Closed a deal on a 2009 BMW M5 today.. - Page 3

asawadude · #21 05-08-2009, 07:07 PM

Quote:

Originally Posted by B-Line

Thanks Mike..

Yes, I did get 12k miles a year. Also the money factor, you might be right. The dealer told me that the .00175 rate was only for customers with a BMWFS history (within the past year).

My bro didn't have a BMWFS relationship within the past 365 days so he didn't qualify. We could have bought down the rate with security deposit but it didn't seem to make much sense.

If they did up the MF a little bit to try to squeeze some margin, I wouldn't be surprised either. I tried to price shop the MF with a few other dealerships and Santa Monica was the lowest. Not saying we got the buy rate, but they told us we did for a non existing BMW customer.

With 12K, that's a damn good deal, Seth. Your brothers owes you big time.

Things must have gotten tighter since I left. The rule about being a current BMWFS lease customer is a stated rule, but definitely not etched in stone. I'll have to see what's happening with that.

I have some comments about MF and security deposits, but I gotta go watch the Laker game. I have to save it for another time.

Great deal though. When I look for my Porsche, I might have to call you to compare notes.

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4.6is Ryder · #22 05-08-2009, 07:28 PM

B....I knew you had some wheel and deal in you but DAMN....great deal. Funny thing....I was checking rates on a ///M6 yesterday and was told about the bmwfs customer deal. I've gotta get the CEO a new whip first, but I might bite on the ///M6 at the turn of the calendar. My only concern is the model change planned for 2010-11......got some thinking to do......Phil

B-Line · #23 05-08-2009, 08:57 PM

Quote:

Originally Posted by asawadude

With 12K, that's a damn good deal, Seth. Your brothers owes you big time.

I have some comments about MF and security deposits, but I gotta go watch the Laker game. I have to save it for another time.

Great deal though. When I look for my Porsche, I might have to call you to compare notes.

Nah, he doesn't owe me. He gets the pleasure of building my next house for me.. hehe.. We're business partners in a couple projects and our cars are business expenses, so really, even though the car is for him, the better the deal, the better it is for our company... I am the fleet manager, hehe.

I would love to hear your thoughts on MF and security deposits.. ALways wondered what the inside scoop was.. Please, fill me in.

And it would be my pleasure to help you with a Porsche. One of these days I should write an extended post on how I purchase.. My tips and tricks.. But really, no one would read it anyway.. lol..

B-Line · #24 05-08-2009, 08:59 PM

Quote:

Originally Posted by 4.6is Ryder

B....I knew you had some wheel and deal in you but DAMN....great deal. Funny thing....I was checking rates on a ///M6 yesterday and was told about the bmwfs customer deal. I've gotta get the CEO a new whip first, but I might bite on the ///M6 at the turn of the calendar. My only concern is the model change planned for 2010-11......got some thinking to do......Phil

Cool deal. I like the ///M6. I wouldn't be too concerned with new models coming out as it will probably be a long time. ANd when they first come out, who knows if the deals will be good, etc.
- I have my fingers crossed for a good deal on an X5M... But who knows if that will be a reality or not. You can also always do a shorter term lease. Yes, it will cost you more but at least you get in and out quick.. That's what I did with my 7 series..

If there's anything I can do to help, please let me know.

vinuneuro · #25 05-08-2009, 09:09 PM

Please do!

Quote:

Originally Posted by B-Line

One of these days I should write an extended post on how I purchase.. My tips and tricks..

4.6is Ryder · #26 05-08-2009, 09:29 PM

Quote:

Originally Posted by B-Line

Cool deal. I like the ///M6. I wouldn't be too concerned with new models coming out as it will probably be a long time. ANd when they first come out, who knows if the deals will be good, etc.
- I have my fingers crossed for a good deal on an X5M... But who knows if that will be a reality or not. You can also always do a shorter term lease. Yes, it will cost you more but at least you get in and out quick.. That's what I did with my 7 series..

If there's anything I can do to help, please let me know.

