BMW M3 and M4 Lease Rates (36 months)

[basscadet]

Originally Posted by BlackJetE90

No thanks, GT3 over Turbo all day long.

You can get equivalent/superior suspension components for a Turbo to make it handle just as well as a GT3. You of course will have a slightly heavier car, but it will handle like it is on rails.

And you get to keep the Turbo motor which is unquestionably the superior powerplant and can take every bit as much abuse as the NA GT3 engine.

I'd be happy with any GT* or Turbo 911. I just don't think the Carrera's are worth the money...for $135k+ I don't want to get walked by a base Corvette.

[Alpine F31]

Originally Posted by basscadet

You can get equivalent/superior suspension components for a Turbo to make it handle just as well as a GT3. You of course will have a slightly heavier car, but it will handle like it is on rails.

I imagine that the Turbo handles too well. I don't want AWD. The allure of the GT3 is that it is Alle natürlichen, RWD, NA. And as such it is much more engaging and terrifying to drive at the limit. Cars like the Nissan GTR and 911 Turbo have insanely high limits but mere mortals can drive them pretty close to the limit because the cars are so robotic. The most fun cars I've ever owned were the ones that were most likely to kill me. The GT3 requires more from the driver than the Turbo, and I prefer that in a sports car.

[jasonn]

Originally Posted by basscadet

You can get equivalent/superior suspension components for a Turbo to make it handle just as well as a GT3. You of course will have a slightly heavier car, but it will handle like it is on rails.

And you get to keep the Turbo motor which is unquestionably the superior powerplant and can take every bit as much abuse as the NA GT3 engine.

I'd be happy with any GT* or Turbo 911. I just don't think the Carrera's are worth the money...for $135k+ I don't want to get walked by a base Corvette.

Hate to generalize. But the ones who focus on the 0-60 usually aren't in a position to get said speculated car anyway.

And there are plenty of high-end cars slower than the Carrera.

To quote myself:

Originally Posted by jasonn

...

I always get slight chuckle 'cause people always love to bag on Porsche's seeming lacking straight-line speed/acceleration. You know it's not thaaaaat slow. For the base 991 it's between 4.1-4.3 seconds 0-60 depending on the tester.

Sure there are plenty of cars faster, but then again, those same faster/cheaper cars are also likely to be faster than many other higher-end brand sports cars as well. It's a slippery slope type comparison/mindset that will inevitably end up with the typical $30k Honda Civic rocket example. Yeah it's faster...but...

So you really can't approach it with a bang-for-the-buck attitude. These cars I'd say are more of a emotional pruchase.

Here's a pretty recent video comparison of the R8, base 991, and XKR. Whatever it's worth.

[hellrotm]

Originally Posted by basscadet

And you get to keep the Turbo motor which is unquestionably the superior powerplant and can take every bit as much abuse as the NA GT3 engine.

I don't agree with this statement.

Originally Posted by basscadet

I'd be happy with any GT* or Turbo 911. I just don't think the Carrera's are worth the money...for $135k+ I don't want to get walked by a base Corvette.

I couldn't care less about straight line performance. I just think the GT3 is the ultimate weekend track car and the near pinnacle of driver enjoyment in a car.

[Caruso0644]

Originally Posted by Kief

$66000 x.57=$37620 (residual)
$66000-$37620=$28380/36=$788.33 (base)
$66000+$37620=103620 x .00081 (.00130-.00049=.00081 MF)
$788.33 + $83.93= $872.26

Don't hold me to this b/c I'm not familiar with those states which make you pay full tax

So if I cover all taxes and fee's and just lease at the amount of $66k would that give me a payment of $854.46 @ 36m/10k?

[daeguboy]

800s for m3 is fair but not great. Imma pay alittle more and get M5.

[Stevens21234]

Yea but it's 800 per month for the base...i can't imagine people getting the base model for this car and none of the awesome options.

I think 1400 per month for adaptive suspension, HUD, top/side/rear cameras and driving assistance is fair and worth it. We would get less posers at this price point too...=).

[Greeney]

Originally Posted by Stevens21234

Yea but it's 800 per month for the base...i can't imagine people getting the base model for this car and none of the awesome options.

I think 1400 per month for adaptive suspension, HUD, top/side/rear cameras and driving assistance is fair and worth it. We would get less posers at this price point too...=).

You're out of your mind sir.

