2011 BMW Lease Rates – August 2010

Published 2010/08/092010/08/17 by G

Update: I just came across a news paper advertisement stating that “no security deposit” is needed to lease a 3-series. That is great news because more often than not, you need a security deposit to secure the base rate. This is a good month for a 3-series! the offer expires August 31st! So don’t sleep on this if you are in the market for a 3-series.

My Take: Some of the 3-series money factors droppped this month, making the lease significantly cheaper. Not too much of a surprise there since the 3-series is their top selling model, so discounts usually happen on that lineup. The rest of the BMW line up’s lease rates have remained the same. If you need help with payment estimates, be sure to provide the necessary information in your comments (i.e. MSRP, Sale price, sales tax and any fees your dealer is charging). This information is crucial in order to get an accurate estimate so be sure to get that from your dealer.

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2010/2011 BMW Incentives

Lease rates provided by LeaseCompare.com

66 thoughts on “2011 BMW Lease Rates – August 2010”

Pchukwura on 2010/08/10

Thanks G
Could you calculate a 36month and 24 month 328i coupe lease?

MSRP: $37,075
Sales price:$34,500 (about $400 above invoice)
Tax: 8%
Doc fee: $599

Not sure what else is required for BMWFS(acquisition fee etc)

Thanks!

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G on 2010/08/10

36mo/15k per year
I estimate $502 per month (after sales tax). I rolled in the dealer doc fee and the bank acquisition of $725. So what’s due at signing would be your 1st month payment, dmv fees and state/county fees. That should be about a $1000 or so.

24mo/15k per year
The monthly payment jumps to $615 per month, same fees rolled in and your drive-off will be about the same (with the exception your 1st month payment being about $100 bucks more).

If you can live with slightly less miles per month, you can save about $32 bucks by going with the 12k miles per year lease on the 24mo lease and $21 on the 36mo lease. However, I think the sedan is the better deal since the money factor is significantly lower.

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Pchukwura on 2010/08/10

Awesome. Thanks a lot. I thought about the sedan but the coupe looks so much better and not as common as the sedan (even though it seems all BMWs are common in Atlanta) lol

I may pull the trigger this month finally, but part of me thinks they’ll have the usual $2000 or so rebate around the holidays. Then again the 2011s are very early this year.

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- G on 2010/08/11
  
  Pchukwura, i think this month isn’t too bad since they save the security deposit plus the MF for some models is still pretty good. Just be careful with BMWFS. They have this tendency of jacking up the MF when cash rebates are introduced, that way, they keep the monthly payments roughly the same as before.
  
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Moe on 2010/08/10

Hi G, thanks for all the helpful info on your page…
I am looking into leasing a 2011 BMW 528i in the next month or so. I was planning on something with an MSRP around $49,000 and trying to get $1,500 of the MSRP, with a down payment of $2,000 + fees. I am located in Southern California.
I was wondering if you can help me with some questions…
1) How much below MSRP do you think would be a good deal given the fact that this vehicle was just redesigned and not highly available on dealer lots?
2) I will likley be putting about 15k miles/year on the vehicle, but BMW apparently only charges a penny more if you buy the miles now or 4 months prior to lease end, do you think it’s wise to wait for lease end to pay for miles in case my commute becomes shorter or I decide to sell the car after the lease ends?
3) Is the residual value calculated off the MSRP or the sales price? and is it affected by the amount of miles I put on the car?
4) Does it make more sense to sell the car after the lease if I end up putting about 15k miles /year instead of buying the extra miles?

Thanks, appreciate all your help!

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- G on 2010/08/11
  
  Moe,
  1) $1500 sounds about the best you should expect. I would recommend maybe ordering the car from the factory if you are looking for something that’s hard to find. You can get a pretty cheap price, but you have to wait. BMWFS has also been known to lock in money factors from the time you order the car, so you don’t have to worry about the lease rates raising unexpectedly. They also allow you to take on the new lease rate (by the time your car comes in) if they are more attractive.
  
  2) It is usually wiser to buy the miles in advance if you know you will drive more than the 15k miles per year. If your commute becomes shorter, you probably won’t recoup the money you spent buying those extra miles even if you sell the car. If you sell privately, you may recover more of it than if you sold it as a trade-in. Another thing you could do is to lease the car at 15k per year and just buy the car if you exceed the miles. Then you can try selling it privately so you don’t lose too much money on the transaction.
  
