Beltfed

Seriously, this car leases out like a champ. My buddy just ordered one yesterday for $1300 over invoice. Options were Xenons, heated seats, leather, Sport package. Car comes with power seats and premium HK radio.

36 months, 15k miles/year, $3800 total out of pocket (1st, Sec, Bank Fee, Tax, $300 cap reduction). New York has an $800 Bank Fee, Acura I believe is $1k now....crazy. Should be cheaper in other States.

Anyway the car is $474/month and that's with 15k/year. If you can deal with 12k/year, you're talking $15-$20 cheaper per month. MSRP on the car was just about $40k.

The reason it leases so well is that it has a 58% residual and a .00100 standard rate through BMW (that's 2.4%).

Just thought I would pass that along, surprised me.

Zapata

that's a shit load of money to still have 20k left to pay the at the end of it.

Beltfed

That's the rule of thumb, don't buy a car at the end of a lease. Drive it, enjoy it, then give it back.

Zapata

yea sure but you're pissing away 4 grand out of pocket isn't chump change.

Beltfed

Not really, 1st payment is in there along with a refundable security deposit (which BMW always gives back without an issue). So that takes off about $1k right there. The COD is $3800 total, so you won't be getting back $2800 which makes up your tax and bank fee. Like I said also, most States should still have a $495 bank fee still in place.

Anyway you cut it, its a very fair lease deal given the car's MSRP.

Zapata

lease v. buy
hehhe


i just don't see blowing 20gs over three years and have nothing to show for it

Beltfed

Understandable, but for those that don't keep cars longer than 3 years leasing can be a great alternative to buying. Especially in cases like the 330 where the car leases out well. With cars that don't lease out well the advantage isn't as great.

After 3 years, what you will lose on resale will be fairly close to what you spent on the lease. You still have tax on a finance along with interest. To get at a $474 payment on a finance for a 330, you would have to put down about $10k give or take.

Granted, I'm not against buying......bought the Evo and the STi.

Crazy Bimmer

if he bought the car and sold it in 3 years then he would only get around 23k for it. So thats like losing 20k right there anyways.

Zapata

yea hehe guess it boils down to short term v. long term ownership

gto2050

What's the diff? It will lose that amount in value or use it and lease it. No worries. Some lease some buy, personal preference.

jriga

As a source inside this business I can tell you this:
It CAN be better to lease a depreciating asset than to OWN it. Infinitis have better residuals right now than BMW, and we still do alot of leasing to alot of people with alot of money - tells me there is a reason for it...

Also, that bank fee isn't bad - we're in Ohio and ours with Huntington is $795 - feels high, but they have the best residuals and money factors...

KavexTrax

hmm interesting point, with the interest rates as low as they are i guess the game has changed a bit, leasing could make economical sense just like how businesses lease copiers and other machines. Being stuck with dead weight in the long run is like managing a rising inventory cost, even though cost of ownership declines over time.

Zapata

welp....long term and short term ownership. Why would I dump a car after three years of ownership unless it was really shitty?

cusdaddy

I lease because I get bored of my cars rather quickly and I am a huge car enthusiast, so I like to drive the latest and greatest every 3 or so years. If I saw my car as an appliance, I'd keep it for years.

What I do may not be the best for saving $$, but I see car payments as an ongoing expense that I'll always have, so I just deal with it.

Chaptorial

Thats not a bad deal. And with 15k miles a year to throw around too.

gto2050

I do it every three years. No worries. I was always taught "If it rolls, floats, or flies, lease it!"

The only "rollers" I own are 2 Harley's, a 1996 Exploder with 109,000 miles and a 68 LeMans convertible with 244,000 miles on the odo.

Essarak Huot

I agree...

DISRUPTV

WOW!



thats an awesome deal...esp in comparison 2 what i was getting when i was looking for a used 00/01 ci....very nice...copngrats 2 ur friend beltfed and nice job in helping him get a sweet deal

123456SPEED

I was always against leasing, but I wonder with a 20-30% depreciation on the CLS for this first year, if it comes out even with leasing, why not avoid the hassle of selling a car that very few want to buy. I also would like to keep cars for less than 2-3 years now. I used to keep cars for 6-7 years but I think I've changed.
I guess I need to sit down and find some lease numbers and work out the details. In another year this CL will be worth maybe half it's original value. My 95 Legend Coupe was worth 35-40% of it's original value when it was 8 years old.

gto2050

Zackly!

dallison

i have learned to not buy new and never wanted to lease.
everything i buy is going to be used

fender4

I keep my 2 cars on the 10 year 200k plan but I have to buy a new car every five years (figure it out). My payments are done after 3 years. The next two years are down payments for the next car. It's alot cheaper this way but the cost of the new cars I buy seem to be 20% higher every five years. Buying a 3 lease return next time is very likely. A example is a 3 year old BMW 740 is going for 50% less than it was when new and most of them have only 30-45k miles on them.

PavDog

You can't really mod a lease vehicle tho.

Chaptorial

You can but everything has to be taken off at the end of the lease.

PavDog

been there, done that. no thanks.

GreenMonster

I'm thinking the same thing. I had my last car for 9 years (136K miles), and was able to save a nice down payment for the CLS.

I'll might buy used next time around. The CLS is my first new car (last one I bought w/ 14k miles on it), and I've really learned my lesson about depreciation on this one. The discontinuation of the CLS really hurts resale wise.

While I'd love to trade the CLS in on a 330 or C5 vette (heavily discounted now), I can't see taking a 10K hit on depreication on a 1 1/2 year old car. If I can get the dep. down to 3K a year after a couple of more years, I might make a move into something else.

The CLS is such a nice ride, that I might just drive it for 10 years/150K. It'll make a nice winter beater to complement a "summer only" car

Chaptorial

Yeah i agree. I couldn't see doing all that in a 3 year period. A waste IMO.

Beltfed

Mods wise on a leased car, I wouldn't go much further than things that can be taken off without an issue. Wheels, exhausts, intakes, springs (just leave in after lease is up, they're cheap) and minor items (ex. painted reflectors on an M3, no big deal).

Keep the oem parts, you can sell the aftermarket parts on ebay after the lease is up if so desired.

If you want to mod the crap out of the car with lots of engine and suspension work, maybe a body kit.....just buy it.

chef chris

It's not apples to apples, but the losses are very close when you factor in everything involved.

Right now, the average DECENT new auto is $30-$35K easy...add a reasonable amount for tax & you're in a $600 payment. Leasing a $40K car for under $500/mos with $3K down is awesome.

Type S Lady

Beltfed, that is a great lease deal!

darrinb

thats a great deal

i aint headin to the bimmer dealer unless its for an m3 though

pimpscls

damn thats pretty good