[Stevens21234]

So lease estimates are out. Fully loaded is only $1167 a month (including CCB brakes). Definitely lower than expected..=).

[DreF80///M3]

I joined a while ago, but have been mostly lurking...

Since I can now configure the M3 online I contacted my dealership to perhaps put an order in. The following are the numbers they gave me and I really wanted some advice.

The numbers are a little higher than I expected for a 66.5k build. I was told the money factor was .00173 and the residual is 57%. Is this inline with what others are getting?

This is on a 12k yr 36 month lease. They want a 3k deposit and the payoff on my 335is is for when I would actually take delivery of the car which is mid June, so I would actually be getting out of it close to even.

Thanks in advance for any responses...

[Roadkiller]

Originally Posted by Dre335is

I joined a while ago, but have been mostly lurking...

Since I can now configure the M3 online I contacted my dealership to perhaps put an order in. The following are the numbers they gave me and I really wanted some advice.

The numbers are a little higher than I expected for a 66.5k build. I was told the money factor was .00173 and the residual is 57%. Is this inline with what others are getting?

This is on a 12k yr 36 month lease. They want a 3k deposit and the payoff on my 335is is for when I would actually take delivery of the car which is mid June, so I would actually be getting out of it close to even.

Thanks in advance for any responses...

The out of pocket cost for a lease seems high to me. Like others have said before, putting money down on a lease is costly....not something I would consider. $8K is a lot of money that you won't get back. Have you tried MSDs?

[DreF80///M3]

The adviser is going to call me tomorrow with the MSD information. I didnt understand why they began at 6k out of pocket either. I will ask her tomorrow. I understand I would have normal start-up fees, but would you agree that 6k includes some sort of down payment in addition to the start-up fee?

[Money2536]

I'm not sure if you could if you wanted to, but I wouldn't roll the negative equity into the lease. I'd use my $3,000 deposit to pay off the difference in your trade, and use the rest to pay the Tag and Title/Doc Fees and first month's payment. Ask for a check back for the difference. Also, in Florida we don't pay the tax upfront. They are marking up the money factor from .0013 to .00173 which is equivalent to 1.032% in interest. That's about $1,600 in extra profit they are making off of you over the life of the lease. That's $45 a month! Since they are charging you MSRP, there is no reason to mark-up the money factor. Shoot me a PM, and I'll hook you up with my guys in Ocala. They won't jerk you around like this.

If you want to put money down, you will be better served doing Multiple Security Deposits rather than putting money down on the lease. Basically you would be lending money to BMW, they reduce your money factor, and you get that money back at the end of the lease. Maybe this will help you out.

MSRP: $66,450
Residual Percentage at 12,000 Miles: 57%
Residual Value: $37,876.50
Percent off MSRP: 0.00%
Negotiated Price: $66,450
Down Payment: $0
Net Cap Cost (Neg. Price – Down Payment): $66,450
Depreciation: $28,573.50
Lease Term: 36 Months
Monthly Depreciation Payment: $793.71

Finance Cost = Net Cap Cost + Residual: 104,326.50
Interest Rate (APR): .00130 X 2400 = 1.944%
Money Factor without MSD: .0013
Money Factor with maximum of 7 MSDs: 0.00081

Monthly Finance Fee without MSD: $135.63
Monthly Finance Fee with: $84.51

Without MSD
Monthly Payment: $929.34
Sales Tax: 6%: $55.76
Total Monthly Payment: $985.10

With MSD
Monthly Payment: $878.22
Sales Tax: 6%: $52.70
Total Monthly Payment: $930.92

7 MSD: $950 X 7 = $6,650
Title, Registration, Dealer Fee: $855.45
Incentives/Rebates: $0 (Assuming there are none.)

Without MSD
Drive-off (1st month’s payment + Fees): $1,840.55

With MSD
Drive-off (1st month’s payment + Fees + Maximum MSD): $8,436.37

[DreF80///M3]

Thank you very much for the breakdown. They didn't seem to want to budge of MSRP or the money factor. When I talk to them tomorrow I will definitely ask about the inflated money factor and tell them I will most likely be going elsewhere. PM sent.

[WilliCO]

That dealer is marking up the money factor quite a bit. Someone check me on this, but I think their buy rate is .00125. That should be negotiable.

One thing that is hurting the payment is the low residual. 57% is either correct or it isn't, according to the published residuals, but it seems low and a one-point change in the residual will affect the payment fairly obviously.