  3) Residual values are calculated off the MSRP (which is a good thing). Mileage has a lot of to do with the final residual value, but that is an estimate. If you drive more than your contracted miles, you owe the bank money for going past the amount of miles you were supposed to, thus lowering the residual value of the car when you return it. You have to pay for devaluing the car because you drive too much basically.
  
  4) Depends. If you can sell it privately before your lease expires, then you might be able to break even or make a few bucks depending on the condition of the vehicle. All you have to do is call BMWFS and ask for the payoff amount, then make sure the buyer pays at least that much. There is a process you need to follow so you have to talk to BMWFS if you plan to sell the car before your lease ends.
  
  No problem. glad to help!!
  
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Martin Mead on 2010/08/11

have searched boards and get confusing info on money factor reduction for onepay
335d 36 mnth lease
10000m per year
residual 59%
onepay MF .00195 minus ?
have seen -0005 to -0008
what is correct ?
need answer as picking car up Sat.

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- G on 2010/08/11
  
  you might want to ask a couple dealers if you can’t get a straight answer. I personally do not know what the discount is the onepay program. I don’t have a contact over at BMW anymore (he’s no longer there), so no way for me to know.
  
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BT on 2010/08/12

I believe the rates are about 7% higher if the “no security deposit” option is chosen. Also, there is credit for the standard auto transmission of $1305 available.

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jpg on 2010/08/12

What sort of residuals and money factors apply to 2010 leases on 335i coupe or 335xi coupe?

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- G on 2010/08/13
  
  I don’t think 2010 are openly published anymore since the 2011s are out. you may need to ask a couple dealers.
  
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jpg on 2010/08/13

Ended up getting 2011 335XI

MSRP 56,450

Sale Price $51,055

10K miles per year

64% residual

.0021 MF

Thoughts on whether this was a good deal or not?

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- G on 2010/08/13
  
  jpg, no complaints here as far as the sale price goes. That’s a pretty solid $1300 below factory invoice. I think it’s a good lease, not a great one (due to a high money factor), but a good one. My guess is that your payments are around the low-$600s after taxes and inceptions?
  
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jonathon on 2010/08/13

I just signed a deal to lease a 2011 328xi with auto transmission, premium package as follows:
MSRP $40,050
Sell Price $37,200
Bank fee to be included in lease $725
36 months
10k miles
residual 64%
money factor .00125
Monthly payment of $421 plus 6% tax = $446
Up-front: 1st month $446 plus dealer fee of $423 plus registration of $160 = $1,029

I think I got a very good deal. Hope this info helps others.

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- G on 2010/08/16
  
  looks good jonathan! I think the numbers are quite attractive on the 328s right now. You did well!
  
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jpg on 2010/08/13

Unfortunately I live in IL (7.25%) so I have to pay a full sales tax bill which puts the # at $702 per month if I calculated right. Dealer actually quoted me 740 based on the #s I provided to you and I made the rookie mistake of making quick work of it. Luckily I do not take delivery on the vehicle until the end of the month and did not sign any of the leasing paperwork (beyond an order) so I am confident I can clear up the discrepancy. What are your thoughts about straightening out a price issue like this?

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- G on 2010/08/16
  
  @jpg. I have the payments at around $597 before taxes and inception fees are rolled into the lease. You’d have to roll in around $4500 (fees and taxes) into the lease to get to a $740 monthly payment, so make sure you have the dealer breakdown the numbers for you. The best way to clear things up is to have the dealer itemize everything that’s going into the lease. Ask to see their worksheet. Get a printout. That shouldn’t be too hard to do if they have nothing to hide.
  
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jpg on 2010/08/16

Spoke with the dealer and I missed including inception in the costs.

MSRP 56450
Sale Price 51055
MF .0021
Residual 64%
IL Tax 7.25%
Inception 925

Overall I feel good about the deal. Between the info you provided and truecar.com I went into the dealership well informed and left in < 45 mins.

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Mark on 2010/08/16

Hi – is the residual a percentage (in the tables listed above) of the MSRP or the negotiated sale price?

Thanks,

Mark

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- G on 2010/08/16
  
  the residual is off the MSRP. Add 2% for 12k and 3% for 10k miles per year.
  
