[ComingInHot]

Originally Posted by Wild Blue

That's a good question, am curious if anyone has tangible input. Gut says that dealers won't be willing to deal as much on custom orders, vs. getting rid of on-lot inventory that is just sitting collecting dust. And I anticipate that when the factory opens, it won't be full-up, produce any model type and options. There will be big delays on some features for the rest of MY2020, I think, and may affect MY2021 too.

Used car prices are going to drop for sure...market saturation...hence the request already put in for another cash for clunkers program. I'm not sure that the factories will be as affected as people think. A lot of companies are using this time to stock up on parts to get ready for the end our year push to recoup losses. Yeah they are not manufacturing cars at the moment but that doesn't mean they aren't shipping parts from all over the world.

[jmcd2524]

So I have an opportunity to buy a 2020 40i loaner (4200 miles) from an out of state dealer. MSRP is $96.6K that is discounted to $83.3K, a 13.8% discount. The other option is to wait till the factory opens (whenever that is) and place an order to build a 2020 40i with an MSRP $89K discounted to $81K, 9% discount. The loaner is equipped with everything I want in the build plus some other options that I consider nice to have. I am looking for some advice about these two options and how you would evaluate them. Not sure if the loaner discount is adequate as I have not negotiated a deal on a loaner previously. My third option is to pass on both. All advice appreciated.

[thenew3]

Originally Posted by jmcd2524

So I have an opportunity to buy a 2020 40i loaner (4200 miles) from an out of state dealer. MSRP is $96.6K that is discounted to $83.3K, a 13.8% discount. The other option is to wait till the factory opens (whenever that is) and place an order to build a 2020 40i with an MSRP $89K discounted to $81K, 9% discount. The loaner is equipped with everything I want in the build plus some other options that I consider nice to have. I am looking for some advice about these two options and how you would evaluate them. Not sure if the loaner discount is adequate as I have not negotiated a deal on a loaner previously. My third option is to pass on both. All advice appreciated.

Can you wait till the factory open up (whenever that is) or do you need a vehicle now?

If you need a vehicle now, I would see if they would CPO that loaner to get you another year of warranty.

If you don't need it right away, then it's up to you to decide if you want a brand new car or a lightly used one.

If it were me, and the loaner has 100% of the options I want and they are willing to CPO it to give it another year of warranty then I would go for the loaner.

[Heimdall]

Originally Posted by jmcd2524

So I have an opportunity to buy a 2020 40i loaner (4200 miles) from an out of state dealer. MSRP is $96.6K that is discounted to $83.3K, a 13.8% discount. The other option is to wait till the factory opens (whenever that is) and place an order to build a 2020 40i with an MSRP $89K discounted to $81K, 9% discount. The loaner is equipped with everything I want in the build plus some other options that I consider nice to have. I am looking for some advice about these two options and how you would evaluate them. Not sure if the loaner discount is adequate as I have not negotiated a deal on a loaner previously. My third option is to pass on both. All advice appreciated.

If you're opting for the loaner I would dig deeper on the discount, 13.8% isn't an impressive offer at all. Firsthand experience on a custom build 12.8% plus Incentives of December-19

[jmcd2524]

Originally Posted by Heimdall

If you're opting for the loaner I would dig deeper on the discount, 13.8% isn't an impressive offer at all. Firsthand experience on a custom build 12.8% plus Incentives of December-19

Thanks Heimdall. I only qualify for the financing discount on my purchase (coming from a Lexus) so that is impacting my ability in getting a better discount. That said, where do you think I should end up on the loaner? Sounds like you had an outstanding outcome. In my recent shopping experience, I haven't come close to your custom build after shopping quite a few dealers. Congrats and thanks again.

[jmcd2524]

Originally Posted by thenew3

Can you wait till the factory open up (whenever that is) or do you need a vehicle now?

If you need a vehicle now, I would see if they would CPO that loaner to get you another year of warranty.

If you don't need it right away, then it's up to you to decide if you want a brand new car or a lightly used one.

If it were me, and the loaner has 100% of the options I want and they are willing to CPO it to give it another year of warranty then I would go for the loaner.

