M3 Lease Advice

Hi All,

I'm looking to upgrade my 2008 335xi to an M3 Coupe and have spent the last week searching all over this and the Ask-A-Dealer forum for lease advice. I've started to reach out to my local dealers and so far this is the best deal I've been offered:

Space Gray, Cold Weather, Comp, Prem, DCT, BMW Apps, Premium Sound for a MSRP of $75,495. Dealer has offered $74,500 with a 36 month, 12,000 miles lease payment of $1,290 (includes upfront tax of 7.25%).

I looked at ED and this would work out to be $67,860 with a lease payment of $1,106 (same length and miles).

After reading other lease offers on the forum this seems high to me. What would my realistic sale price be (I think ED invoice price should be ~14% below MSRP, so just add on ~$1,000 to that??) Also, how have other people got lease payments of under $900 with similar leases (I realize the upfront tax will add some here). Do the rates change that much?

Thanks in advance for the advice, if you think this is better suited to the Ask-A-Dealer forum let me know and I'll repost



Tony

Tony-
I did ED on Space Gray/Fox Red E90 M3 with similar options (no premium sound though). My MSRP was $70,625 but my capital cost was $62,315 (something like $2,000 over invoice). My monthly lease payment(12K miles/yr for 30 months) = $880.

36pounds, thanks for the reply, those kind of number were more what I was hoping for. Have you taken delivery yet?

Cheers!

milan19762-
Took delivery in Munich in June, spent 10 days zooming around Germany visiting various friends (picked up remote camera speeding ticket). Car arrived in Boston a month later in July. Also came from 335i. M3 is my daily driver. Car never fails to put a smile on my face, but is also over the top. 414HP and 4.4 0-60 is really wasted on American highways, especially the pot hole filled streets of Boston (currently covered with this layer of snow).

I am trying to do the same, a 36/10,000/year lease on a space gray with most options (prem, competition, nav, sound, convenience), and the dealer qouted an assanine 1170/month with 3K down (75300 MSRP). i am in TX with tax rolled in.

will i EVER get a dealer to go invoice-up on an M3?

I am trying to get the payments to around $900. any ideas??

That is a stupid high price for an M3. Don't follow leases so I can''t tell you about that. But $1K off the window???

Too many BMW dealers in Chicago area, keep looking.

thanks. I proposed this to him.

MSRP of 75925
According to Truecar.com, which is a phenomenal resource for new-car-buyers, the national discount average on a similarly-equipped M3 is approx 5%, (http://www.truecar.com/prices-new/bm...=902074,900571) . That would mean an approximate sales price for this vehicle based on average national sales data of $72128.
Also, most BMW enthusiast sites say that you should be able to negotiate $1000-$2000 above invoice, for which the M3's invoice should be in the range of $70,500... this means I should expect to negotiate a price between $71500-72500.
Combining the two, I hope we could agree on a sale price of $72,000 for this car.
BMW Official January 2012 (publically available information: http://www.ridewithg.com/index.php/2...-january-2012/ ) for m3 residuals on a 36/10 are 62% of MSRP, so the residual on that car would be $47,073
BMW acquisition costs are $725.00 ( http://www.bmwblog.com/2008/12/28/how-to-lease-a-car/) and MACO should be $200-$300.
BMW Official January 2012 Money Factor is .00195, (approx 4.5% interest) and your markup should be in the range of .0002, bringing a reasonable rate to .00215
therefore, using the above information, using the edmunds calculators, I should be able to yield a lease amount along the following lines: $994/month with 2K down on a 36mo/10k annual lease.

^ sounds real +/- a few $
(btw assuming very good credit + prior BMWFS customer - no need to pay markup on money factor)

Originally Posted by 36pounds

milan19762-
Took delivery in Munich in June, spent 10 days zooming around Germany visiting various friends (picked up remote camera speeding ticket). Car arrived in Boston a month later in July. Also came from 335i. M3 is my daily driver. Car never fails to put a smile on my face, but is also over the top. 414HP and 4.4 0-60 is really wasted on American highways, especially the pot hole filled streets of Boston (currently covered with this layer of snow).