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Nicole on 2010/08/16

what should my payment be
36 mos/ 10k per year
msrp 44100
invoice 40615 +300 adv and 200 training
agreed profit 357
sale price 41472
upfront items
tax at 8.875%
gas= 45
tire tax= 10
nys inspection= 10
dealer fee= 75

if i am understanding the new program, there is no security dep.?
interest rate shoud be .00125 and the residual for 10k should be 64%

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Nicole on 2010/08/16

btw it is a 2011 328xi sedan 🙂

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Nicole on 2010/08/16

woops and the bank fee upfront, 725

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G on 2010/08/16

Hi Nicole! thanks for the numbers. It looks like you are looking at around $470 per month before taxes. Since you are in NY, you will probably pay your taxes upfront (approximately $3,160) and whats due at signing in addition to your 1st month payment plus dmv fees (tags).
What I did was roll-in your fees to keep your inception fees lower. You could essentially pay those up front along with your sales taxes.
NY taxes are a bit tricky and I am not too familiar with it. All I know is most people pay it upfront and for those who don’t, they get hit with a finance charge on those taxes.
Hope this helps!

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Mark on 2010/08/18

Hi G –

Thanks for the site – it’s a big help-

2 questions:

1) Is the 59% residual for 15k miles (2011 BMW 335xi sedan) set in stone? Can the dealership offer a higher residual if they want to? The reason for my question is that I see deals posted here and elsewhere from other folks that mention 61-62% for 15k miles and I can’t see how they get there.

2). I’m looking at a deal for a 335xi sedan with:
Msrp 54450
Invoice 50450
Purchase price of 50950
Mf 0.0016
Resid 59%
36 mo 15 k miles

And wondering how much cash up front I’ll need to keep the payments in the $560 range. I could back up to 12k miles if I had to, but would rather not….

Thanks!

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- G on 2010/08/19
  
  Mark, here are my answers for your questions…
  
  1) the residual value is set in stone if you are financing through BMWFS. If you use another bank, it still be set in stone, but it might be different than what BMWFS is quoting. You can alter the residual by option for less miles (12k adds 2% and 10k adds 3% to the published residuals).
  
  2) You want to pay only your inception fees upfront. That would be your 1st month payment, dmv fees, county/state fees, bank acquisition and dealer documentation fee. That usually amounts to about $1500-$2000 on cars around your price range. Some dealers charge training and MACO, those numbers are basically advertising fees BMW passes on to dealers and the dealers pass on to you. Some folks have managed to get them waived, some others have had a tougher time with that.
  
  From the looks of it, you will need almost $7000 i order to make the payments around $560 per month. About $2000 will probably go to your fees and the remaining $5000 towards cap cost reduction. The downside to putting so much money down is that in the event you get your car stolen or its totalled in a car accident, you probably won’t see much of that $7000 back from your insurance.
  
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Mark on 2010/08/18

Taxes are 6.5% -forgot

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Jeff on 2010/08/18

Where are you getting your residual values and money factors. Just priced a 2011 328i convertible with an MSRP of 53565 on lease compare. They are showing a residual value of 32,139 which is 60% while you have 63%. Also they are showing a payment of 720/month which means a money factor of .00224 vs your base of .0018. Just curious where the differences are coming from. Thanks.

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- G on 2010/08/19
  
  jeff, leasecompare doesn’t use factory lease rates. They have deals with other banks.
  
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Jeff on 2010/08/19

ok, i guess i was just confused because at the bottom of all the rates you have “lease rates provided by LeaseCompare.com”. Could you run a lease for me:

2011 328i Convertible
MSRP 53565
Selling Price 50325
I will pay taxes at signing. I am showing a payment of 633.30 including the 725 lease acquisition fee for a 36month/45k mile lease Am I correct?

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G on 2010/08/19

$633.30 is correct. You still need to apply your taxes and the usual inception fees. If you don’t roll those into your lease, you will have to pay it upfront. Some states handles taxes differently, so you need to consult your dealer on that part. The inception fees should be pretty standard though. Usually your 1st month, dealer doc, bank fee (which you rolled into your lease loan), dmv fees and any applicable state/county fee. In some occasions, you may be asked to pay for advertising fees such as training and MACO which the factory passes on to the dealers (and they pass on to you, sometimes).

