Money Factor(MF)

mattkaenel · 09-30-2005, 11:49 PM

I am getting ready to order my e90 tomorrow and I was was wondering what people thought about the money factor for a lease.

Is it negotiable???

I was told that with current lease offers BMW NA is offering about .31 to .32. This seems a bit high but being a new model it might be possible.

Thanks for the info.

CALIF65GM · 10-01-2005, 12:13 AM

Seems to be majorly marked-up and I assume you mean .0031 to .0032 because otherwise the effective interest rate would be 744% vs. 7.44%. The new Oct. rates haven't been posted yet unfortunately.

petesamprs · 10-01-2005, 08:32 AM

Sept money factors were 0.0025 base rate, but dealers are allowed to mark up by 0.0004 to 0.0029.

If you get the base rate of 0.0025, that's 6%.

mattkaenel · 10-01-2005, 09:10 AM

thanks for the help.

Is it negotiable past .0025?

Atty · 10-01-2005, 09:21 AM

Best advice: SHOP AROUND. No reason to finance through BMW if a local bank, or even a national lender, can provide a better deal.

PLUS - always, always, always make sure the dealer isn't adding a "broker" or "origination" fee to the deal. This could be hundreds of dollars. So sure, the dealer will gladly cut your rate, but then add on an $800 origination fee, and explain it to you by saying that "everybody" pays that, its just part of getting a loan.

Yeah, right.

selm · 10-01-2005, 09:50 AM

Quote:

Originally Posted by mattkaenel

I am getting ready to order my e90 tomorrow and I was was wondering what people thought about the money factor for a lease.

Is it negotiable???

I was told that with current lease offers BMW NA is offering about .31 to .32. This seems a bit high but being a new model it might be possible.

Thanks for the info.

.0025 base for Sep.
.0003 increase for ED if you are going that option.
.00015 will waive the security deposit? (I think)
.0004 allowed markup.

Even here if someone did this 8.04% option, they could still have the same payment as someone who got the base rate as there are 2 factors: interest and depreciation. I assumed that dealers were not going to go to the base rate and just lowered the price. I got the payment I wanted because I calculated it using the base rate and let the dealer come up with that payment however they wanted. If they wanted to charge me 8% but give me the sales price at invoice I didn't care. It was much easier than trying to hammer away at the dealer at every possible leasing variable.

09-30-2005, 11:49 PM	#1
mattkaenel New Member 5 Rep 17 Posts Drives: 2003 BMW 330 Join Date: Jun 2005 Location: San Diego iTrader: (0)	Money Factor(MF) I am getting ready to order my e90 tomorrow and I was was wondering what people thought about the money factor for a lease. Is it negotiable??? I was told that with current lease offers BMW NA is offering about .31 to .32. This seems a bit high but being a new model it might be possible. Thanks for the info.
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10-01-2005, 12:13 AM	#2
CALIF65GM Colonel 97 Rep 2,041 Posts Drives: e93-35 May08 ED Join Date: Jun 2005 Location: SF, CA iTrader: (0) Garage List 06 - Oct. 05 build ... [0.00]	Seems to be majorly marked-up and I assume you mean .0031 to .0032 because otherwise the effective interest rate would be 744% vs. 7.44%. The new Oct. rates haven't been posted yet unfortunately. __________________ 5-2-08 e93-35 ED Montego w/Jade Grey, Step w/Paddles, PP, SP, CA, hot seats and iPod.Awaing re-delivery soon. Debadged 330xi ED 11/14/05 Auto/Mystic Blue/Gray leather with Alum/PP/SP/CA/Fold-down rear seats/Alarm. Sold to Carmax on 6/7/08 with 50,624 miles on clock
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10-01-2005, 08:32 AM	#3
petesamprs Lieutenant 34 Rep 519 Posts Drives: . Join Date: Aug 2005 Location: northeast iTrader: (0)	Sept money factors were 0.0025 base rate, but dealers are allowed to mark up by 0.0004 to 0.0029. If you get the base rate of 0.0025, that's 6%. __________________ '14 535i (ED) Retired: '08 M5, '08 550i (ED), '06 330i
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10-01-2005, 09:10 AM	#4
mattkaenel New Member 5 Rep 17 Posts Drives: 2003 BMW 330 Join Date: Jun 2005 Location: San Diego iTrader: (0)	thanks for the help. Is it negotiable past .0025?
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10-01-2005, 09:21 AM	#5
Atty Second Lieutenant 16 Rep 239 Posts Drives: 09 X5 48i M-Sport Join Date: Sep 2005 Location: Los Angeles iTrader: (0) Garage List 2006 (September bui ... [0.00]	Best advice: SHOP AROUND. No reason to finance through BMW if a local bank, or even a national lender, can provide a better deal. PLUS - always, always, always make sure the dealer isn't adding a "broker" or "origination" fee to the deal. This could be hundreds of dollars. So sure, the dealer will gladly cut your rate, but then add on an $800 origination fee, and explain it to you by saying that "everybody" pays that, its just part of getting a loan. Yeah, right. __________________ Attorney E90 330i 6MT \| Black Sapphire \| Terra \| Burl \| ZSP \| ZPP \| ZCW \| Navi \| Sirius
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