So you can do euro delivery on a lease car too?

Originally Posted by mjposner

So you can do euro delivery on a lease car too?

Absolutely.

If you can, consider putting multiple security deposits down to reduce the money factor. Through my research, I found out that BMW Financial Services allows for up to 7 deposits, each reducing the MF by .00007. The beauty of this is that the deposits are refunded at the end of the lease. I ordered an M3 in November and negotiated a 36 month lease (10k/year), no cap cost reduction for $200 over invoice. This came out to $793/month (including my 7.75% sales tax) for an MSRP of $69,825. This was based on $1k credit from their Mission to Drive promotion and the maximum 7 deposits. It is possible to get a good deal on an M3, it just takes some work.

Originally Posted by Aronowitz

If you can, consider putting multiple security deposits down to reduce the money factor. Through my research, I found out that BMW Financial Services allows for up to 7 deposits, each reducing the MF by .00007. The beauty of this is that the deposits are refunded at the end of the lease. I ordered an M3 in November and negotiated a 36 month lease (10k/year), no cap cost reduction for $200 over invoice. This came out to $793/month (including my 7.75% sales tax) for an MSRP of $69,825. This was based on $1k credit from their Mission to Drive promotion and the maximum 7 deposits. It is possible to get a good deal on an M3, it just takes some work.

Thanks for this advice, I'm going to talk to the dealership this week ad see what can be worked out.

Good luck!

Originally Posted by NASA43

Absolutely.

How do you process the ED? I currently have a lease that will expire on October 2013 and would be interested in getting a lease on the new F83 M3/M4. Once the online credit application with BMWFS is approved for the new car what is the next step to get an Euro Delivery? my M3 is my 2nd leased BMW and as far as I remember when I filed the credit application online, BMW Financial Services always asked for a dealer where I should get my car, how do you get the option to request an ED?

October 2013? ....a lot of conjecture about intro of new M3 - I have been told the date is in the Fall of 2014 for coupe and convertible.

Originally Posted by Capobranco

October 2013? ....a lot of conjecture about intro of new M3 - I have been told the date is in the Fall of 2014 for coupe and convertible.

I read the F82/83 will be out for spring 2014, I will return my car on October 2013 and will wait until the new M3/4 comes out, this car is not my DD so no problem to wait a few months to get the new model

Originally Posted by edu09

How do you process the ED? I currently have a lease that will expire on October 2013 and would be interested in getting a lease on the new F83 M3/M4. Once the online credit application with BMWFS is approved for the new car what is the next step to get an Euro Delivery? my M3 is my 2nd leased BMW and as far as I remember when I filed the credit application online, BMW Financial Services always asked for a dealer where I should get my car, how do you get the option to request an ED?

Check out the European Delivery board. There is a wiki that should answer all your questions. Several dealers on bimmerfest specialize in ED and can take you through the entire process. You can order through one of them.

Originally Posted by NASA43

Check out the European Delivery board. There is a wiki that should answer all your questions. Several dealers on bimmerfest specialize in ED and can take you through the entire process. You can order through one of them.

Thanks!

Interested about this thread - I've been quoted 2% off MSRP on a 73,345 MSRP M3 (metallic paint, standard leather, prem/smg/cold/comp).

I've been quoted 2% off MSRP on a 73,345 MSRP M3 (metallic paint, standard leather, prem/smg/cold/comp).

I'm being quoted 1,330/month all in on a 24 month lease (unusual term I know) with US delivery and ~700 in upfront fees and 0 down.

They're offering an additional 4,500 off MSRP for ED.

Does this sound reasonable?

Originally Posted by jeffyhow

Interested about this thread - I've been quoted 2% off MSRP on a 73,345 MSRP M3 (metallic paint, standard leather, prem/smg/cold/comp).

