[jmciver]

Round two....

As expected, the dealer did not really want to budge from his initial offer. Saying things like the X7 is already heavily discounted, it is a "very desirable vehicle" and they are already "offering it $2600 below invoice". Of course, any number "below invoice" means really nothing to me based on how vehicles are priced nowadays. He also stated that "12.5% including incentives" off MSRP is as aggressive he can get (not sure I buy that one though, as opposed to 11% off MSRP before adding incentives....). And of course, he would not budge on the trade value, which is what I was expecting. But, in an effort to continue the negotiations, he did offer/ask if I would take the deal he originally offered with the 2.99% rate (vice the original 3.99% rate he offered).

So in my response, I included my own counter comments like:
- There are others getting aggressive deals like this on the internet, regardless of market and/or small or large volume dealers
- I know that adding points above the BMW FS base rate of 2.99% is adding profit for the dealer
- The dealer's site advertises both 2.99% and 3.09% financing options without a caveat that a full MSRP purchase price is required to get those rates

So then I asked for the numbers for the following different scenarios to compare. Specifically: The total financed amount, the BMW Select residual value, and the monthly payment (for payments 1-59):

Scenario 1: BMW Select w/2.99%
a) Remove my trade entirely from the deal (assume I will sell it myself)
b) Use $30k for down payment
c) Following incentives applied: $2000 APR, $1250 Loyalty & $500 Military
d) Add the shadowline grill and rear trim piece w/o labor

Scenario 2: BMW Select w/2.99%
a) Keep my trade in the deal (with the best trade value you can give me, and I understand the trade value may change upon inspection of the vehicle)
b) Use $30k for down payment
c) Following incentives applied: $2000 APR, $1250 Loyalty & $500 Military
d) Add the shadowline grill and rear trim piece w/o labor

Scenario 3: BMW Select w/interest rate of your choice above the base 2.99% (to add more profit for you to the deal)
a) Guaranteed trade value of $3723 (sight unseen)
b) Use $30k for down payment
c) Following incentives applied: $2000 APR, $1250 Loyalty & $500 Military
d) Add the shadowline grill and rear trim piece w/o labor
e) What other BMW accessories are you willing to throw in to compensate me for a higher interest rate IF I were to accept this scenario (rubber floor mats, cargo area rubber mat, roof rail system, etc)

The fun continues.....