lease payments will be dictated by the MF and the capitalized cost of the car, which in this example is the $36,750 ($100k - $63,250 residual).

Residuals and MF are set by BMW NA...sometimes dealers will try to increase the MF by .00040 (max allowed) to increase their profit...but they have no control over the residual or base MF.

So, in summary the $5k goes to reduce the sales price of the car...which reduces the capitalized cost of the car that you have to pay over the lease term.

[Pimpsy]

Originally Posted by dardeca

I think we're saying the same thing...but I'm not totally clear on what you're saying. So here is an example...

MSRP: $115k
Dealer discount: $10k
BMW NA lease credit: $5k

Sales price of car: $100k

The residual on the car assuming 10k miles/year is 55% (this is set by BMW NA)...so 55% of $115k is: $63,250.

Your lease payments will be dictated by the MF and the capitalized cost of the car, which in this example is the $36,750 ($100k - $63,250 residual).

Residuals and MF are set by BMW NA...sometimes dealers will try to increase the MF by .00040 (max allowed) to increase their profit...but they have no control over the residual or base MF.

So, in summary the $5k goes to reduce the sales price of the car...which reduces the capitalized cost of the car that you have to pay over the lease term.

We were not saying the same thing. My M5C did not come with a lease credit so I was a little fuzzy on the details. Looking now though at the current lease offer I can see that the $5K goes against the capitalized cost just as you stated.

Thanks for clarifying, I actually feel better about not getting it, lol.

P/S GOD DAMN I LOVE THIS CAR!!

[TrevorM3]

Originally Posted by dardeca

I think we're saying the same thing...but I'm not totally clear on what you're saying. So here is an example...

MSRP: $115k
Dealer discount: $10k
BMW NA lease credit: $5k

Sales price of car: $100k

The residual on the car assuming 10k miles/year is 55% (this is set by BMW NA)...so 55% of $115k is: $63,250.

Your lease payments will be dictated by the MF and the capitalized cost of the car, which in this example is the $36,750 ($100k - $63,250 residual).

Residuals and MF are set by BMW NA...sometimes dealers will try to increase the MF by .00040 (max allowed) to increase their profit...but they have no control over the residual or base MF.

So, in summary the $5k goes to reduce the sales price of the car...which reduces the capitalized cost of the car that you have to pay over the lease term.

thanks for that! very much appreciated.

[dardeca]

Originally Posted by Pimpsy

We were not saying the same thing. My M5C did not come with a lease credit so I was a little fuzzy on the details. Looking now though at the current lease offer I can see that the $5K goes against the capitalized cost just as you stated.

Thanks for clarifying, I actually feel better about not getting it, lol.

P/S GOD DAMN I LOVE THIS CAR!!

Yes, there is no $5k lease credit on the M5 Comp...never has been. Could BMW change this in the future...who knows. The $5k lease credit in on the base M5 model only and goes to reduce the capitalized cost of car over the lease term.

[positiveions]

Originally Posted by southbay

5% on a competition

Push for 8% or walk away.

[southbay]

Originally Posted by GangGreen16

I offered that 🤷🏻*♂️

Man I must say you guys are harsh! I am willing to bet that anyone within 100 miles of Redondo Beach cannot get the deal I got. If you can step up and show me, please do it otherwise zip it! I totally get that gangreen(sorry for spelling) could have saved me 90 a month, and he was excellent to deal with. If I was east coast I would have worked with him in a heartbeat and I told him so. Super stand up guy! I wanted my car now and signed up for a deal that I thought worked for me. Car is incredible! Leaves my e63 wagon in the dust!

Enjoy your evening!

[GangGreen16]

Originally Posted by southbay

Man I must say you guys are harsh! I am willing to bet that anyone within 100 miles of Redondo Beach cannot get the deal I got. If you can step up and show me, please do it otherwise zip it! I totally get that gangreen(sorry for spelling) could have saved me 90 a month, and he was excellent to deal with. If I was east coast I would have worked with him in a heartbeat and I told him so. Super stand up guy! I wanted my car now and signed up for a deal that I thought worked for me. Car is incredible! Leaves my e63 wagon in the dust!

Enjoy your evening!

Haha only teasing bro - I understand that you wanted it immediately.. I hope you enjoy the car ! On the next lease keep me mind again 🤪 +1 for the kind words - thanks man!!

[southbay]

Originally Posted by GangGreen16

Haha only teasing bro - I understand that you wanted it immediately.. I hope you enjoy the car ! On the next lease keep me mind again 🤪 +1 for the kind words - thanks man!!

Will do and thanks again for the offer.

[ANP202]

Originally Posted by GangGreen16

If you're in NJ/NY/CT area I can help get you a good deal on 18 leftovers, or 19s comp and non comp.

I’m looking for M5 to pick up as European delivery. My build is pretty much choice of interior and exterior color. Trying to stay around 1k. Is this do able for you?

[positiveions]

Originally Posted by southbay

Man I must say you guys are harsh! I am willing to bet that anyone within 100 miles of Redondo Beach cannot get the deal I got. If you can step up and show me, please do it otherwise zip it! I totally get that gangreen(sorry for spelling) could have saved me 90 a month, and he was excellent to deal with. If I was east coast I would have worked with him in a heartbeat and I told him so. Super stand up guy! I wanted my car now and signed up for a deal that I thought worked for me. Car is incredible! Leaves my e63 wagon in the dust!

Enjoy your evening!

Bro, we are trying to help you out. Hey, it’s your money.
Thus far, for the past three cars, I saved on the average 8%. I bought two from from The Bay Area, and one BMW of Ontario. The last car I bought for my wife, a Subaru Forestor, got it for 1500 under invoice!