I've been quoted 2% off MSRP on a 73,345 MSRP M3 (metallic paint, standard leather, prem/smg/cold/comp).

I'm being quoted 1,330/month all in on a 24 month lease (unusual term I know) with US delivery and ~700 in upfront fees and 0 down.

They're offering an additional 4,500 off MSRP for ED.

Does this sound reasonable?

You can get a MUCH better price with a board sponsor. Go to the site sponsors link at the top of the page, navigate towards the bottom of that page and you will see regional sponsors and their email addresses. Or send one of them a PM.

i used MSDs for a 3 yr/10,000 per year lease for a 75.5k car. my rate (including rolling taxes into the monthly) is right around 900 a month, with 0 down (of course you have to put a big number down for the MSD, but it reduces money factor). if they introduce loyalty in between my build date, i will be the beneficiary. it could take me from 900 to around 875 per month. + i have the CCA reduction (500 for 3 series)

Originally Posted by highyo

i used MSDs for a 3 yr/10,000 per year lease for a 75.5k car. my rate (including rolling taxes into the monthly) is right around 900 a month, with 0 down (of course you have to put a big number down for the MSD, but it reduces money factor). if they introduce loyalty in between my build date, i will be the beneficiary. it could take me from 900 to around 875 per month. + i have the CCA reduction (500 for 3 series)

I really wish BMWFS would lower their money factors but with their Feb sales up, probably not gonna happen. The rates are just too damn high given where bank interest rates are right now. You are smart to max the SDs though, I always do that.

Originally Posted by NASA43

I really wish BMWFS would lower their money factors but with their Feb sales up, probably not gonna happen. The rates are just too damn high given where bank interest rates are right now. You are smart to max the SDs though, I always do that.

i could get some love in march loyalty. who knows. i actually thought the M3 would be a little cheaper, but for those who are getting 1200-1300 per month quotes, keep hammering

Originally Posted by highyo

i could get some love in march loyalty. who knows. i actually thought the M3 would be a little cheaper, but for those who are getting 1200-1300 per month quotes, keep hammering

My lease is up on April 30. I'm holding out hope that they come forward with some owner loyalty like in December by then. If not, I'll buy the one I'm leasing. The buyout is below market value right now anyway. Only negative is the warranty expires June 30th.

Originally Posted by edu09

How do you process the ED? I currently have a lease that will expire on October 2013 and would be interested in getting a lease on the new F83 M3/M4. Once the online credit application with BMWFS is approved for the new car what is the next step to get an Euro Delivery? my M3 is my 2nd leased BMW and as far as I remember when I filed the credit application online, BMW Financial Services always asked for a dealer where I should get my car, how do you get the option to request an ED?

The most important thing is to find a CA who can navigate through the ED process (sounds simple enough but you will find plenty who are either not familiar at all or will screw up the deal royally).

The process is pretty similar to a state-side delivery lease, but for ED, you will have to sign all your lease papers prior (typically 1-2 weeks) to picking your car in Munich. This also means that you will most likely pay for 2-3 months of lease without having the car in your possession. BMWFS will make one payment on your behalf to compensate for it though.

Originally Posted by jeffyhow

Interested about this thread - I've been quoted 2% off MSRP on a 73,345 MSRP M3 (metallic paint, standard leather, prem/smg/cold/comp).

I've been quoted 2% off MSRP on a 73,345 MSRP M3 (metallic paint, standard leather, prem/smg/cold/comp).

I'm being quoted 1,330/month all in on a 24 month lease (unusual term I know) with US delivery and ~700 in upfront fees and 0 down.

They're offering an additional 4,500 off MSRP for ED.

Does this sound reasonable?

Never negotiate down from the MSRP. You should negotiate Invoice + $x. In some cases, it makes sense to deal with an out-of-state dealer who will offer a much lower price on ED. Jon S (BMW SB) should be able to give you a better deal than what you've been quoted even when you consider the additional cost of doing business with an out-of-state dealer.