Thanks thenew3. I am leaning towards the loaner as I am not crazy about the loss in initial value when driving the new build off the lot. I don't know what additional discounts dealers can work with when selling a loaner. Sounds like about 5% or so. any thoughts?

I don't need a vehicle at this point and can wait till the factory opens back up. I'm just not sure whether pricing will go further down at that point versus now - in the middle of the shutdown. Your idea about getting the dealer to CPO the car is very interesting. Thanks again for the advice.

[BigDuke6]

Originally Posted by jmcd2524

Thanks thenew3. I am leaning towards the loaner as I am not crazy about the loss in initial value when driving the new build off the lot. I don't know what additional discounts dealers can work with when selling a loaner. Sounds like about 5% or so. any thoughts?

I don't need a vehicle at this point and can wait till the factory opens back up. I'm just not sure whether pricing will go further down at that point versus now - in the middle of the shutdown. Your idea about getting the dealer to CPO the car is very interesting. Thanks again for the advice.

I went with a broker and was able to get 12% off MSRP before any other incentives on custom order with delivery to my house. I ordered first of March. Production was delayed due to the plant closing. Looks like I will get it sometime in June if they open at the end of the month.

[jmciver]

My recommendation is go in aggressive with an initial offer. This is a "used" car after all. Don't let the loaner label of this X7 make you think otherwise just because it still has that new car smell. Also, since you said you don't need the car, you can always walk away. So, I would go in as follows:

1. 12% of MSRP before applying any incentives
2. CPO the X7 to get the extra year/60k miles of warranty
3. Ask for any accessories you want to be thrown in (shadow line grill, roof rails for storage box, dealer installed trailer hitch, etc - whatever you want
4. Don't even mention a trade if you have one.

You will most likely not get everything I mentioned above. But by starting high, you are more likely to get more of what you want in the deal. They do want to make a sale after all, especially on a X7 loaner which in some ways is more difficult to move than a new one from inventory. The fact that you have shown some interest in a loaner is a bit of extra motivation for the dealer.

[Next Level Auto Brokers]

Originally Posted by jmcd2524

Thanks thenew3. I am leaning towards the loaner as I am not crazy about the loss in initial value when driving the new build off the lot. I don't know what additional discounts dealers can work with when selling a loaner. Sounds like about 5% or so. any thoughts?

I don't need a vehicle at this point and can wait till the factory opens back up. I'm just not sure whether pricing will go further down at that point versus now - in the middle of the shutdown. Your idea about getting the dealer to CPO the car is very interesting. Thanks again for the advice.

Loaner write downs should get you to 16-18% dealer discount before incentives. It is not worth getting a loaner unless it's in that range, and you are better off getting a new one at 12% off.

Also remember, these are heavy cars, and 4200 miles might mean another set of tires before lease return.

Don't buy BMWs....it's worth leasing especially with low MFs and inflated residuals

[thenew3]

Originally Posted by jmcd2524

Thanks thenew3. I am leaning towards the loaner as I am not crazy about the loss in initial value when driving the new build off the lot. I don't know what additional discounts dealers can work with when selling a loaner. Sounds like about 5% or so. any thoughts?

I don't need a vehicle at this point and can wait till the factory opens back up. I'm just not sure whether pricing will go further down at that point versus now - in the middle of the shutdown. Your idea about getting the dealer to CPO the car is very interesting. Thanks again for the advice.

The amount of discount you can get will greatly vary depending on your location. Some folks on the forums are saying 12% 15% are easy. In my personal experience, those types of discount may be possible from a large high volume dealer. Smaller dealers are likely not going to be able to come anywhere near that.

I was able to negotiate 15% off a car sitting on the lot of a large dealer without any effort, But they aren't willing to discount that much on an ordered car.
I ended up ordering from my local small town dealer for 9.5% off including all incentives (loyalty, apr etc). My wife wanted to keep the business local to support the local dealer. (We'd rather the local dealer stay in business so we can get our car serviced, then have to drive 1.5 hours out of town to a large dealer for service or purchases etc).

