[sobriquet]

I just tried to calculate what my potential payment would be on a 335i sedan based on information from this forum and leaseguide.com, but I ended up with a figure of $793/mo! That sounds way too high!

Here are my assumptions:

MSRP: 45,445 (w/ options)
Base Cap Cost : 42740 (I assumed invoice of 41,740 + $1k)
Costs added to lease: $800 (I don't know what the actual fees will be, so I guessed)
Adjusted Cap Cost: 43540
Residual Value: 22446 (58% residual)
Money factor: .00225
36 months
8% sales tax (I'm in florida, don't know the rate for sure)

---

Can someone please tell me where I went wrong? If that's indeed the case, the 335i sedan is going to be more than I am willing to spend. I wanted to go no more than $630/mo if at all possible.

My assumed options were: ZPP, ZSP, Navi, and Satellite radio. Non-metallic paint (Alpine White).

[FatSal]

I don't see anything obviously wrong, but here is mine for comparison. I would think you should be able to easily hit $630/month with your configuration.

335i with Active Steering, Comfort Access, Heated Seats, PDC, Nav, Sirius, Metallic, Premium, Sport.
MSRP - 50515
Negotiated Price - 45768 (ED-$1947)
Inception - 725
Down Payment - 0
Money Factor - .00221 (7 MSDs)
Tax Rate - 7.5%
Residual - 60%
Miles/year - 12000
Months - 36

$617.28 + $46.45 (taxes) =
$665.74 / month

[FatSal]

By the way, my lease is for a 335i Coupe. Plus my deal was probably average. There are others here that are getting much better deals.

[sobriquet]

Can you tell me how you calculate your payment based on your assumptions?

[FatSal]

I ran your lease using the Lease Calculator spreadsheet I found here somewhere. I am shocked at the results, but I did find one error in your calculations. The residual you stated should have been based off the MSRP. I believe the correct residual is $26358.

Even with that change, I am still coming up with a payment of $685.31.

[gohawks23]

Originally Posted by sobriquet

I just tried to calculate what my potential payment would be on a 335i sedan based on information from this forum and leaseguide.com, but I ended up with a figure of $793/mo! That sounds way too high!

Here are my assumptions:

MSRP: 45,445 (w/ options)
Base Cap Cost : 42740 (I assumed invoice of 41,740 + $1k)
Costs added to lease: $800 (I don't know what the actual fees will be, so I guessed)
Adjusted Cap Cost: 43540
Residual Value: 22446 (58% residual)
Money factor: .00225
36 months
8% sales tax (I'm in florida, don't know the rate for sure)

---



Can someone please tell me where I went wrong? If that's indeed the case, the 335i sedan is going to be more than I am willing to spend. I wanted to go no more than $630/mo if at all possible.

My assumed options were: ZPP, ZSP, Navi, and Satellite radio. Non-metallic paint (Alpine White).

Pssst...you won't even get close to 1K over invoice unless you ED...why don't you just try getting rid of some options? Start with ZPP and nav...

[BMW F22]

you guys ever thought about just buying it?? you're paying like $27k over 3 years already. FInance it for 5 years and you can own the car (with a couple of grand down)

[gohawks23]

Originally Posted by BMWE90

you guys ever thought about just buying it?? you're paying like $27k over 3 years already. FInance it for 5 years and you can own the car (with a couple of grand down)

Dude, you are another one that doesn't get it...any of three situations (cash, loan, lease) can make the most sense based on parameters at the time...to make an intelligent decision you would need to compare all scenarios...in my particular case the cost of using cash vs. the cost of leasing over the same time period is virtually equal...but a lease has the nice option of either keeping it or getting rid of it easily at the term end...if you 'own' the car there is no guarantee as to what it is worth at that time period.

Again, most people bag on leasing because they don't understand it...don't get me wrong if you don't understand it you shouldn't do it because you will get hosed...and leasing isn't the right thing to do all the time just as cash and loans aren't.

PS, if you do stick out the whole loan or pay cash and you keep cars 5 years + those financing options are definitely the way to go.

[BMW F22]

Originally Posted by greginaz1

Dude, you are another one that doesn't get it...any of three situations (cash, loan, lease) can make the most sense based on parameters at the time...to make an intelligent decision you would need to compare all scenarios...in my particular case the cost of using cash vs. the cost of leasing over the same time period is virtually equal...but a lease has the nice option of either keeping it or getting rid of it easily at the term end...if you 'own' the car there is no guarantee as to what it is worth at that time period.

Again, most people bag on leasing because they don't understand it...don't get me wrong if you don't understand it you shouldn't do it because you will get hosed...and leasing isn't the right thing to do all the time just as cash and loans aren't.

PS, if you do stick out the whole loan or pay cash and you keep cars 5 years + those financing options are definitely the way to go.

no I think you're the one not getting it. The reason why most people lease is bcus of lower monthly payments. But when you add it up and give it a lil more thought, one would realize that leasing isnt that beneficial (unless they wanna drive a new car every 2 or 3 years). Even then, they could just buy the car and sell it later down the road. Those Future Value Guarantees are BS. Through the history of BMW, how often (if any), do BMW cars sell less than the expected RV?? ALso, you could probably sell the car for more money if you sold it privately.

