[fizzerd]

Thinking of returning and then buying back my lease. Does any one have experience with this?

[nospleeny]

I just bought out my lease. Painless process. You can ask BMW Financial for a buyout quote (from today) and they'll gladly give you it.

What kind of question you have?

[fizzerd]

Originally Posted by nospleeny

I just bought out my lease. Painless process. You can ask BMW Financial for a buyout quote (from today) and they'll gladly give you it.

What kind of question you have?

What do you mean a quote? I already know the residual and I found that BMWFS does not negotiate this. Did you negotiate with BMWFS or you got a quote because you bought it out before your lease term ended? My issue is I would like to buy it out but I dont want to pay the RV as the car is not worth as much. The value is even lower considering that I had an accident..

[skiingmav]

My salesman said I could return the car to them and after they certified it they would sell it back to me for my buyout price plus a really tiny increase. Not bad for the added warrenty. It costs the dealership about $1500 to certify the car.

[nospleeny]

I bought my car out early. My lease is up in Feb 2011 but I decided to just get it now. It actually saved quite a bit when I added up the remaining payments + residual relative to the $$ buyout for Sept 2010.

I was told that I couldn't just give it back to the dealership to have them certify as leased vehicles go to auction and could be picked up by another dealership. ie. your car could end up being in Nova Scotia if you're in Ontairo.

[fizzerd]

Originally Posted by nospleeny

I bought my car out early. My lease is up in Feb 2011 but I decided to just get it now. It actually saved quite a bit when I added up the remaining payments + residual relative to the $$ buyout for Sept 2010.

I was told that I couldn't just give it back to the dealership to have them certify as leased vehicles go to auction and could be picked up by another dealership. ie. your car could end up being in Nova Scotia if you're in Ontairo.

Thats what I know from my research. I have been thinking I should let it go to auction and then search for it once some dealer buys it there.. Any idea how long this takes from lease return to newdealer lot?

Originally Posted by skiingmav

My salesman said I could return the car to them and after they certified it they would sell it back to me for my buyout price plus a really tiny increase. Not bad for the added warrenty. It costs the dealership about $1500 to certify the car.

Youre in US!

[nospleeny]

I don't think it usually takes long to get to auction. Time == Money, so they want that car auctioned and sold ASAP!

That being said, what if your car ends up on the other side of the country? Are you willing to pick it up still? What if a private dealer bought it (ie. not BMW dealer, which is possible!)? What if it costs more? --- I think the logistics of getting the same car back could prove cumbersome, not to mention the gamble on extra costs and paying a higher price than your residual.

For example, my car goes for about $44000 + taxes with the same mileage, specs, and year on Autotrader from BMW dealership used car lots. My residual and buyout came to be $41512 taxes included (paid this Sept 15th). So I figure I've saved money!

[swifty]

Hey fizz,
I had a 2008 335i and the lease was due this past June. I called up my dealer few weeks before and told 'em I wanted to buy my car out but I wanted it CPO'd and we worked out a deal. It was more than $1500 (think $2800 to 3000) the U.S. member received but yes, it's possible in Canada. You just have to get in contact with the sales or preowned manager at the dealership you got your car from. Or speak to your sales guy and he'll direct you to the right person and they will send you a quote with cost of the certification added (i'm sure they get a piece of it). At the end, I just decided to go with a new car tho cuz it wasn't worth the buy back.

-Question for Nospleeny:
When you say you bought your car out recently before lease was up, do you mean you paid off the rest of the lease up front plus buyback or where you able to switch to financing the car, based on sept. finance rate?

[nospleeny]

Originally Posted by swifty

Hey fizz,
I had a 2008 335i and the lease was due this past June. I called up my dealer few weeks before and told 'em I wanted to buy my car out but I wanted it CPO'd and we worked out a deal. It was more than $1500 (think $2800 to 3000) the U.S. member received but yes, it's possible in Canada. You just have to get in contact with the sales or preowned manager at the dealership you got your car from. Or speak to your sales guy and he'll direct you to the right person and they will send you a quote with cost of the certification added (i'm sure they get a piece of it). At the end, I just decided to go with a new car tho cuz it wasn't worth the buy back.

-Question for Nospleeny:
When you say you bought your car out recently before lease was up, do you mean you paid off the rest of the lease up front plus buyback or where you able to switch to financing the car, based on sept. finance rate?

Just a comment on the first part: I agree, it's not worth the buy back... but it's only not worth it if you go CPO. If the dealership could sell your vehicle (lets use my case) for $44000 + taxes but my residual is $36000, and my lease expiry date is Feb 2011, I highly doubt the market value will fall $8000 in the 5 remaining months. Even if it did, I don't think they'd be willing to sell to me at $36000 + $2000 CPO fee, $38000ish when the car could easily go for more. Therefore, just for the CPO, it's not worth paying the extra cost. I figured at this point, I've saved $6000. $6000 for repairs is a lot of money. Unless something catastrophic has happened...! lol

For my part: I had 4 remaining payments + the residual value to buy out the car. So yes, I did pay off the remaining portion to own the vehicle. I didn't use BMW Financing because they said if you wish to refinance the remainder of the vehicle through them, it would be treated as a "used" car and therefore subject to a (current) rate of 6.9% - 8.9%. So I took the title of the vehicle and refinanced the remaining buyout of $40000ish after taxes with my bank. (as an employee of a bank, we get prime of course lol, so it makes more sense just to do a secured employee loan)

[swifty]

Hey, I just meant it wasn't worth it for me. My lease rate when I got it was something like 6.7% and after doing all the calculations I would have paid about $84000 for the car. Plus certified or not the car had too many issues.

[nospleeny]

Ohhh! Mine was 6.9% lease rate. So I wanted out of that ASAP! So I bought it out 5 months early.

My car has had no problems; but if I was in your situation and had lots of problems and issues, I wouldn't have kept it too! So I understand what you mean.

[fizzerd]

Originally Posted by nospleeny

I don't think it usually takes long to get to auction. Time == Money, so they want that car auctioned and sold ASAP!

That being said, what if your car ends up on the other side of the country? Are you willing to pick it up still? What if a private dealer bought it (ie. not BMW dealer, which is possible!)? What if it costs more? --- I think the logistics of getting the same car back could prove cumbersome, not to mention the gamble on extra costs and paying a higher price than your residual.

For example, my car goes for about $44000 + taxes with the same mileage, specs, and year on Autotrader from BMW dealership used car lots. My residual and buyout came to be $41512 taxes included (paid this Sept 15th). So I figure I've saved money!

I looked through BMW's certified inventory and cars equivalent to mine in terms of mileage and specs are about 5-6k over my residual. So maybe its better to buy it out. Anyone know about the financing rates?

ALSO my car did have an accident and the repairs cost $10k so I guess the value is even lower. But is it worth it to buy this car back from BMW and just keep driving it until its done OR the maintenance/repair costs later do not make it worth keeping a car that has had that much repair.

Very confused!

[nospleeny]

The financing rates for the buyout if you do it through BMW Financial Services is 6.9% to 8.9% as they treat it as a used car. They said it'll depend on your credit to determine whether you get it at the low end or the high end of the scale.

Personally, I believe if your car isn't giving you any problems, you could keep it. I didn't say you should, but you could. If cost is an issue, than maybe this car isn't worth keeping. BMWs aren't known for the highest reliability. That being said, everybody tells you a car is a black-hole of money. The idea is you should buy a car that's trustworthy, will not break down; then drive it into the ground.

Mine has had no problems (except for the HPFP and some small gasket), so I bought it out.