So depending on if that loaner is at a small town dealer or a large volume dealer, what discount you get can vary greatly.

Many folks are saying new/used car prices will go down in the near future. That is certainly a possibility, but if the factory closures are extended, pricing could go up or stay the same due to lack of inventory.

[aptekcom]

Originally Posted by thenew3

The amount of discount you can get will greatly vary depending on your location. Some folks on the forums are saying 12% 15% are easy. In my personal experience, those types of discount may be possible from a large high volume dealer. Smaller dealers are likely not going to be able to come anywhere near that.

I was able to negotiate 15% off a car sitting on the lot of a large dealer without any effort, But they aren't willing to discount that much on an ordered car.
I ended up ordering from my local small town dealer for 9.5% off including all incentives (loyalty, apr etc). My wife wanted to keep the business local to support the local dealer. (We'd rather the local dealer stay in business so we can get our car serviced, then have to drive 1.5 hours out of town to a large dealer for service or purchases etc).

So depending on if that loaner is at a small town dealer or a large volume dealer, what discount you get can vary greatly.

Many folks are saying new/used car prices will go down in the near future. That is certainly a possibility, but if the factory closures are extended, pricing could go up or stay the same due to lack of inventory.

i was just goofing around the other day and came across this. I was surprised it was priced so low...I custom ordered a '20, but if this was around in December, I may have gone with this.

https://www.sewell.com/VehicleDetail...-TX/3589386333

[cracker123]

Originally Posted by aptekcom

i was just goofing around the other day and came across this. I was surprised it was priced so low...I custom ordered a '20, but if this was around in December, I may have gone with this.

https://www.sewell.com/VehicleDetail...-TX/3589386333

That is a good price for the options but the mileage is on the high side for a year old car. Sewell prices are lot higher than other areas. Might want to shop around you will find a better deal in the next month or so.

[Resjudicata]

Originally Posted by BigDuke6

I went with a broker and was able to get 12% off MSRP before any other incentives on custom order with delivery to my house. I ordered first of March. Production was delayed due to the plant closing. Looks like I will get it sometime in June if they open at the end of the month.

Originally Posted by BigDuke6

I went with a broker and was able to get 12% off MSRP before any other incentives on custom order with delivery to my house. I ordered first of March. Production was delayed due to the plant closing. Looks like I will get it sometime in June if they open at the end of the month.

that is a great deal! can you message me the name and number for your broker!! please, thanks.

[Resjudicata]

Originally Posted by aptekcom

i was just goofing around the other day and came across this. I was surprised it was priced so low...I custom ordered a '20, but if this was around in December, I may have gone with this.

https://www.sewell.com/VehicleDetail...-TX/3589386333

yeah used car prices are falling hard. New prices are down slightly but not much.
Used cars, especially luxury over 100k, except for Porshe 911, are falling like a Tom Pretty songs.

I suspect used car prices will be around 50% MSRPs by Christmas for any prior 2019 vehicle, given that 2020 and 2021 will be out by then. And with the virus shutdown, you can probably find a 2019 with LOW miles for cheap.

[Heimdall]

Originally Posted by jmcd2524

Thanks Heimdall. I only qualify for the financing discount on my purchase (coming from a Lexus) so that is impacting my ability in getting a better discount. That said, where do you think I should end up on the loaner? Sounds like you had an outstanding outcome. In my recent shopping experience, I haven't come close to your custom build after shopping quite a few dealers. Congrats and thanks again.

Personally I would aim at least 15% if not 20% (apply the 1 year depreciation to the price and then divid by 2 assuming its 6 months old at least millage wise) depending how much of a fit this loaner is to your requirement. plus current incentives and ask them for a few extras like the all weather mats and probably tablets holders or something similar.
Politely, calmly and walk away. Don't even wait for an answer on the spot.

[UKMS]

Originally Posted by Resjudicata

yeah used car prices are falling hard. New prices are down slightly but not much.
Used cars, especially luxury over 100k, except for Porshe 911, are falling like a Tom Pretty songs.

