US ED Pricing discussion - not to beat a dead horse

[vinazzurro]

Originally Posted by IrvRobinson

here is what you can do, look at the 2007 pricing sheet, let's say for the 3-series. Configure a car and use the pricing for ED. Then price the same car but based on the US MSRP. Then go here and calculate the lease.

http://www.autoleaseadvisers.com/calc/calc.php

Use this lease numbers for example, for August 2007

335i sedan

24mo MF .0175 Residual 71%
36mo MF .0175 Residual 61%

I would do it myself but i'm a little busy

Wow!

I don't know if my numbers were all correct, but upping the residual by 10% (as indicated by your post) and switching to European pricing made a ridiculous difference. I'm talking over $100/month here! Does that even sound possible?

By the way, I assume you meant a Money Factor of .00175, instead of .0175.
:redface:

[larryn]

Yep, he meant .00175.

Also, for ED leases, add .0003 to the money factor. So, .00175 becomes .00205

[IrvRobinson2]

Originally Posted by vinazzurro

Wow!

I don't know if my numbers were all correct, but upping the residual by 10% (as indicated by your post) and switching to European pricing made a ridiculous difference. I'm talking over $100/month here! Does that even sound possible?

By the way, I assume you meant a Money Factor of .00175, instead of .0175.
:redface:

sorry, .00175 and larryn is right, as said in one of my previous posts, add .0003 for ED
it could be possible, I'm not sure exactly what numbers were you using. Also, remember to add to the invoice price the dealers profit, usually between 1000-1500. Let's do the math again and see

Like everyone said, it does make a difference when leasing the car with the ED prices

[ducati]

Wow, that is huge. Leasing may indeed be a good way to go. I had no idea the bank would use the USA MSRP to figure residual, that was a head-smacker "duh" moment

Irv, what mileage/yr do the above numbers represent?

I may just end up leasing our ED car (most likely a 3er, we'll probably buy our 1er inside the US).

[ducati]

Also, one Q: I believe I read the car must be paid for 30 days before ED date. I assume for a lease this means you start paying then... So BMWFS covers that 30 days before you leave, but not really any time on the boat. Am I correct on this?

Still, could be attractive.

[ibeam81]

Originally Posted by larryn

It costs $40 to join, and you get a great magazine (Roundel) for that, plus access to lots and lots of events.

Info on the member rewards program can be found here.

I've gotten $1500 from three cars so far. The good thing is that the dealership knows nothing of this, and you get this money totally separate from them.

If you do join, use me as a reference, please. My member number is 281334. :biggrin:

Thanks for the info. It sounds like a great org and the bennies are not bad either. I'll probably be joining and I'll be sure to use you as a reference. :roundel:

[vinazzurro]

/\ Ducati, I think BMW makes your second payment on a lease.

As for what mileage the numbers indicate, for as good as it is, that lease calculator doesn't let you factor it in, so I don't know what they had in mind (although I know you weren't asking me.) I had the same question.
:tongue:

As for a leasing being a good way to go, in one of the other threads, it was mentioned (and I don't know if it's true) that w/ the N54 engine, when/if the turbos and primary cats go, the engine has to actually be removed from the car in order for them to be replaced. Now... I don't know about you, but that freaks me out a little, as replacing any of those parts is going to run you some cash. With leasing, you're giving the car back (probably?) before any of that stuff goes (although the N54 is kinda too young to tell).


Good discussion, guys! :roundel:

[IrvRobinson2]

Originally Posted by ducati

Wow, that is huge. Leasing may indeed be a good way to go. I had no idea the bank would use the USA MSRP to figure residual, that was a head-smacker "duh" moment

Irv, what mileage/yr do the above numbers represent?

I may just end up leasing our ED car (most likely a 3er, we'll probably buy our 1er inside the US).

they are for the 15k, you can add 2% to Residual for 12k mi/yr and 3% for 10k mi/yr.

[IrvRobinson2]

Originally Posted by ducati

Also, one Q: I believe I read the car must be paid for 30 days before ED date. I assume for a lease this means you start paying then... So BMWFS covers that 30 days before you leave, but not really any time on the boat. Am I correct on this?

