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      12-10-2019, 06:03 PM   #1
HeynowbababooeyAckAck
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Strange *UPDATE* to my New Build X5 Lease Deal!

Ok. Let me preface. In the previous thread there was a lot of controversy. I jumped ahead of the gun and posted a deal I did without the actual numbers to back it up. I finally received the worksheets this evening but they are completely different and much more confusing than my M5 deal (not the same dealership) I completed and posted this afternoon. But here is what I received from this dealership for the X5. I truly can’t make sense of what they sent. It’s highly confusing and doesn’t add up to my actual monthly payment and Sign & Drive. Feel free to break it apart but long story short..

All I know is I am paying $812.07 a month for 36 months with $0 down out of my pocket. Confirmed by the sales manager this evening after I said “what the hell are these numbers and this type of worksheet”.. none of it truly adds up or makes sense.

Also let me be clear I have not put a penny down, no deposit, nothing. Nor will I. I told them this is a 100% SIGN AND DRIVE $0.00 DOWN.

I don’t comprehend the “rebate drive as off” of 2,060.83? And then the added higher final cap cost, but I’m not complaining. Because if you do the reverse math break down on LeaseHackr from my monthly payment and $0 down it really does come in at an aggregate 16% off total for the entire deal (negotiations, “rebates” whatever they are taking off extra!, but clearly not showing that in these numbers.

2020 X5 xDrive40i New Build Lease
36/7,500 Lease
MSRP: 77,395
Negotiated Cap Cost: 66,973.91
Total Cap: 67,709.64 (which is 12.5% but with that number on LeaseHckr the monthly payment would be $915)
Loyalty Credit: Should be 1,250 (which I don’t even see specifically, they show 2060.83?)
MF: .00128
Residual: 59%
Base Monthly: 758.94 w/ Tax (53.13) = 812.07 Total Per Month (How they come to this number when it really shows only 12.5% off isn’t mathematically possible.. 16% off gets to 812 per month. 12.5% off per month would be $915 a month $0 down.

I will also be receiving another $1,000 rebate on top of the entire deal for being a BMWCCA member after the car is delivered.

Here is what I received from the dealer (Again, it’s quite confusing compared to standard BMW worksheets):

Why couldn’t this dealership make it as simple and easy as my M5 dealership!
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      12-10-2019, 06:35 PM   #2
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Oh oh Benjy...
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      12-10-2019, 06:44 PM   #3
HeynowbababooeyAckAck
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I can’t make this stuff up! It’s impossible. Everyone check my new M5 deal I did this morning. It’s A LOT cleaner and easier to read. I’m never using this dealership that I am getting the X5 from ever again.
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      12-10-2019, 07:11 PM   #4
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I ran the numbers. Also note your residual is 62%, not 59%.

Final MSRP % 87.97% with dealer discount & incentives
Final MSRP % 91.03% with only dealer discount

So really in terms of dealer discount, you have 9%. Everyone around here could buy that.
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      12-10-2019, 07:17 PM   #5
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I also figured out how you came up with your % and well that is either deception or a rookie mistake.
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      12-10-2019, 07:17 PM   #6
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Quote:
Originally Posted by spyfish007 View Post
I ran the numbers. Also note your residual is 62%, not 59%.

Final MSRP % 87.97% with dealer discount & incentives
Final MSRP % 91.03% with only dealer discount

So really in terms of dealer discount, you have 9%. Everyone around here could buy that.
Your numbers unfortunately aren’t 100% accurate..

67,709.64/77,395 = 87.48 not 87.97

Residual Base 55
Residual Bump 4

That equals 59%. Residual is not 62% for December Lease rates on a 2020 xDrive40i. Check Edmunds, its 59%.

Even on a supposed 12.5% total discount how do they get to $812 a month $0 down. It’s impossible. The discount would have to be much higher. Do the reverse math on LeaseHckr.
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      12-10-2019, 07:22 PM   #7
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Zero down generally does not mean that nothing is due at signing. It means you will not be putting anything towards principal/cap cost reduction and taxes, fees etc. may be due depending on what is rolled into the lease/financing.

Sign and Drive usually means nothing is due however and they show no cash due at signing so you should be covered.
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      12-10-2019, 07:32 PM   #8
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Quote:
Originally Posted by spyfish007 View Post
I ran the numbers. Also note your residual is 62%, not 59%.
You used the wrong number when you calculated the residual. The MSRP of the vehicle is 77,395 but they also have a line for vehicle cost which is an amount after some rebates/discounts. That amount is 73,581.76.

The residual percentage is (45,609.55 / 77,395) = 59%.

You did (45,609.55 / 73,581.76) = 62%
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      12-10-2019, 07:57 PM   #9
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I worked through the numbers and everything works out and seems to be fairly consistent with what you previously posted. In a nutshell:

1. You are getting a 13.4% dealer discount. The MSRP is 77,395 and the cost of the vehicle is 66,973.81.

2. You are getting rebates that total $2,250. My guess is that is the loyalty rebate as well as a regional/dealer rebate of a $1,000. Hopefully you can find out since it would be interesting to know.

3. They are using those rebates to pay for your first payment and your upfront taxes and fees except for the acquisition fee. The total of those fees and your first payment is 2,060.83. The remaining 189.17 is being put towards cap reduction.

