are they nuts !???! i just came from my local bmw dealer where i currently lease a 550i from i asked them about trading my car in for the m5 they said my payments would jump to $1,650.00 per month vs my current $856.00 monthly payment are they out of there minds??? for 10 grand down on a lease payment is $1,650 per month and the car is only $30,000 more Shit man !!!

 

There are likely a few things going on here...

1) M5 lease rates and residuals suck... a lot. The buy rate on 24 and 36 months is .0031 and the residuals are low (can't remember them off the top of my head.

So, that means that (depending on your sales tax rate) an M5 lease, at sticker, for a well-equipped car with $0 cap reduction is in the $1800 - $1900 range. 24mo and 36mo payments are actually pretty close to each other.

2) When you say trade in your 550i I'm assuming that you mean that your term isn't up and you are asking the dealer to buy the car. If that's the case then remember that the lease subsidies offered on the 550i were pretty good and that the car is depreciating like a rock. In other words, you are likely upside down and part of your $10K down is just to get you out of the 550.


So, no, they aren't out of their minds and I doubt that they are trying to screw you... that's just the reality of the market right now.

 

http://www.phillipsautoleasing.com

if they get your business I want them to give me a discounted lease! hahahaha No I'm not associated with them at all... just a place I've been looking at and considering for my next car.

 

hence why I'm can't get an M5 yet, I aint rolling in enough money to even lease the car!

 

i can afford it but dammm!!! for every 1000 bucks extra you put down it drops the monthly payments 25 bucks !

 

NO SHIT!

I was getting my recent 15k mile service and was approached by a salesman about my interest in a "close out" 2007 750Li, as they know I came from a 7 car and would like to get another. I told him to run the numbers to get out of my lease, as well as to acquire the 7 car.

He was very sheepish when he returned and told me it would cost me $14k to get out of the lease! Whatever!

 

I was told there was a program on 07 M5's when I got my 550...but they didn't have an smg.
the numbers were in the 1100-1200 range. They are killing you on your 550 lease termination.

 

the crazy thing is im actualy thinking about it ! this car better be worth it !!!! chime in boys is this car dammm freekin fast or what ?

 

hmm why not finish the lease, or wait a little longer for the m5 f-10 to come out!

 

Here's what I did....keep in mind this is Canada....so we pay through the nose.

New 2006 550i (in 2006): Cost new was $93k, residual after 3 years was $51, lease was $1,700/month (including 16%) tax

Used M5: 2 years old, 13,000km, extended warranty. New the car was $130k, used it was $89k - the lease residual is $54k (on a then 5 year old car). But they don't give cheap financing on "M" cars, but if you do a prepaid lease (one lump payment) you save a lot of interest so it is $46k plus tax, or $54k with tax to drive it for 36 months.

....so 54k divided by 36 months is $1,500.....actually cheaper than my 550 not considering whatever the interest you could earn on your money by not paying up front. Plus with the prepaid lease you can now have a "gas payment" every month instead of a car payment.

So the moral of the story is you can make it happen if you want to.....