2010 X5 35d LEASE ?????

[dok]

Hello ALL, This is my first post and I am very glad to have found and joined this excellent X community. I was hoping someone could clarify some leasing questions and creative solutions.

1. the lease offer for the 2009 lists a certain MSRP and mileage among other facts to define the lease deal with money down and monthly payments. Obvioously the exact match at a dealer for these vehicles as specified (ie. third row seats) has very low odds. I calculated the money factor to be 0.00102 or (2.45%) after dividing by 2400. is the lease offer only on that specific situation or should the money factor be applied to other less or more equiped vehicles just changing the final sell price and applying the money factor.

2. How much should the residuals change between 10k miles/yr and 15k miles/yr.

3. If the residual on the X5 is say 55% and one was inclined to pay a lease all up front. Please tell me if my calculations would be correct:

MSRP $70,625.00
Sell price $62,714.50
Residual 55% ($38,843.75)

$62,714.50 - $38,843.75= $23,870.75

$23,870.75 x 6%(tax) = $1432.25 + $23,870.75 = $25,303.00

If one paid the $25,303.00 up front then there should be no money factor as no money was borrowed and no further payments for term of lease. Am I correct in this statement.

Thank you for any and everyones time on these detailed questions. By the way does anyone have a list of the 2010 X5 35d residuals yet?

dok

[BGM]

My head is spinning from the lease arithmetic . PM B-Line he loves lease talk .

[Max Blast]

Originally Posted by BGM

My head is spinning from the lease arithmetic .

That's what the dealer's counting on.

[bigx5er]

For 2009, the residual is what you noted at 15K. I haven't seen the 2010 numbers yet.

You can add 2% for 12K and 3% for 10K miles.

Your calculation is off though (sorry). Prepaying saves the interest on the depreciation amount, but you still pay interest on the residual amount.

BMW should offer a different money factor for a prepay. The current 2009 money factor is 00250 (6%) and I'd guess the prepay is around .00170 (4.08%).

So I'm guessing your prepay would be around $31,800 (includes 6% tax)

[Max Blast]

Hey just a thought, with so many posts on how to negotiate an invoice -4000 deal, how bout a sticky for successful lease negotiations?
Admins?

[dok]

Thank you for the input everyone.
BigX5er awesome response tells me a lot. it's amazing the money to be made on a lease as we pay interest on the residual portion then they resell it again after turn in and charge interest to next buyer. The dealer mentioned to me about lowering the money factor by making security deposits... I understood that to mean you pay an agreed amount above the lease each month ($50-$100) and then BMW returns it to you at lease end??? sounds questionable to me but he said it would lower the money factor more significantly than a one pay lease surprisingly. Anyone know about this option.

dok