Increased lease buyout discount from BMWFS

[lavetaaxon]

Originally Posted by Thescout13

Did some more digging, if you trade it in BMWFS requires you the payoff to be residual + remaining payments. The customer discount option is only available if you yourself refinance it or send them a check in the mail.

What if you sell or trade in at another non-bmw dealer? Does the discount still apply?

[Thescout13]

Originally Posted by lavetaaxon

What if you sell or trade in at another non-bmw dealer? Does the discount still apply?

It's identical and considered option C internally at BMWFS (i.e., the discount won't apply). I ended up selling to Carmax at end of the day because their offer was $4k more than any other dealer gave me in trade in and was $2k above my residual plus last payments.

So, to be clear unless you refinance with your own bank (or BMWFS) in favor of yourself or write them a check yourself, you cannot get the benefit of the discount.

[falves84]

I hope BMWFS offers a good discount on my 18 M3 when my lease is up in May 2021.

[Nikolas]

Originally Posted by falves84

I hope BMWFS offers a good discount on my 18 M3 when my lease is up in May 2021.

Same here! I have only 8000 miles on it now.

[ineedae46m3]

I am due end of November but on my payoff documents I do not see any discount yet. Still outside 120 days.

[White340]

This is another argument towards leasing a bmw. My 340 had a residual of 40k when my lease was up with a 65k msrp. I think I paid 57k after discounts on the lease so only paid 17k depreciation plus interest. At the end of 3y you can walk away if you don't like the car, you sense mechanical problems coming up, it was in a bad accident or the market value is lower than the residual. Bmw was giving me a 3k discount off residual for buying the lease out (after they changed their policy penalizing the dealer for selling the car back to the original leasee at a bigger discount). The car was worth less than 30k so I walked away but vs financing from the outset I could have had the additional 3k discount at lease end that wouldn't have been there if I bought it from the beginning.

[guarnibl]

Originally Posted by White340

This is another argument towards leasing a bmw. My 340 had a residual of 40k when my lease was up with a 65k msrp. I think I paid 57k after discounts on the lease so only paid 17k depreciation plus interest. At the end of 3y you can walk away if you don't like the car, you sense mechanical problems coming up, it was in a bad accident or the market value is lower than the residual. Bmw was giving me a 3k discount off residual for buying the lease out (after they changed their policy penalizing the dealer for selling the car back to the original leasee at a bigger discount). The car was worth less than 30k so I walked away but vs financing from the outset I could have had the additional 3k discount at lease end that wouldn't have been there if I bought it from the beginning.

Yeah, the 3 series is especially bad re: this. For instance, my wife's 320i buy out is like $38k and the car's value is $20k retail ($15k trade). Lease is up in 2 months. I mean that's freaking awful. I can literally turn the car in and go buy one for ~$20k private party that probably has less miles and the same options, saving $20k when you factor in taxes.

Instead I will turn the car in and scour swap a lease and continue to rinse/repeat, lol. If I would have bought the car, even with the discount, and then traded, cost of ownership would have been $30k in 3 years (and that was lower than it could have been... I got a massive discount on the car -- nearly 16% after incentives etc). Instead, with the lease it was ~$14k.

[Aaaaaaaaa]

Originally Posted by ineedae46m3

I am due end of November but on my payoff documents I do not see any discount yet. Still outside 120 days.

My lease is up end of November too still not seeing any discount. Is yours?

Update: discount actually showed up today, day after payment was processed. $5500 off.

[Liquid2.0T]

I'm seeing the buyout discount now. I'm getting a credit of $5,500.

[squareforce]

If I did a swapalease to take over someone's lease would this discount be transferred to me? Does it only show up when the lease is almost up?

[aerostar]

This whole lease buyout discount is pretty counter intuitive to the thread where people are saying the car market is doing great.

I'm not sure BMW would be offering these crazy lease buyout discounts if the market was so hot right now for cars and used cars at that. Something seems off.

We'll see I guess.

[dmk08]

Originally Posted by aerostar

This whole lease buyout discount is pretty counter intuitive to the thread where people are saying the car market is doing great.

I'm not sure BMW would be offering these crazy lease buyout discounts if the market was so hot right now for cars and used cars at that. Something seems off.

We'll see I guess.

I am not sure all these M3s are selling for asking but the market is definitely high right now. I have been trying to find a decent 16-17 and you're talking 50k now when it was mid 40s a few months ago...

[Aaaaaaaaa]

Originally Posted by aerostar

This whole lease buyout discount is pretty counter intuitive to the thread where people are saying the car market is doing great.

I'm not sure BMW would be offering these crazy lease buyout discounts if the market was so hot right now for cars and used cars at that. Something seems off.

We'll see I guess.

BMW probably made this decision when everyone thought the used car market was going to collapse. Plus dealers initially didn’t want to touch COVID infected lease returns. But now profit who cares

[ThingsM3]

Originally Posted by InTheseUncertainTimes

BMW probably made this decision when everyone thought the used car market was going to collapse. Plus dealers initially didn't want to touch COVID infected lease returns. But now profit who cares

Originally Posted by InTheseUncertainTimes

BMW probably made this decision when everyone thought the used car market was going to collapse. Plus dealers initially didn't want to touch COVID infected lease returns. But now profit who cares

Are people still being offered this discount? What do we think about this being here in 2021! I have a 2018 coming off lease early 2021.

[DocL]

I hope this deduction is offered when my lease is up 04/21. I’ll probably buy an extended warranty using that extra cash.

[aalsayye]

Yup, hoping for the same. Lease is up on 2/7...

[f80er]

I checked my BMWFS account a couple weeks ago for a discount to no avail. Checked it today and they giving me $5500 off to purchase. My lease is up 12/2020 so after I make the next 4 payments the buyout is roughly $42K and some change. No brainier for me to buy it, sell it, trade it in or just keep it.

[aalsayye]

Originally Posted by f80er

I checked my BMWFS account a couple weeks ago for a discount to no avail. Checked it today and they giving me $5500 off to purchase. My lease is up 12/2020 so after I make the next 4 payments the buyout is roughly $42K and some change. No brainier for me to buy it, sell it, trade it in or just keep it.

Does Sales tax get calculated based on the State you reside in?

[f80er]

Yes

[aalsayye]

Originally Posted by f80er

Yes

Thanks! sounds like a no brainer... Are you planning on getting extended warranty or maintenance?

[f80er]

Nah. Buying it because I will most likely get into a new M3. Plus its a great deal when said done but I don't plan on keeping this car for the long term.

[aalsayye]

Originally Posted by f80er

Nah. Buying it because I will most likely get into a new M3. Plus its a great deal when said done but I don't plan on keeping this car for the long term.

Awesome! Good luck with the new one!