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Given the Way. . .
by cdnpinhead on Fri Sep 12 06:17:56 PDT 2008
BMW has been jacking up the price of leasing (lower residuals & higher MFs), while offering more financial incentives to those who buy, it wouldn't surprise me if they also became willing to negotiate at turn-in time. . .eventually. The only reason not to sell the car to someone who's been driving it for the last 3 years for more money than it would fetch otherwise is to encourage (force, really) a follow-on lease. Time will tell.
Re: 328i Convertible [stvroy]
by cdnpinhead on Sun Mar 02 13:55:56 PST 2008
Okay, now there's something to work with. The way I look at the acquisition fee markup is the same as I do the "documentation" fee. It's all added dealer markup and just as bogus as an ADM sticker that adds $1000 to the list price of the car. That said, many (if not most) mark up the acquisition fee, have hundreds of dollars in doc fees (or both). Normally the security deposit is the monthly payment rounded up to the next $50. The dealer you're working with seems to have worked out a payment between $750 & $800. Either that, or he's got a different approach to things. The money factor for either convertible (328 or 335) is 0.00275. Marking this up is another way to get more profit out of a deal, but going all the way up to 0.003 would certainly have me looking for a different store, especially combined with that $825 thing. You may already know your residuals, but for 36 months it's 59% for 15K a year, 61% for 12K and 62% for 10K. Also, the last I heard that $1500 thing was for the month of Feb only. There could be a little legitimate confusion over the MSD thing. I believe the rule is 7 additional deposits (plus the one you're required to pay unless you're turning in a BMW off-lease), for a total of 8. As you may already know, each additional security deposit lowers the MF by 0.00007. Some dealers are very happy to do an order & will give you a better deal on it. Others won't & it wouldn't surprise me if this dealer wasn't one of them. If you're willing to take a three-day weekend & fly to Germany, you can do European Delivery and save another 7%. If you have any kind of a European vacation planned, then you save the cost of a rental car as well. Lots of choices, but it's certainly nice to be in a position to make them. Enjoy. Sorry I came off as harsh as I did yesterday, but I'd much rather help someone who's already done a chunk of the work and/or has specific questions. Go to post #2137 for a few other odds & ends.

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