[Explorer3253]

Has anyone come to end of lease for a 4 series? Has anyone been able to get any discount off the residual? I'm having trouble getting any dealership to knock off anything off the residual.

I've only got one payment left and am at half allotted miles.

[jmg]

They generally don't budge when buying out a lease in my experience. Your better off getting a CPO car which would carry a warranty to 100k.

[NTX]

At the dealership we work at, when we have customers wanting to buy their lease we normally let them turn the car in, we buy it and CPO it, and then sell it back to them. This almost always ends up being the most efficient route for both ends.

[wrickem]

Originally Posted by NTX

At the dealership we work at, when we have customers wanting to buy their lease we normally let them turn the car in, we buy it and CPO it, and then sell it back to them. This almost always ends up being the most efficient route for both ends.

That's exactly what I just did with my '14 528 and almost fell over when they sold it to me for $7200 less than my residual. Instead of CPO (I knew it was a good car), I purchased extended warranty and maintenance and STILL came out less than my residual buy out. The sales manager told me that Bmw just looked at it as a 528 for pricing and never took the ton of whored-out options I built into it into consideration (I wanted 7 luxury in a 5).

OP - you need a better dealer

[Explorer3253]

Originally Posted by wrickem

That's exactly what I just did with my '14 528 and almost fell over when they sold it to me for $7200 less than my residual. Instead of CPO (I knew it was a good car), I purchased extended warranty and maintenance and STILL came out less than my residual buy out. The sales manager told me that Bmw just looked at it as a 528 for pricing and never took the ton of whored-out options I built into it into consideration (I wanted 7 luxury in a 5).

OP - you need a better dealer

I'm hoping to get a few k off. I've approached about 5 dealerships including some that I've bought cars from before and all of them will not budge from the residual. They claim that bmwfs will not budge off the residual because they want the car and it's worth every cent.

When you turned the car back in, how long did it take for your dealership to buy the car and you get back into your car? Was it something that was the same day or did it take a couple of weeks. Also, were you concerned that they would buy it and then sell it to someone else at a higher price?

[Explorer3253]

Originally Posted by NTX

At the dealership we work at, when we have customers wanting to buy their lease we normally let them turn the car in, we buy it and CPO it, and then sell it back to them. This almost always ends up being the most efficient route for both ends.

NTX. Which dealership do you work at?

[kent11202]

Recently (one month) ago I elected to turn in my 328i rather than buy it. The residual was $27,800 which was more than it was really worth. They offered to sell it to me for $24,625 so that's $3,175 below residual or 11.4% less.

I passed on the offer because that price was WAY too close to the trade in value. I have no regrets about walking away from the deal.

Bottom line is they can sell it for less than the residual it if they want to.

[wrickem]

Originally Posted by Explorer3253

I'm hoping to get a few k off. I've approached about 5 dealerships including some that I've bought cars from before and all of them will not budge from the residual. They claim that bmwfs will not budge off the residual because they want the car and it's worth every cent.

When you turned the car back in, how long did it take for your dealership to buy the car and you get back into your car? Was it something that was the same day or did it take a couple of weeks. Also, were you concerned that they would buy it and then sell it to someone else at a higher price?

I never actually turned my car in other than the one day they just wanted to "look it over" to protect themselves. I was still about 15 days from lease end when I wrote the check to buy it. I did not have any contact with BMWFS, everything was done through the dealership. I pretty much ignored BMW's emails the whole time and let the dealership's awesome used car manager work it out with them.

[Explorer3253]

Originally Posted by wrickem

I never actually turned my car in other than the one day they just wanted to "look it over" to protect themselves. I was still about 15 days from lease end when I wrote the check to buy it. I did not have any contact with BMWFS, everything was done through the dealership. I pretty much ignored BMW's emails the whole time and let the dealership's awesome used car manager work it out with them.

Which dealership did you do this out of

[wrickem]

Explorer, I pm'd you. If my dealership is doing anything BMWFS wouldn't like, I don't want to get them in trouble. We have a long history and they've always been good to me.

[jpics80]

Originally Posted by NTX

At the dealership we work at, when we have customers wanting to buy their lease we normally let them turn the car in, we buy it and CPO it, and then sell it back to them. This almost always ends up being the most efficient route for both ends.

Best way to do it!

[Kabrich]

Originally Posted by wrickem

That's exactly what I just did with my '14 528 and almost fell over when they sold it to me for $7200 less than my residual. Instead of CPO (I knew it was a good car), I purchased extended warranty and maintenance and STILL came out less than my residual buy out. The sales manager told me that Bmw just looked at it as a 528 for pricing and never took the ton of whored-out options I built into it into consideration (I wanted 7 luxury in a 5).

OP - you need a better dealer

Incorrect. They look at Sticker Price.

But yes, working with a cooperative dealer will save you a ton.

I have posted several lengthy posts giving my example.

BMWFS will not negotiate with Customer. Period.

[Kabrich]

CPO adds on roughly $1600 to the price you are paying and generally covers crap. Note there is also a deductible on every repair after 4 year warrant expires.

