BMW M3 and M4 Lease Rates (36 months)

[doug_999]

The days of a 79% residual are over. BMW doesn't play that game anymore. It appears that today (April) the highest residual is 68% for the Z4 at 24 months.

[stickshifter69]

I was told by my dealership that the residual is 58% and MF = 0.00173

[doug_999]

Originally Posted by stickshifter69

I was told by my dealership that the residual is 58% and MF = 0.00173

For which vehicle?

PS - that's not a current MF (well it is a MF marked up from .00133)

[WilliCO]

Originally Posted by bmw-nj

Yeah that's possible. The residual was 79% for 24 months. They just wanted to get rid of them. I had a 65k z4 with 0 down for $500 a month.

Imagine if the F80 M3 leased for 0 down $500 a month?

Wow, 79% is a nutty residual indeed. I ran those numbers through Leasematic earlier and couldn't get the payment below about $389 - but I'm sure I was treating the tax wrong or something. A 79% residual can make lots of things happen.

[ridin135]

Any numbers for 39 months yet

[iDriveEurope]

Originally Posted by Money2536

Here is mine:

M3 Sedan
I'll have a set of KW-V3s, Klassen M52R w/ Yokohama AD08R, and some form of exhaust waiting for it, so I'm trying not to waste money like I did last time with the Competition Package. My plan is to buy one and bolt the parts on the new car when the lease is up. I just don't want to buy a first model year car.

Alpine White
Extended Marino Leather Sakhir Orange
Harmon Kardon

MSRP: $64,750
Residual Percentage at 12,000 Miles: 57%
Residual Value: $36,907.50
Percent off MSRP: 0.00%
Negotiated Price: $64,750
Down Payment: $0
Net Cap Cost (Neg. Price – Down Payment): $64,750
Depreciation: $27,842.50
Lease Term: 36 Months
Monthly Depreciation Payment: $773.40

Finance Cost = Net Cap Cost + Residual:
Interest Rate (APR): .0013 X 2400 = 3.12%
Money Factor: 0.0013
Monthly Finance Fee: $132.16

Monthly Payment: $773.40 + $132.16 = $905.56
Sales Tax: 6%: $54.34
Total Monthly Payment: $959.90

Title, Registration, and Other Fees: ~$1,000
Incentives/Rebates: $0 (Assuming there are none.)

Drive-off (1st month’s payment + Fees): $1,959.90

If vehicle is leased by euro delivery doe the ed price become the MSRP when calculating residual value? Or is that the negotiated price?

[Powaup]

Originally Posted by iDriveEurope

If vehicle is leased by euro delivery doe the ed price become the MSRP when calculating residual value? Or is that the negotiated price?

US MSRP is used to calculate residual value unfortunately

[NewNole2001]

Originally Posted by Powaup

US MSRP is used to calculate residual value unfortunately

Unfortunately? The US MSRP is a little bit more than $4k higher than ED MSRP, by utilizing US MSRP for calculation of residual value, you get a lower (much lower in some cases) lease payment.

On a base M3, the US MSRP is $62,000, while ED MSRP is $57,710. With a 36/12 lease, the residual value percentage is 57%. The residual value portion of the car at the end of the lease is $35,340 based on US MSRP and $32,895 based on ED MSRP. Assuming you are paying ED MSRP, then the lease payment before interest and taxes each month are:
ED lease payments:
US MSRP based residual: $621/month
ED MSRP based residual: $689/month

That's a savings of $68/month and $2448 over the life of the lease thanks to the residual value being based upon the higher US MSRP.

And if you're not doing ED, or if your dealer is forcing you to pay US MSRP on a Euro Delivery, then the base lease payment is $740. Doing ED, even at MSRP saves you a serious chunk of change.

Residual value based upon US MSRP for ED leases is one of the most compelling features of the Euro Delivery program.

[Kief]

Originally Posted by NewNole2001

Residual value based upon US MSRP for ED leases is one of the most compelling features of the Euro Delivery program.

^^^This (along with $xxx over ED invoice...someday)

[iDriveEurope]

Originally Posted by Powaup

US MSRP is used to calculate residual value unfortunately

Isn't that better? If the residual value wast based off the ED price then the value would be lower than the residual value of the actual MSRP.

[IS350]

My latest "deal" 3% off the 80,450 MSRP and base rate MF which I'm told is .00133.

This is for a 3 year lease, 12k miles/year:

Zero down, just first month's payment (which includes my taxes and dealer fees) of $1104.44 without coupon.
$1075.33 with the un4gettable driving event coupon if I can get it to work.
https://www.bmwusa.com/secured/conte...testdrive.aspx

Eager to hear how this compares to your deals?

[NewNole2001]

Originally Posted by IS350

My latest "deal" 3% off the 80,450 MSRP and base rate MF which I'm told is .00133.

This is for a 3 year lease, 12k miles/year:

Zero down, just first month's payment (which includes my taxes and dealer fees) of $1104.44 without coupon.
$1075.33 with the un4gettable driving event coupon if I can get it to work.
https://www.bmwusa.com/secured/conte...testdrive.aspx

Eager to hear how this compares to your deals?