[gohawks23]

Originally Posted by BMWE90

no I think you're the one not getting it. The reason why most people lease is bcus of lower monthly payments. But when you add it up and give it a lil more thought, one would realize that leasing isnt that beneficial (unless they wanna drive a new car every 2 or 3 years). Even then, they could just buy the car and sell it later down the road. Those Future Value Guarantees are BS. Through the history of BMW, how often (if any), do BMW cars sell less than the expected RV?? ALso, you could probably sell the car for more money if you sold it privately.

Have you ever spent the time to put together a term cost comparison spread sheet to really analyze it? If not you don't get it, sorry.

Personally I always want to drive a car under warranty and for leasing you are only paying for the portion of the car value which you use...and you are also only paying state sales tax for the portion you use unlike when you buy it.

PS, I couldn't get close to my residual value on the ZHP (high mileage lease) I'm going to turn in shortly...would I rather be 'owning' this car now than leasing it? No friggin way.

Bottom line is you pay for it one way or another but one really does have to run all the numbers to see which case works out best.

[BMW F22]

here's my counter argument- when the E90 first came out (Im gonna use this since the E92 has just came out too), people were leasing them in the 600's. Let's use $650 as the monthly payment here. So over 3 years you will end up paying $23,400. That's about $7,130 depreciation a year. I got my E90 for $41k OTD. I can sell it back now for about $36 which means I've lost about $5,000 in depreciation.

Since you lose the most money during the first year, the second year's depreciation will be less than $5k. Most E46s are selling in the high 20's and even low 30's right now. So basically if you buy the car, you will end up paying less for it than if you were to lease it. Therefore you're paying more for the portion of the car that you use if you were to lease it.

[gohawks23]

Originally Posted by BMWE90

here's my counter argument- when the E90 first came out (Im gonna use this since the E92 has just came out too), people were leasing them in the 600's. Let's use $650 as the monthly payment here. So over 3 years you will end up paying $23,400. That's about $7,130 depreciation a year. I got my E90 for $41k OTD. I can sell it back now for about $36 which means I've lost about $5,000 in depreciation.

Since you lose the most money during the first year, the second year's depreciation will be less than $5k. Most E46s are selling in the high 20's and even low 30's right now. So basically if you buy the car, you will end up paying less for it than if you were to lease it. Therefore you're paying more for the portion of the car that you use if you were to lease it.

OK, for your situation that may work out...you probably put low miles on it and it maintains value well...in my case I put high miles (18-20K per year) on it...and values don't hold up so well.

Keep in mind you can pay off a lease at any time like a loan and if you kept your car undermileage and in really good shape you can buy it out at lease end and sell it yourself...I have done this twice on leases actually.

Leasing only works out well if the MF's are low and the residuals are high...sometimes that isn't the case...especially with GM products.

Take my ZHP again...my MF with MSD's is almost ZERO...and the residual was artificially high (hence why it isn't worth even close to that value)...how could I not take advantage of that kind of deal when BMW was giving $ away and overvaluing the car itself? If the deal wouldn't have been so good I would have paid cash. It all depends on the numbers and your particular situation.

[BMW F22]

lol okay I was assuming that you drive 10-12k miles per year. yeah 18-20k will kill the value significantly. In your situation I will have to agree that you did what made the most sense. So I guess it basically comes down to the situation you're confronted with???

[gohawks23]

Originally Posted by BMWE90

lol okay I was assuming that you drive 10-12k miles per year. yeah 18-20k will kill the value significantly. In your situation I will have to agree that you did what made the most sense. So I guess it basically comes down to the situation you're confronted with???

Absolutely...I spend several hours running through all the scenarios when I buy cars...I'm an engineer in sales though so I love numbers!

[sobriquet]

Lets ignore the lease/buy debate for the moment. When I do the "Build Your Own" through bmwusa.com, I get a payment of $604/mo for 36 mos with 12k/year. {EDIT: These for an '06 330i. I realize some of the options have increased in price and there has been a $2,100 increase in MSRP, so it's not a ceiling, but at least a ballpark}

That's assuming MSRP. I have every confidence that I can get them to move south of MSRP (or will find someone that is), so shouldn't that be my ceiling payment? Does the website lowball you or something?

Can someone tell me how to manually calculate a lease payment based on the variables, please?

[Lucid4000]

Originally Posted by sobriquet

I have every confidence that I can get them to move south of MSRP (or will find someone that is), so shouldn't that be my ceiling payment?

I hope you can get it for less than MSRP, so good luck. But the car is new and most likely they will not since they won't beable to keep these cars around long enough. I would recommend waitingabout 6 months before buying the 335i, plus the MF and Residual values will come to a low and high. Probably looking more like the current 330i MF and Residual. (which is a good thing)

Also the calculator you have to use is this one... http://www.leaseguide.com/calc.htm

[Kalin]

http://www.google.pt/search?client=f...esquisa+Google

Use RV and MF from above post, with your estimated buy cost.

[Lucid4000]

When I ran the figures you gave I got a monthly payment of... $634.55 + 38.07(tax) Total a month would be $672.62 Also florida sales tax is 6%

[sobriquet]

That's better, I'm now seeing Lucid4000's figure of $672. Am I really that naive to think that in a small town like Gainesville, FL where the local (small) dealer doesn't move that many cars that I'll have additional negotiating leverage?

I guess we'll find out. As I posted in the main e90/92 forum, I called BMWNA today and was told that the 335i sedan goes into production at the end of this month or the beginning of next. As soon as I get a chance to drive one and confirm that it's what I want, I'll make an offer.

Thanks again for the info, guys.