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  #1  
Old 07-14-2013, 04:57 PM
uter's Avatar
uter uter is offline
Z4 M coupe, F07 550i GT
Location: Scottsdale, AZ
 
Join Date: Jan 2002
Posts: 1,037
Mein Auto: '07 Z4Mcoupe, '10 550 GT
Before you post a lease assumption ad...

I am consistently surprised by the ads placed for lease assumption and what the lease holder hopes to gain.

Let's be clear, you are putting up your lease because your circumstances (priorities/finances/mileage) have changed. You are in a lease you no longer want. To extricate yourself from this lease is going to be painful. Having another consumer assume your lease is the best you can hope for.

Why, then, do people consistently post lease assumption deals that are complete crap?

This is your financial boondoggle. You agreed to finance the difference between MSRP and the residual value. You underestimated how many miles you would drive per year. You put down money for cap reduction to get a lower payment.

After all that, you expect a lease assumer (who is assuming the risk of damage you might've inflicted on the car) to pay a $500 lease transfer fee to BMWFS.

Or, better yet, you want cash up front to reimburse you for the downpayment you made on the lease for cap cost reduction.

Somewhat absurd is the expectation that the entire amount of multiple security deposits be repaid (on the gamble that all the MSD's will be returned at lease end).

Are there lease assumptions out there that are good deals? Of course there are. At lease inception, you might get a significant discount off MSRP on a car that has a high residual value and the lease contains an excellent money factor. That's a lease worth assuming. The lease assumer saves on having to pay lease inception fees, doc fees, etc and gets to make a reasonable payment. I, myself, have assumed leases and had them assumed. It was a very satisfying experience and can work well.

But folks, please, if you signed a bad lease (high sticker price, low residual, poor money factor) don't expect to get bailed out and walk away scott free. It's going to have to hurt a little. Be prepared to eat that lease transfer fee. Offer up the cash incentive. Kiss those MSD's goodbye.

Otherwise, to someone looking to assume a lease, it's no different than being asked to overpay for a used car.

If you took the time to read my rant, I thank you and welcome your comments
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  #2  
Old 07-14-2013, 05:42 PM
M5 Next's Avatar
M5 Next M5 Next is offline
Something Original Here
Location: Wake County, NC
 
Join Date: May 2013
Posts: 148
Mein Auto: 2006 M5
I never understood why some people lease cars. I understand that if you like to change cars every few years and not worry about maintenance, or if your job comps you on the car, you may be leasing. And the majority of people leasing have one of those working for them. The minority, however, are wannabe ballers who do not read the fine print, see a chance to get into a nice car (but don't see the chance to BUY one a rung down the ladder or a couple years older for the same downpayment and payments), and take it. Then, a few months down the road, when they put too many miles on the car, get demoted on the job, or parents quit making payments they agreed to make for a year, they make up a sob story and it ends up on Craigslist and in the classifieds. Now, are there true circumstances to cause someone who would have went through an entire lease otherwise, to try and find someone to assume it? Sure, but the amount I've seen lately make me think most are just attempts to beat somebody in the head who knows less about leasing than the author of the ad just learned the hard way.
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  #3  
Old 07-14-2013, 06:51 PM
uter's Avatar
uter uter is offline
Z4 M coupe, F07 550i GT
Location: Scottsdale, AZ
 
Join Date: Jan 2002
Posts: 1,037
Mein Auto: '07 Z4Mcoupe, '10 550 GT
Quote:
Originally Posted by M5 Next View Post
... and it ends up on Craigslist and in the classifieds. Now, are there true circumstances to cause someone who would have went through an entire lease otherwise, to try and find someone to assume it? Sure, but the amount I've seen lately make me think most are just attempts to beat somebody in the head who knows less about leasing than the author of the ad just learned the hard way.
I hadn't considered the posts on Craigslist. I assume that anyone looking at Craigslist has a sticky on their computer screen that says "caveat emptor".

My frustration is the use of an enthusiast forum, like Bimmerfest, to post a crappy lease assumption ad. At the least, the poster should be prepared for some questions and even criticism. This is, after all, a collection of informed BMW fans. We can chime in with kudos for a good lease deal, but pointing out its shortcomings isn't crapping on someone's thread, it's about informing our fellow enthusiasts.
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  #4  
Old 07-14-2013, 07:13 PM
M5 Next's Avatar
M5 Next M5 Next is offline
Something Original Here
Location: Wake County, NC
 
Join Date: May 2013
Posts: 148
Mein Auto: 2006 M5
Quote:
Originally Posted by uter View Post
I hadn't considered the posts on Craigslist. I assume that anyone looking at Craigslist has a sticky on their computer screen that says "caveat emptor".
Hey! I found my M5 on Craigslist, and I don't have one of those!
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2006 M5 Blacked out, AvantGrade 20s, Meistershaft exhaust, RPI scoops - DD
2001 530i Sport/Premium - Sold
1987 325i Vert - Sold

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  #5  
Old 07-15-2013, 07:18 AM
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0428 0428 is offline
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Location: East Coast
 
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Mein Auto: X5 35i Sport Sapphire
"You put down money for cap reduction to get a lower payment." - whoever does this is truly is an IDIOT. You will be paying the same total amount regardless how you break up the payments.
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  #6  
Old 07-15-2013, 07:36 AM
uter's Avatar
uter uter is offline
Z4 M coupe, F07 550i GT
Location: Scottsdale, AZ
 
Join Date: Jan 2002
Posts: 1,037
Mein Auto: '07 Z4Mcoupe, '10 550 GT
Quote:
Originally Posted by 0428 View Post
"You put down money for cap reduction to get a lower payment." - whoever does this is truly is an IDIOT. You will be paying the same total amount regardless how you break up the payments.
Also, gap insurance does not cover your downpayment. If the leased car is totaled or stolen, that down payment is gone.
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  #7  
Old 07-21-2013, 01:11 PM
si010986 si010986 is offline
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Location: Phoenix
 
Join Date: Jul 2013
Posts: 53
Mein Auto: 2013 328i
Quote:
Originally Posted by uter View Post
Also, gap insurance does not cover your downpayment. If the leased car is totaled or stolen, that down payment is gone.
Save on interest and for a lot of people cash flowis more important than one time expense.
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