I suspect used car prices will be around 50% MSRPs by Christmas for any prior 2019 vehicle, given that 2020 and 2021 will be out by then. And with the virus shutdown, you can probably find a 2019 with LOW miles for cheap.

I have no expertise or knowledge of the US market (so dont shoot me down )

I'm not sure that prices for all vehicles will drop that much unless its a brand/model that has 1000's stockpiled before any shutdowns.

Dealers maybe a little desperate right now in some US states but with a lengthy factory shutdown certain BMW models will be scarce for many months, so any dealers who are open for business with new or nearly new stock could keep their prices at a sensible level simply because of supply and demand.

The discount levels that most people refer to are pretty much pre-covid.

Time will tell I guess

[Heimdall]

Originally Posted by UKMS

I have no expertise or knowledge of the US market (so dont shoot me down )

I'm not sure that prices for all vehicles will drop that much unless its a brand/model that has 1000's stockpiled before any shutdowns.

Dealers maybe a little desperate right now in some US states but with a lengthy factory shutdown certain BMW models will be scarce for many months, so any dealers who are open for business with new or nearly new stock could keep their prices at a sensible level simply because of supply and demand.

The discount levels that most people refer to are pretty much pre-covid.

Time will tell I guess

Totally agree
And no matter how low the demand gets, the supply at that point of time will be much lower due to long close down periods and the backlog of orders and custom builds.

[MrSnoopy]

Hi all,

For a new leftover 19 40i x7, is shooting for 18% before loyalty and lease cash (1500) and before loyalty payment credits way too unrealistic? I am in northeast. And base money factor? MSRP around 80, so a lower spec.

Color and options not prefered, but beggars cant be choosers. otherwise, will look at an x5.

Thanks!

[huskerdoc2020]

Originally Posted by MrSnoopy

Hi all,

For a new leftover 19 40i x7, is shooting for 18% before loyalty and lease cash (1500) and before loyalty payment credits way too unrealistic? I am in northeast. And base money factor? MSRP around 80, so a lower spec.

Color and options not prefered, but beggars cant be choosers. otherwise, will look at an x5.

Thanks!

I would go for way more than that. You realize in 3 months it is a 2 year old vehicle and will be worth about 65% of sticker. I'd be shooting for 25% + incentives.

[MrSnoopy]

Originally Posted by huskerdoc2020

I would go for way more than that. You realize in 3 months it is a 2 year old vehicle and will be worth about 65% of sticker. I'd be shooting for 25% + incentives.

thank you for the reply! I would be stunned if i got more than 19% based on what ive seen on a new x7 leftover, but i truly hope you are right!

[BMW-TX]

Thanks for all of the content here in helping me do my research. Would be interested in views between the following choices:
1. 2020 X7 40i demo with 3K miles - 20% off MSRP (on the lot, not options exactly how I want)
2. 2020 X7 40i new with desired options - 15% off MSRP
3. 2020 X7 M50i new with desired options - 15% off MSRP

The discounts above include all rebates, cash incentives, dealer discount, etc. so reflects "all-in" price. Note with the factory shutdowns there's likely a 2+ month wait given backlog (from what I've been told) for the newbuild options.

Thanks.

[cvp33]

Well here’s my first post after waiting a week for my account to go active. We just Lemon’d a 2020 Hyundai Palisade. We cross shopped and narrowed to an Aviator or X7. Back 2 Back test drive sealed the deal. Not even close in driving dynamics. Now for the fun part.

We live in NC but NoVA has way more inventory. Stalled out negotiating on a dealer demo CPO at $15.5K OFF $83K MSRP locally. So I emailed 10 dealers (VA, NC, SC) all responded and narrowed to 2 that agreed to $13K OFF $85K MSRP - Annapolis and Arlington. Called the local dealer to give them another chance. Ended up with the deal we wanted:

$82,745 MSRP
- $3,500 BMW rebate (supposedly just came out)
- $15,948 Dealer Discount

$63,297 NET or 23.50% OFF

Only downside was we couldn’t do BMW finance AND the rebate. It was either/or. We made them take the price down an additional $500 to make up the difference. The CPO has 5K miles, 4.5yrs/unlimited miles warranty.