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Mark on 2010/08/20

Actually, I was pretty surprised that they want to talk about it. I might have to slide back to 12k miles per year to get the residual up, but it seems like they might be willing to further discount the sale price to absorb some of the fees on their end and keep the monthly payment where I want it… I think there must be some substantial factory cash or somerhing in play here that maybe i don’t know about? Should know today one way or the other!

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- G on 2010/08/20
  
  it is possible that the dealer cost is much lower than the sale price, so they have more room to make a sale. good luck with the negotiations though, let me know how it goes.
  
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Curtis on 2010/08/20

Hi G
Thanks for doing what you do here. I hope you can help me figure out what kind of monthly rate I should be getting for a 2011 BMW 328i coupe, 36 month lease, 10k miles/year. I’m going to give you a bunch of numbers that I’ve been quoted. Use what you need, ignore the rest. Please let me know where I can negotiate to get a lower rate.

Security deposit: 600
Initial license fees: 517
Acquisition fee: 725
First monthly payment: 500 (give or take)
MSRP: 41600
Sales price: 39250
Internet fee: 300
MACO: 400
Sales/training fee: 200
CA tax rate: 9.25%

My plan is to pay the security, license, acquisition and first monthly up front.

Full disclosure: I’ve already ordered this car and it’s supposed to be delivered on 9/12. I hear that the current money factor and security deposit discount on the coupe is set until 9/6. I gave the dealer $1000 to order the car back in June but at that time, the MF I was quoted was much higher than the current MF which I hear is .00185. The monthly rate I was given back in June was $562 but I was promised that if the money factor dropped, I would get the lower rate.

I’ve got a meeting with the dealer tomorrow so I would really appreciate some guidance here. Thanks.

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- G on 2010/08/20
  
  Glad to hear from you Curtis.
  Wow, you have a lot of fees there. I have heard of MACO and Training. I have also heard of people getting one of both waived. Don’t say “oh can you waive that?” because the answer will more than likely be “No”. Just try to point out to the dealer that the fee is bogus and you refuse to pay it. Remember, you can still back out of the deal and take your $1000 back since you haven’t signed any lease papers yet (and i would keep it that way until the very end).
  
  The Internet fee is crap. I have not heard of any other dealer charging that. What about dealer doc fee? Thats usually around 45-55 bucks in CA. License fees sound about right since it’s coming from the DMV and it’s kinda pricey in CA.
  
  Security deposits are supposed to be waived this month, not sure if it next month though. But that’s according to their current promotion on the 328i (not sure if it applies to the coupe, so ask the dealer about that).
  
  I like the sale price of the car, its actually pretty good, I think you can do better on the fees, though. Assuming you get the Internet fee waived and at least the Training fee waived. Here’s what you are looking at monthly.
  
  MSRP 41600
  Sale 39250
  Cap Cost 39650 (plus MACO)
  Monthly $517
  Due at signing $2359, should you choose for the dealer to apply your $1000 credit, then your out of pocket should be $1359.
  
  There is a margin of error in this calculation of around $5 or so, so as long as you are within a reasonable ballpark, then you should be alright. The state charges taxes on almost every single fee and cap cost reduction, so depending on how the dealer manipulates the numbers, my estimates will vary.
  
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supercharger on 2010/08/20

G:

I noticed the residuals seem high. Is BMW playing the dangerous game of inflated residuals again in order to move cars?

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- G on 2010/08/20
  
  yup. I think BMW is inflating the numbers back up again. For the 2010 model year, BMWFS brought down the residuals to reflect the market. That made their cars a bit tougher to move so they threw some money at it. But they also jacked up the money factor, so there wasn’t much of a drop in payments. Now they are jacking up the residual and dropping the mf on some of their cars so they can move them. I don’t think they are going to do it on their higher margin cars, but do see them doing it mostly on the 3-series since it’s like their bread and butter.
  
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JJF on 2010/08/21

Hi,

I know this question can be a difficult one, but if one wants to keep their car 4-5 years, is it better to lease or buy?

Thanks!

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- G on 2010/08/21
  
  You buy. In the long term, lease becomes a lot more expensive than buying. Leasing is best for people who own businesses, can’t keep a car longer than 3 years or prefer to drive cars that are always under warranty. There are other examples, but those are generally the reasons why people lease. If you keep cars 5 to 6+ years, buying makes more financial sense.
  
