I currently have a 2004 525i (that i bought) I would like to trade in for a 2008 528i lease.

I am willing to put 3-4k down on it, and was wondering if you guys knew of any good deals out there.

I would like to pay the same I am paying currently which is in the low 500's



thnx guys!

 

For a variety of reasons, you should never put money down on a lease.

The worst reason is of course to put money down to keep a payment artificially low. That defies logic.

What you can do is use MSDs to your advantage.

 

What does MSD stand for?

 

Multiple Security Deposits. Lease Money Factor is reduced by .00007 for each additional Security Deposit (up to total of 7) put down at signing. You obviously get all the SDs back when you turn the car in so you are essentially letting BMWFS use your money for a few years in order to reduce your payments. I highly recommend it. Saved me $1000 over a 2 year lease.

 

One more thing, MSD vs down-payment:
If you total the car on an accident while leasing, down-payment is gone but BMWFS returns MSD to you (insurance covers the rest on both cases). It's OK if you have an accident on the last month of leasing but on the 1st month it could be big.

 

Umm... I could not agree more (obviously due to my situation... I did not put any money down, but if I did I would be even more frustrated)! Never, never, never put any money down on a lease. You should pay first payment, plus tax, tags, and title and nothing more. If you are not comfortable with the monthly payment, then lease something less expensive or you can lower the miles/year. BMW allows you to buy more miles prior to lease end and not pay any more for those miles if you would have declared those extra miles in the beginning of the lease. That being said, if you plan to drive more than 15K miles per year then I would move away from leasing toward purchasing a CPO BMW.
Good luck.

 

Thanks for this info. Very informative. So.... if I would have normally put a $2500 down payment on a lease, I would instead put $2500 towards a multiple deposit method. What is the maximum dollar amount allowed for EACH deposit? With $2500, how many deposits would that equal?

 

Depends on your monthly payment?