4. Your cap cost for the lease is the cost of the vehicle after dealer discount (66,973.81) plus the acquisition fee (925) minus the cap cost reduction amount let over from the rebates (189.17) = 67,709.64

5. Using the cap cost figure from above and a tax rate of 7%, the lease payments calculate to what they are quoting you.

https://leasehackr.com/calculator?ma...Tax_radio=true

So in summary you were able to get a 13.4% dealer discount and apparently qualified for $2,250 in rebates which are 3% of the MSRP. Looking at it in total, you were able to get the vehicle for 16.4% below MSRP, good job.
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      12-10-2019, 08:56 PM   #10
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Quote:
Originally Posted by TurtleBoy View Post
I worked through the numbers and everything works out and seems to be fairly consistent with what you previously posted. In a nutshell:

1. You are getting a 13.4% dealer discount. The MSRP is 77,395 and the cost of the vehicle is 66,973.81.

2. You are getting rebates that total $2,250. My guess is that is the loyalty rebate as well as a regional/dealer rebate of a $1,000. Hopefully you can find out since it would be interesting to know.

3. They are using those rebates to pay for your first payment and your upfront taxes and fees except for the acquisition fee. The total of those fees and your first payment is 2,060.83. The remaining 189.17 is being put towards cap reduction.

4. Your cap cost for the lease is the cost of the vehicle after dealer discount (66,973.81) plus the acquisition fee (925) minus the cap cost reduction amount let over from the rebates (189.17) = 67,709.64

5. Using the cap cost figure from above and a tax rate of 7%, the lease payments calculate to what they are quoting you.

https://leasehackr.com/calculator?ma...Tax_radio=true

So in summary you were able to get a 13.4% dealer discount and apparently qualified for $2,250 in rebates which are 3% of the MSRP. Looking at it in total, you were able to get the vehicle for 16.4% below MSRP, good job.
Thank you for the breakdown! I appreciate it. I guess I should feel vindicated that I was correct with my numbers all along in the original thread?!?! Maybe FortMill2012 can chime in...
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      12-10-2019, 11:20 PM   #11
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Quote:
Originally Posted by TurtleBoy View Post
You used the wrong number when you calculated the residual. The MSRP of the vehicle is 77,395 but they also have a line for vehicle cost which is an amount after some rebates/discounts. That amount is 73,581.76.

The residual percentage is (45,609.55 / 77,395) = 59%.

You did (45,609.55 / 73,581.76) = 62%
You are correct about the MSRP I used. I am rerunning numbers now. Interesting that my payment came out correct for the smaller number. Somehow another 4k is disappearing.
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      12-10-2019, 11:38 PM   #12
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Ok so the dealer is not showing the discount of $3,823.14. it is the difference between MSRP and the vehicle cost entry. This is very odd. Very odd. With the given, MSRP, cap cost and residual all the percentages check out from Turtle above. I would really want to know why that extra discount is not showing up.
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      12-11-2019, 06:21 AM   #13
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Quote:
Originally Posted by spyfish007 View Post
Ok so the dealer is not showing the discount of $3,823.14. it is the difference between MSRP and the vehicle cost entry. This is very odd. Very odd. With the given, MSRP, cap cost and residual all the percentages check out from Turtle above. I would really want to know why that extra discount is not showing up.
This is EXACTLY what I have been saying all along, the ENTIRE TIME in my first thread. Yet I have been vilified, doubted and slandered by so many. They are not showing ANOTHER discount somewhere, which there has to be, to reach such a low monthly number for a sign and drive true $0 down. This is what has been confusing me. They are discounting significantly more but not putting it in the correct column (negotiated off MSRP) would be the logical choice. But who knows, either way long story short on a 77,395 MSRP brand new build I am paying $812 per month for 36 months and 7,500 miles Sign & Drive. Truly $0.00 down.
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      12-11-2019, 10:50 AM   #14
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There's a $53.50 reduction to the residual for actual odometer mileage. Is this a demo?

That might help explain the better-than-market discount.
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      12-11-2019, 11:12 AM   #15
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Quote:
Originally Posted by TXPearl View Post
There's a $53.50 reduction to the residual for actual odometer mileage. Is this a demo?

That might help explain the better-than-market discount.
The OP stated this would be a custom build.
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      12-11-2019, 11:56 AM   #16
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Quote:
Originally Posted by VTENGR View Post
The OP stated this would be a custom build.
Yeah, I saw that somewhere, but it does make you wonder.

Or maybe just an error leftover on the dealer's system from a prior deal. BMWFS will eventually catch it. Good thing it's immaterial.
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      12-11-2019, 12:33 PM   #17
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Quote:
Originally Posted by TXPearl View Post
There's a $53.50 reduction to the residual for actual odometer mileage. Is this a demo?

That might help explain the better-than-market discount.
I noticed that too. No, it’s not a demo, not on a lot, it’s 100% a custom build . Signed off on the build yesterday to start today. My wife couldn’t find one X5 in the entire country on any lot to match her specifications. Go figure.
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      12-11-2019, 12:56 PM   #18
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Quote:
Originally Posted by HeynowbababooeyAckAck View Post
I noticed that too. No, it’s not a demo, not on a lot, it’s 100% a custom build . Signed off on the build yesterday to start today. My wife couldn’t find one X5 in the entire country on any lot to match her specifications. Go figure.
Like I said, probably just a leftover error from a prior deal. You should point it out to them just to avoid the hassle of a rejected contract, plus it'll save you a buck or so per month.

Nice deal.
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      12-11-2019, 02:07 PM   #19
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Quote:
Originally Posted by TXPearl View Post
Like I said, probably just a leftover error from a prior deal. You should point it out to them just to avoid the hassle of a rejected contract, plus it'll save you a buck or so per month.

Nice deal.
Will do, thanks. Waiting for a production number so I can track the build.
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