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JJF on 2010/08/22

Thanks. My current 335xi lease is ending in November and I have a balloon payment at the end as a buyout option. A salesman tells me that BMW actually ADDS to the ballon amount as an `incentive’ to get you to buy new. If, this is true, seems a violation of contract law. Ever heard of this?

TIA

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- G on 2010/08/23
  
  JJF, I haven’t heard of dealers inflating the residual after the contract is signed. That seems sort of illegal. However, I do know that dealers will impose a “disposition fee” at lease end, which is perfectly legal. You don’t really want to buy BMW at lease end because they have residual values that are higher than usual. Not to mention the fact that their money factors are generally very high. The best cars to buy at lease end are the ones with low residual value and low money factor because the buyout price at lease end is much lower since most of your money is going towards the “principal” instead of the interest. For more information on “Lease-To-Buy”, check out this article.
  
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Jon on 2010/08/25

G,

Thanks for all your help in the past. I posted my 2010 Honda Accord EX-L V6 w/ Nav on July’s Round Up.

Now, armed with your website, I am trying to help my friend lease a 2011 335xi Coupe. His current BMW lease expires in October. If he leases now, will they buy out his current lease or waive the disposition fee ($350)?

We’re looking to lease the following on a 36/12 lease:

2011 335xi AWD Coupe w/ MT (Manual Trans)
Options: Cold Weather Package, Satellite Radio, Anti-Theft Alarm

MSRP w/ options: $46,925
TrueCar Sale Price: $42,390 (includes $1840 Cash to Customer Incentive on AWD models)
Acquisition Fee: $725
Security Deposit: $500 (is this not waived on the 335s this month??)
Wisconsin Title=$69 and Registration=$75:
Tax: 5.6%
Residual: 63%
MF: .00210

What other fees am I missing? Not sure what the dealer doc fee is from a Wisconsin BMW dealership. Thanks again for your help.

Jon

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- G on 2010/08/26
  
  your welcome Jon!
  From my understanding, they don’t waive the disposition fee normally. You could negotiate it (since it’s not a lot) as part of getting back into another BMW. The same thing applies to the security deposit. This month’s security deposit waiver seems to only apply to the 328, so your friends is probably out of luck on that one. Either way, the deposit is just that, a deposit. Your friend should be getting his deposit back from his previous lease and can apply it to the new one.
  You may be faced with the infamous MACO/Training fees, which seems to be popping up quite frequently in BMWFS leases. I think the MACO is advertising, but to this day, I am still unsure as to what the Training is for. That is around 400 for MACO and 200 for Training.
  Dealer doc fee is pure profit. In the past, dealers were more willing to waive it to make a sale, but nowadays, I find that they are less likely to give it up. I would advice factoring these fees into your negotiation and trying to knock it off the sale price to keep negotiations simpler. Other than these fees, you may have county/state fees that shouldn’t amount to anything too significant.
  
  If you can get this price and pay all of your fees up front, you’d be looking at a $535 per month deal with taxes, which is pretty good for what you are getting.
  
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Mo on 2010/08/25

G,

I wanted to take advantage of the low money factor and decrease it further by applying MSDs, but MSDs are unacceptable in NY. I know NJ across the border allows them, if I were lease it there, what are the implications of transferring back to NY? I’m also unsure of what the exact necessary steps would be to get this done.

Thanks,
Mo

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- G on 2010/08/26
  
  Mo, buying it in NJ probably won’t do much for you because leases are based on where you live, not where you lease from. Unless you have a NJ address where you can set as your primary address, any restrictions you have in NY will still apply even if you lease in NJ.
  
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Pchukwura on 2010/08/26

Looks like this post is rather popular. After all that hoopla I actually ended up purchasing a CPO 328i coupe well equipped. I was close to getting a 2011 instead but after being over in miles on my last 3 leases I decided to go the CPO route.

Thanks again G

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- G on 2010/08/26
  
  good move P. I think that a CPO is a great idea if you have the tendency of using more miles that you are contracted for. If you get a chance, shoot me some pics of your ride! Would love to see it. You can email the pics to me at thewall(at)ridewithg.com
  
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Pchukwura on 2010/08/27

Sure not a problem…you should have mail in a few minutes!

