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Old 01-17-2011, 07:13 PM
Richard in NC Richard in NC is offline
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Join Date: Jul 2010
Location: Charlotte, NC
Posts: 391
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My dealers have always run the numbers several ways. For example, if the car is of value to the dealer, you buy out the lease at the residual value, and get the trade in value. If higher than the residual, you profit. They then profit from the used car sale.

For example, if a residual is $40k, the trade-in $42k, and a CPO dealer price of $49k, you buy it out, profit $2k from the trade, and they profit $7k from the used car.

The same thing can work if over mileage. If the over-mileage penalty is $3k but the trade-in is $39k you are better off to buy it out and loose the $1k in trade than to pay a $3k penalty.
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Richard
Sir Snaps-a-lot, 9 Time Dragon Slayer (54 runs!)
2011 X5 50i Alpine White, Biege Nappa /Lt Poplar M Sport
2009 Z4 35i, Black Sapphire/Ivory-Black/Anthracite

Gone but not forgotten: '08 550i, '06 X3, '06 650i, '02 M5, '99 540i
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