The base MF is .00130. Make your dealer give you the base MF. Your'e still getting a heck of a deal (for now, at least).

[IS350]

Originally Posted by NewNole2001

The base MF is .00130. Make your dealer give you the base MF. Your'e still getting a heck of a deal (for now, at least).

Thx, though I'm told by multiple dealers, the base MF is in fact now .00133, perhaps it's gone up? Can anyone else confirm?

[Tiago@VRSF]

Originally Posted by IS350

Thx, though I'm told by multiple dealers, the base MF is in fact now .00133, perhaps it's gone up? Can anyone else confirm?

I signed for .0013 MF a couple days ago.

[tooch]

Originally Posted by IS350

My latest "deal" 3% off the 80,450 MSRP and base rate MF which I'm told is .00133.

This is for a 3 year lease, 12k miles/year:

Zero down, just first month's payment (which includes my taxes and dealer fees) of $1104.44 without coupon.
$1075.33 with the un4gettable driving event coupon if I can get it to work.
https://www.bmwusa.com/secured/conte...testdrive.aspx

Eager to hear how this compares to your deals?

That a way better deal than Im getting. Did you do any security deposits? $1075 a month? How is this possible? I can only get a MF .00173 dealer won't budge.

[tooch]

Originally Posted by Tiago@VRSF

I signed for .0013 MF a couple days ago.

So Far my dealer won't budge on a .00173 and I'm bringing 10k down plus maxxed security deposits

[Tiago@VRSF]

I'm @ an MSRP of $80,600, $1000 off for the un4gettable deal with 7 deposits and the payment ended up being around $1082 w/MA tax. I'm pretty sure the MF was .00133 not .00130.

Total money down is $9788 for the MSD's, ($7700) fees and first payment.

[NewNole2001]

Originally Posted by tooch

So Far my dealer won't budge on a .00173 and I'm bringing 10k down plus maxxed security deposits

There has to be dealers out there with available allocations. Tell your dealer it's base MF or you go somewhere else. It'd be helpful if you have an offer from another dealer.

Also, don't put 10k down on a lease, put that money in your savings account and use it to pay the lease payments. If you wreck the car (or if someone wrecks you, or a tree falls on the car or whatever) at any point before the end of the lease, you're going to end up losing a good chunk of that $10k.

[IS350]

Originally Posted by NewNole2001

There has to be dealers out there with available allocations. Tell your dealer it's base MF or you go somewhere else. It'd be helpful if you have an offer from another dealer.

Also, don't put 10k down on a lease, put that money in your savings account and use it to pay the lease payments. If you wreck the car (or if someone wrecks you, or a tree falls on the car or whatever) at any point before the end of the lease, you're going to end up losing a good chunk of that $10k.

I couldn't agree more, perfect advice, I'm putting zero down. Dealer is at base rate and now up to 4% discount on an ordered car, possibly even larger discount on the car they have coming in next week! Get quotes from other dealers, ANYwhere, and tell your dealer you prefer to go with them if they can be competitive!

BTW, anyone recall how much it costs to buy more miles midway through the lease? I think it's .16 cents? Same price as buying them up front? I know they charge you around .20 if you don't add them and go over at lease end, right?

[IS350]

Originally Posted by Tiago@VRSF

I'm @ an MSRP of $80,600, $1000 off for the un4gettable deal with 7 deposits and the payment ended up being around $1082 w/MA tax. I'm pretty sure the MF was .00133 not .00130.

Total money down is $9788 for the MSD's, ($7700) fees and first payment.

Ever find out from Bmw Financial if you sell your car during the lease or if it's wrecked and replaced, what happens to the security deposits, are they fully refundable at any time during the lease if you terminate the lease?

How much did they save you/month?

[Tiago@VRSF]

Security deposits are fully refundable. It's the money down/non security deposits that aren't refundable which I'd avoid doing in the the future. I don't remember exactly how much but I believe it was somewhere around $50-60 a month. Ends up being a 8-10% return per year so not a horrible investment.

[WilliCO]

Originally Posted by Tiago@VRSF

It's the money down/non security deposits that aren't refundable which I'd avoid doing in the the future.

Money down is not a deposit and isn't refundable because you're paying down your lease obligation. You either pay it at the beginning or in the form of a higher monthly payment. Either way, BMW gets that money from you. Pay a bit less interest if you pay it up front.

There is so much legend and voodoo about lease cap cost reductions on this board. Philosophies differ on large down payments against depreciating assets in general, and deservedly so - but there is nothing one could say about a down payment against a lease that would not also be true of a large down payment on a conventional auto loan.


I will concede that due to the general ignorance of how leases work, if you use a cap cost reduction to lower your monthly payment on a lease and then try to use LeaseTrader to get out of your lease, you have no chance of recovering the down payment. People treat you like you have an arm growing our of your forehead when you even suggest it.