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ac on 2010/08/28

G-

Here’s the deal I’m working on a 2011 335i Sedan:

MSRP: $48,725
Sale price: $45,830 (500 above invoice)
Down payment: $0
Security deposit: $0
Residual: 61%
MF: 0.00145
Term: 36 Months

(Note the dealer quoted me a residual that’s two points higher than the one you have listed.)

Monthly payment ends up being about $611 with CA tax.

I feel good about this deal — what do you think?

Also a question: the national add for 335 lease offer includes a “dealer contribution” of $1754, to bring the cap cost down. My dealer tells me there’s no way he can get that for me, since the sale price is so low. My gut tells me I’m not going to get the low sale price AND the dealer contribution… what do you think? Should I push it?

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G on 2010/08/28

In CA $500 over invoice is about as low as they are selling the 335i it seems. $500 over invoice has been the norm for BMWs for the past year, so I don’t think there’s a lot of wiggle-room there. As long as the dealer isn’t charging you for the MACO/Training garbage, you actually might be in a good shape.

I think the deal is probably for a 12k mile per year allowance, so double check. That could explain the 2% increase in residual value. Overall, the deal is good, money factor is decent and residual is high. No security deposit is a win as well.

I did a quick number crunch and the 611 checks out. You just gotta pay for the 1st month, bank fee, dealer fee, dmv and state/county fees. That should be roughly $2k.

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JoeJones on 2010/08/29

G–

This is a great website. Very helpful information all is one place. I have a question that I hope you can answer. I am getting a 535i x drive. Dealer here in KY tells me they are marking up the BMW “buy rate” money factor and building some profit into the deal on the financing. They say they are non-negotiable on this. Is this legit? It results in MF going from .0023 to .0027. Should this be negotiable? Any advice appreciated. Thanks.

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- G on 2010/08/30
  
  Joe, as BT was saying, it is quite surprising to hear that the dealer would admit to profiting on the financing end of your deal. That’s pretty rare. They may be non-negotiable on this, but it doesn’t mean it isn’t negotiable. This is perfectly legal, but I wouldn’t never do business with dealers that pad the money factor. I would recommend looking for another dealer if possible. If that doesn’t work, you may want to think about putting Multiple Security Deposits (MSDs) in order to lower the money factor. Overall, I think .0023 ir .0027 is just way too high to lease. You can find out the APR by multiplying the MF by 2400. In this case, you are paying 6.48%. You might as well buy a CPO.
  
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BT on 2010/08/29

I think there is a certain amount that they are allowed to mark it up. Someone else can probably answer that. What’s amazing is that they are so honest about the fact that they are making money on the financing. I guess it depend on how much they are discounting off the MSRP. Most dealers will not admit that they are marking up the MF until you force them to.

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ac on 2010/08/29

G-

Thanks. You’re right — the residual quoted is for the 12k mileage allowance, which is what I wanted. Here’s the drive off cost:

– $611 first payment
– $795 acq fee
– $349 doc fee
– $50 tax on the acq fee
Total: $1805

(I’m buying the car out of state — long story — so I’ll have to pay DMV costs separately.)

Thanks a million for your help — I couldn’t have done it without this website.

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- G on 2010/08/30
  
  ac,
  wow the dealer doc fee is high! In CA, it should be around $45/$55 at most since it’s capped. Well, if it’s a long story, then there must be a very good reason why you are getting the car out of state. Glad you were able to find what you were looking for. Don’t forget some to send me some pics my way once you get it!!
  
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Ken on 2010/08/30

Hey G,

Here are my specs:

2011 M3 coupe
36mo/10k miles
msrp 73,525 including dest. and gas guzzler
neg price of 68,690
total cap cost reduction of 2,500 including sec. deposit and title/tags/first month payment
NC tax= 3%

What payments should I looking at?
I would like to be in the 840/month range. Any suggestions?

Thanks.

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G on 2010/08/30

Ken,
You are looking at approximately $912 after tax assuming you pay off all inception fees, which should be around the $2500 ballpark, maybe a little more depending on what fees the dealers charge. (i.e. Dealer Doc, MACO, Training, Security Deposit, etc…).
It looks like the dealer is doing the standard $500 over factory invoice pricing here. Which in most cases, it’s a pretty fair price.To get the payments down to $840, you would have to ask the dealer to drop the price another $2600. That would put the sale price at $66300, which is $200 less than the actual dealer cost (according to TrueCar.com). I don’t think the dealer will lease you a car at a loss. Now if you were talking $840+tax or around $865 a month, that might be possible with a combination of further discounts from the sale price and Multiple Security Deposits. But in my opinion, I don’t think the dealer will come down too much more from the current sale price.