Putting down money on a lease is not necessarily "costly". Increasing up-front cash simply lowers the monthly payment in the calculation, exactly as a large down payment on a purchase does. You pay the money up front or it shows up in the payment, plus some interest. There is no voodoo at play.

There are some myths out there about losing your cash if your leased car gets totaled (which I debunked here), and certainly some people feel like they can do better putting excess money into the market somewhere. But - if a lower monthly payment is a priority for you, the best way to get there is to throw a capital reduction at a lease. Period.

MSDs are neat, and you do get your money back - but their effect on the payment is trivial by comparison. The argument in favor of those is that the return really does rival a short term investment.

Originally Posted by Money2536

If you want to put money down, you will be better served doing Multiple Security Deposits rather than putting money down on the lease.

Your example and numbers are correct, but I think it's oversimplified to say that someone would be "better served" by the MSD approach. MSDs are equivalent to a non-liquid investment that pays a little better than what you find at your bank. The same amount of money as a cap reduction makes a much larger difference in monthly payment. What is the guy's priority - to make a little more return on excess cash or to lower monthly payment?

[ah3nyc]

Originally Posted by Stevens21234

Yea but it's 800 per month for the base...i can't imagine people getting the base model for this car and none of the awesome options.

I think 1400 per month for adaptive suspension, HUD, top/side/rear cameras and driving assistance is fair and worth it. We would get less posers at this price point too...=).

Your crazy to think $1400 for a m3 is normal figure. I just picked up my 2013 Ah3 in Munich back in June and I pay $400 monthly. That's a good deal. The m3 will definitely be in mid 600- low 800 by mid summer 2015.

[doug_999]

Originally Posted by ah3nyc

Your crazy to think $1400 for a m3 is normal figure. I just picked up my 2013 Ah3 in Munich back in June and I pay $400 monthly. That's a good deal. The m3 will definitely be in mid 600- low 800 by mid summer 2015.

Um, sure. While I'm not sure what a Ah3 is, M3s don't go for $400 monthly, nor do they go for $800 a month. While we have sales tax issues here in IL (tax on the full amount) even with the high residuals (and lack of discounting), M3s are going for $1,300+ here in IL (loaded up of course).

[ah3nyc]

No one ever said an m3 would go for $400. An ah3 is activehybrid 3. Which costs about $64,000 way I have it figured. With msd and euro delivery it's easy to get an m3 for $800 if not much less few
Months after it comes out. Early adopters will be usually first to regret it once all issues comes out. To pay $900 for a base m3 doesn't make financially sense. But that's me I guess. I also had a 2011 z4 with Ed and msd for 299 a month. So it's important to wait for right moment.

[NYAWE60]

Originally Posted by ah3nyc

No one ever said an m3 would go for $400. An ah3 is activehybrid 3. Which costs about $64,000 way I have it figured. With msd and euro delivery it's easy to get an m3 for $800 if not much less few
Months after it comes out. Early adopters will be usually first to regret it once all issues comes out. To pay $900 for a base m3 doesn't make financially sense. But that's me I guess. I also had a 2011 z4 with Ed and msd for 299 a month. So it's important to wait for right moment.

LOL you need to let me know when you're buying cars. I'll stroll in and sign away with you.

[WilliCO]

Originally Posted by ah3nyc

I also had a 2011 z4 with Ed and msd for 299 a month.

No way, unless you threw a big capital reduction at that.

[ah3nyc]

Originally Posted by WJGreer

No way, unless you threw a big capital reduction at that.

Here is a copy of my deal if your not a believer. 2011 z4 30i.

Sale price: 49735 / 50485 euro wholesale - 1000 owner loyalty + 250 markup
Money factor: .00141 / .00160 program rate + .00030 euro adder - .00049 multiple security deposit reduction
MSRP: 58175 US MSRP

$3703.32 total due at signing ($2100 refundable at lease end)
$298.98 per month for 24 months including NY tax @ 8.875%

[bmw-nj]

Originally Posted by ah3nyc

Here is a copy of my deal if your not a believer. 2011 z4 30i.

Sale price: 49735 / 50485 euro wholesale - 1000 owner loyalty + 250 markup
Money factor: .00141 / .00160 program rate + .00030 euro adder - .00049 multiple security deposit reduction
MSRP: 58175 US MSRP

$3703.32 total due at signing ($2100 refundable at lease end)
$298.98 per month for 24 months including NY tax @ 8.875%

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?