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      11-10-2013, 10:07 AM   #2
basscadet
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Drives: 991.2 GT3
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Quote:
Originally Posted by Midwest X6 View Post
Zero cap reduction, 3 year 36 k lease....

Is there a residual pattern BMW has with M cars? Might there be less incentives with good rates early in production vs later? What else?

Monthly USD lease charge????
I do know that upon initial release, the F10 M5 had terrible residual values (<55%) from BMW. The impression on the forum was that it was due to BMW not wanting to subsidize rates for a new, high-demand car. My searches back a few years in the F10 M5 forum seems to bear this out.

I do not think that BMW will try such shenanigans with the new M3. I have no evidence to support this, it is just a hunch. This is a much higher-volume car than the M5.

The flip side of this is, of course, that even if BMW tries this approach by suggesting that a $74,000 2014 M3 will be worth <$37k by 2017, it clears the path for the leasee to purchase the car outright and flip the car for sale on the market, pocketing some cash.

I intend on leasing the M3/M4 and my expectation is that residuals might be a little low out of the gate but that the money factor will be adjusted to keep payments reasonable. Figure $2k up front money, $1k a month including taxes to be safe. Any more than that and BMWFS risks really turning off customers. Especially knowing that Mercedes, Porsche, and Nissan are getting more aggressive with their lease programs.
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