Still, could be attractive.

payment is required 14 days before pickup date, some dealer do push for 30 days.

BMWFS covers the second payment.

[IrvRobinson2]

Originally Posted by vinazzurro

/\ Ducati, I think BMW makes your second payment on a lease.

As for what mileage the numbers indicate, for as good as it is, that lease calculator doesn't let you factor it in, so I don't know what they had in mind (although I know you weren't asking me.) I had the same question.
:tongue:

As for a leasing being a good way to go, in one of the other threads, it was mentioned (and I don't know if it's true) that w/ the N54 engine, when/if the turbos and primary cats go, the engine has to actually be removed from the car in order for them to be replaced. Now... I don't know about you, but that freaks me out a little, as replacing any of those parts is going to run you some cash. With leasing, you're giving the car back (probably?) before any of that stuff goes (although the N54 is kinda too young to tell).


Good discussion, guys! :roundel:

actually for the lease calculator, you don't need to enter the mileage, you just need to have the corresponding MF and residual numbers.

[ducati]

Originally Posted by IrvRobinson

they are for the 15k, you can add 2% to Residual for 12k mi/yr and 3% for 10k mi/yr.

Thanks, Irv. That is really great. I figured a 328 at the same ballpark money factor/residual as the 335 you mentioned above, and it came out substantially less than the deals I've seen quoted around here, which are always 10k miles a year. 15k is comfortable.

I'll be giving you a ring in late 2008 when my wife will be buying her 3er ED... Or earlier if I decide to ED my 1er. I'm real anxious for an excuse to visit Munich again, LOL

[IrvRobinson2]

Originally Posted by ducati

Thanks, Irv. That is really great. I figured a 328 at the same ballpark money factor/residual as the 335 you mentioned above, and it came out substantially less than the deals I've seen quoted around here, which are always 10k miles a year. 15k is comfortable.

I'll be giving you a ring in late 2008 when my wife will be buying her 3er ED... Or earlier if I decide to ED my 1er. I'm real anxious for an excuse to visit Munich again, LOL

leases always seem to change from month to month and it's either a hit or a miss. A friend of mine has a simple rule: he prepares for the ED program around this time of the year, he sets a pick up date in December, he starts locking up rates now for 60 days, and then every month until december he waits it out to see what lease rates are coming up and then he locks it again. But, the trick in his plan, is that he ALWAYS buys an i car, either a coupe or a sedan, so in the winter, the lease rates are lower for this models and higher for the xi. If he buys it in the summer, he does the opposite :biggrin:

P.S I should write a little guide on that

and sure, whenever you're ready, you know how to find me. We'll talk more when the prices for the 1-series will be out

[ducati]

Makes sense. I worked for Land Rover for awhile, and we always had the least incentives in the winter :thumbup:

The only problem with a winter delivery is the small issue of summer tires and snow. They don't mix. Don't ask me how I know :redface:

[bradford]

Just to clarify, am I reading this correctly that the ED MSRPs *ARE* open to negotiation? This is different from some other ED programs (Volvo), who's ED pricing has a no-haggle, WYSYWYG policy.

Am I to assume that the ED pricing is a starting point that the dealers can deviate from?

If so, this could be good or bad, depending on demand. I was thinking of ED as a way to get around any crazy tacked-on dealer "market demand" surcharges on the 135i, if they occur.

[larryn]

Sure, they are up for negotiations. Don't let your dealership fool you into thinking otherwise.

[vinazzurro]

Does anybody know of a good way (outside of going dealer to dealer) of finding out which dealers in a given area are ED-friendly?

[larryn]

Originally Posted by vinazzurro

Does anybody know of a good way (outside of going dealer to dealer) of finding out which dealers in a given area are ED-friendly?

Bimmerfest has a sticky on their ED forum, I believe.

[vinazzurro]

Originally Posted by larryn

Bimmerfest has a sticky on their ED forum, I believe.

I didn't see a dealer-specific sticky over there, but there are a lot of other good threads.

Thanks!