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BT on 2010/08/30

This may vary by state, but i have been told by both BMW and MB dealers that the manufacturer requires them to roll the bank fee in and that I could pay that amount as cap reduction, which should make it a wash anyway. Has anyone else been told this?

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Jon on 2010/08/31

G,

Done done it again!

I just helped close the deal on a lease for my friend. Here are the details. Thoughts?

36/12 Lease on a 2011 335xi AWD 6MT Sedan
MSRP: $44,875 (with options)
Sale Price: $41,000 (includes $1840 AWD Cash to Customer Incentive)
Acquisition Fee: $725
Cap Cost: $41,725

Residual: 61%
MF: .001797

Tax: 5.6%
Title: $69.50
License: $0 (Transferring Plates which saved $95.00)
Dealer Doc Fee: $50

Monthly Payment: $552.10
Due at Signing: $671.60 ($552.10 First Payment + $50 Doc Fee & $69.50 Title Fee)

NO DOWNPAYMENT
NO SECURITY DESPOSIT
NO MACO FEE
NO TRAINING FEE

Deal Rating = 1.17

Could it be better? Possibly… a slightly lower sale price and MF would sweeten the deal rating, but we felt good on the deal because my friend was barely paying any cash at inception besides the first month’s payment and two minimal fees. By comparison, his previous 36/15 lease on a base 2007 328xi Coupe was $650/month with close to $2500 due at inception.

Both dealers that we worked with stated that the MF was .001797 instead of .00160. We tried to get this lowered to .00160 but didn’t have any luck.

This is the 2nd lease deal I’ve done in the past month. Before that, I’ve never leased.

Some words of advice, which I think have been expressed here before:
1) Always wait till the end of a month to begin negotiations on a deal. Dealers need to move cars and meet their quotas. End of August/Labor Day seems to be a really good time to close a deal – tons of sales, incentives, etc.
2) Check for incentives on http://www.edmunds.com. There was/is an $1840 BMW Cash to Customer incentive on all AWD models. Make sure to take advantage of these when negotiating your sale price. Do NOT lease off MSRP. That’s what all those advertised lease deals are structured on. Negotiate a sale price as if buying.
3) Use http://www.truecar.com as a negotiating tool for sales prices and leverage. This website is awesome. Even if there isn’t a dealer in your area that is http://www.truecar.com certified, you can still see if other dealers will beat or match that no haggle sales price.
4) Email multiple dealers and use their offers against each other. This works great for areas with multiple dealerships of the same car manufacturer. (i.e. Chicago area BMW dealerships)
5) Have the dealer email you the lease worksheet and use G’s lease calculator – it’s an invaluable tool – to double check the numbers.

Thanks again, G! I check your site everyday and look forward to my next lease in 3 years.

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- G on 2010/09/01
  
  Thanks for getting back Jon! Excellent breakdown! No MACO and Training is a WIN! For those still wondering if you should pay it, now you know that you don’t. Waiting for the end of the month is always a smart move. Again, excellent feedback. Greatly appreciate it!
  
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Ken on 2010/08/31

Hey G, thanks for the info. One more quick question before I sign- how much lower does each msd make my Payments? I’m planning to do maybe 3 or 4. Thanks.

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- G on 2010/09/01
  
  Ken, I believe it’s .00007 per Security Deposit. So that would be a reduction of 0.00028 if you go with 4 MSDs. That’s about a 0.672% interest rate reduction. Not too bad.
  
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clinton on 2010/09/02

Do you happen to know what the MF and residual would be on a ’10 328xi sedan with 36 months and 15K/year?

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- G on 2010/09/07
  
  clinton, since the 2011 are out, I no longer get 2010 numbers.
  
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BT on 2010/09/03

My local dealer said that they did not participate in MACO and that training was already in the invoice price that we see. So maybe those that are able to get the fee waived are from dealers who are pocketing this fee anyway.

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RIDE with G

For those who lease cars

2011 BMW Lease Rates – August 2010

66 thoughts on “2011 BMW Lease Rates – August 2010”

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