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BMW 3-Series (E90 E92) Forum > BMW E90/E92/E93 3-series General Forums > Regional Forums > USA - Mid-Atlantic > so either I don't understand lease calculations or I'm being taken for a ride



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      11-20-2006, 09:31 PM   #1
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so either I don't understand lease calculations or I'm being taken for a ride

...or maybe it's something in between.

Little help here guys, I'm working on setting up a lease for an E92 335i and have been having trouble finding a dealer willing to go very far below sticker price. Well tonight I got a call from someone at Tischer and here's what he proposed for the car with the options I want, and it seemed reasonable until the monthly payment came up.

the car: 335i coupe, metallic paint, auto transmission, paddle shifters, comfort access, and the sports package.

MSRP: 44,645
His Price: 42,722 (which he claimed to be $1200 over invoice due to fees he incurred)
MF: .00215
Residual: 60%

Monthly Payment: 665.96

I've run the numbers through my own spreadsheet, and two online lease payment calculators and they all come out to 610.85. This is without taking into account any MSDs, or fees that he may add on including the $825 acquisition cost into account.....but even with that $825, the monthly payment would not go up $55.

So, obviously, my question is: where is the difference coming from? Is it something I don't understand about leases? Is there some kind of mistake on his end? I wouldn't be surprised if there were a mistake since he didn't have a clue about the MSD program. But I ask because this has been happening with other dealers as well, that there is a significant difference between my numbers and theirs.

This picture shows my calculation. I've been told the VA tax rate for cars is 3.17%, hence the 1.0317.



I've been visiting this place for a little while and have learned a lot, thanks a lot for any help.
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      11-21-2006, 07:46 AM   #2
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You're calculating the VA tax wrong. In VA the car tax is added to the negotiated price. So in your calculations, multiply the negotiated price by "1.0317". Then use this figure in your calculations. In VA the car tax is due up front and is not spread out in payments. Either you can pay the taxes up front out of your pocket or borrow more from BMWFS to cover the taxes and roll that into the lease. So in your case you can either give the dealer ~$1300 in taxes or borrow $1300 from BMWFS, which will be added to your "Cap cost" of the lease.

I hope this helps. I can give you some spreadsheets if you like. Just PM me.

Give your dealer a call and ask him to fax you a break down of the numbers.

On a side note, have you visited Passport BMW? Thats where I got my 335i and they gave me an excellent price. If you want, PM and I will give more info on the SA that helped me.

Good Luck
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      09-26-2008, 01:10 PM   #3
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I love how people keep bringing dead threads back to life.
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