Yeah I've thought about a shorter term lease but I'll crunch the numbers and see where they land. And of course you know I will get with the resident negotiator if need "B"

............Phil

FSETH · #27 05-08-2009, 10:48 PM

Congrats on your bro's car! Nice choice.

By the way, I am going to have to look for threads or other info on leasing vs. buying, because I almost fell off the couch when I realized that the car was going to cost over $50,000 for only 3 years of ownership. I know ther are advantages to leasing if you are a business owner, but still. I just started a business of my own, so I am curious how it could work for me.

Anyway, don't mean to hyjack. Congrats to your brother. It sounds like he owes you a few days behind the wheel for all you efforts.

B-Line · #28 05-08-2009, 11:08 PM

FSeth, regardless if you lease it or buy it, that $50,000 is going to be spent. Depreciation is not something you can avoid with a new car. So ultimately you have to ask, how can I realize the LOWEST COST OF OWNERSHIP...

And assuming that:
- You turn cars over every 3-4 years
- Like a warranty
- Don't mod
- Don't mind being in contract

Leasing is cheaper than owning. Other people will argue with me but if you base the cost of ownership off the things I mentioned above.. Or unless you drive insane miles.. My numbers are correct.. Leasing costs less than financing... ASSUMING of course you lease the car well. If you don't "lease deal" your car correctly it can cost more.. But really, they are usually very similar in price. And I'd rather turn a car over every 3 years and get a new one for the same price of owning one and having to worry about the ownership and selling, etc.

FSETH · #29 05-08-2009, 11:30 PM

Quote:

Originally Posted by B-Line

FSeth, regardless if you lease it or buy it, that $50,000 is going to be spent. Depreciation is not something you can avoid with a new car. So ultimately you have to ask, how can I realize the LOWEST COST OF OWNERSHIP...

And assuming that:
- You turn cars over every 3-4 years
- Like a warranty
- Don't mod
- Don't mind being in contract

Leasing is cheaper than owning. Other people will argue with me but if you base the cost of ownership off the things I mentioned above.. Or unless you drive insane miles.. My numbers are correct.. Leasing costs less than financing... ASSUMING of course you lease the car well. If you don't "lease deal" your car correctly it can cost more.. But really, they are usually very similar in price. And I'd rather turn a car over every 3 years and get a new one for the same price of owning one and having to worry about the ownership and selling, etc.

You are right about taking a huge hit on depreciation if you buy new. What are the advantages of leasing over purchasing used, but still under warranty? For example, there is an 07 M5 with 22,000 miles listed for $56,000 in my area. That would leave about 2 years of typical driving worth of warranty and maintenance coverage for the new owner and it would seem to me that the financial hit would be significantly less than leasing. Granted, the car would not be brand new and if you can afford to buy/lease a new M5, it may not be worth the savings if it was used at all. I understand that not being brand new may be a deal breaker for some people, but the warranty would be in place for the majority of a 3 year ownership.

B-Line · #30 05-09-2009, 02:55 AM

It's a good question. But you need to understand your comparing apples to bananas.

You can't really lease a used car. So if we're comparing leasing a new car to financing a used car, that's as different an equation as renting an apt. and buying a condo.

You will always do better on a car deal when the first owner has taken the big depreciation hit. But on the other hand, if you have your own business, you might lease a car at a lower cost than financing a new one because of tax structures.

There is nothing wrong with buying a used car and financing it. Actually I encourage it unless you are trying to take advantage of business lease options.

And there is no comparison.. The cost of owning a used car will always be less than the cost of leasing a new car. The first driver always takes the biggest hit by far..

But here's the other side of the coin, why invest money in a depreciating asset? Unless you are going to hold the car for five plus years, why do you want to have equity in a car? Isn't the equity better invested in home? stock? 401k? bond? etc. Well, maybe not recently, but in the bigger picture it is. And then there is also the issue of liquidity. Have you ever tried to sell a used car? During a recession? Or during high gas prices? So there is also the cost of convenience. And I don't like owning BMW's off warranty. Their expensive to fix.

But the picture you are 100% right.. Cheaper to own a used car then lease a new car.

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