Better to work with Dealer to purchase a better extended warranty at a discount while purchasing the car through them.

[Explorer3253]

Originally Posted by Kabrich

CPO adds on roughly $1600 to the price you are paying and generally covers crap. Note there is also a deductible on every repair after 4 year warrant expires.

Better to work with Dealer to purchase a better extended warranty at a discount while purchasing the car through them.

Thanks! I've been quoted 2500 by most places and as low as 2100 by one. The only reason I want it cpo is because right now it's 0.9 financing on cpo vehicles. Otherwise the lowest rate I've found is roughly 2.9. The difference basically gives me cpo for a few bucks extra a month.

So far no one has been able to give me a better price than residual.

Does the msd have anything to do with it? Every place will deduct the msd and say "hey, you transfer your security deposit and we will sell you the car for 33k!!" Meanwhile, if you add the security deposit back in, that's residual.

[wrickem]

Originally Posted by Kabrich

Incorrect. They look at Sticker Price.

How do you know BMW looks at the sticker price? My real life experience says they don't.

[wrickem]

Originally Posted by Explorer3253

Thanks! I've been quoted 2500 by most places and as low as 2100 by one. The only reason I want it cpo is because right now it's 0.9 financing on cpo vehicles. Otherwise the lowest rate I've found is roughly 2.9. The difference basically gives me cpo for a few bucks extra a month.

$2100 isn't so bad, not as low as $1600 but not far from my recent quote.

For certification from my dealership "The cost to certify your car is $1860, plus anything it might need to meet the Certified BMW qualifications. This assumes it needs no tires or brakes...if it needs those items in order to be sold as a "Certified Pre-Owned BMW" then those items would have to be added to the cost of the car"

Since some tolerances are different than what BMW will pay for under their warranty/maintenance, if your brakes are below the specs for Certification but above what maintenance pays for, you pay out of pocket for the new brakes. This was actually the deal breaker when I thought about buying my '04 X3 off lease in '07, it needed brakes all around and it was not a good deal after taking that into consideration.

I just went with platinum extended warranty, it covered way more stuff, and I'll let BMW pay for my brakes.

I still think you need to find a reputable dealership and build a good relationship with them.

[Kabrich]

Originally Posted by wrickem

How do you know BMW looks at the sticker price? My real life experience says they don't.

Discussion with 5 different dealerships over the past 4 months about how BMWFS determines what they will sell to a dealer for vs your residual.

The sticker price shows how loaded the car is.

Again, I've put in very exact details of figures in 2 other threads but will not waste that much time again as OP never came back and posted what he did or what the best offer he ended up with. You can search for similar threads within the last several months.

[Kabrich]

Originally Posted by wrickem

$2100 isn't so bad, not as low as $1600 but not far from my recent quote.

For certification from my dealership "The cost to certify your car is $1860, plus anything it might need to meet the Certified BMW qualifications. This assumes it needs no tires or brakes...if it needs those items in order to be sold as a "Certified Pre-Owned BMW" then those items would have to be added to the cost of the car"

Since some tolerances are different than what BMW will pay for under their warranty/maintenance, if your brakes are below the specs for Certification but above what maintenance pays for, you pay out of pocket for the new brakes. This was actually the deal breaker when I thought about buying my '04 X3 off lease in '07, it needed brakes all around and it was not a good deal after taking that into consideration.

I just went with platinum extended warranty, it covered way more stuff, and I'll let BMW pay for my brakes.

I still think you need to find a reputable dealership and build a good relationship with them.

If $1600 is Dealer Cost, then your quote is ~$250 profit to them and the $2100 is $500.

The dealer isn't going to do it for free. has to make money somewhere in deal.

Would probably be smart to get it done by end of month as we go into last few Days. Extra money for their month end....and Quarter end.

[jpics80]

CPO the car and you can get lower interest rate on the loan for the most part.

[dkmesa]

Originally Posted by NTX

At the dealership we work at, when we have customers wanting to buy their lease we normally let them turn the car in, we buy it and CPO it, and then sell it back to them. This almost always ends up being the most efficient route for both ends.

Would the same be true for Owner's Choice? You have OC in Texas, right?

[zinner]

When you think about the buying/leasing process so much funny money is tossed around between parties. The residual is based on MSRP, but no one pays that so I guess why would you expect anyone to pay the residual either.

[Explorer3253]

Originally Posted by Kabrich

Discussion with 5 different dealerships over the past 4 months about how BMWFS determines what they will sell to a dealer for vs your residual.

The sticker price shows how loaded the car is.

Again, I've put in very exact details of figures in 2 other threads but will not waste that much time again as OP never came back and posted what he did or what the best offer he ended up with. You can search for similar threads within the last several months.

I finally found a dealership that was willing to take roughly 1500 off of residual and gave me cpo for 1800.

Took me a while to reply since most dealerships I contacted were playing too many games or not being responsive.

Thanks everyone for their input. Your answers pushed me to keep on trying to contact other dealerships since clearly there was some wiggle room involved. Of course after I drop the vehicle off to get cpo'ed, a friend mentions his brother owns a dealership.