Did I just get seriously ripped off?? (Car lease)

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Crimsontide
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Joined: Fri Oct 25, 2013 5:32 pm
Location: DFW Metromess

Re: Did I just get seriously ripped off?? (Car lease)

Post by Crimsontide »

WhiteMaxima wrote:9 Year old BMW for 5K and 45K for another BMW. You best bet would be a certified 2 or 3 year old BMW (knock 30% off list) with extended warranty. Now it's already too late since you signed contract.
Bingo, says the owner of a silver Camry :twisted:
MindBogler
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Joined: Wed Apr 17, 2013 12:05 pm

Re: Did I just get seriously ripped off?? (Car lease)

Post by MindBogler »

BruDude wrote:
michaeljc70 wrote:But the invoice price doesn't take into account the popularity of the vehicle and therefore current discounts on the vehicle.
This only matters if there is "trunk money" or if the car is in extremely high demand like an M2, in which case you probably won't get $1000 over invoice anyway. If there is no trunk money and it's not a specialty/high demand car, $1000 over invoice with no markups/add-on fees is a very good deal on a BMW lease. If a dealer is desperate for an end-of-month sale you might even be able to get $750 over or $500 over, but that's kind of splitting hairs on an expensive car and 36-month lease. If they sold you a car at invoice with no markups, they would literally make $0 on the deal (except counting towards sales volume) and could possibly even lose money if their satisfaction scores aren't 100% 5 out of 5.
Dealers have holdback and manufacturer to dealer incentives that lower their cost below invoice. They may not be willing to negotiate on these at every sitting, but you can walk away and come back when they will. If you pay a dollar over invoice on any transaction at the dealer you're getting fleeced.
BruDude
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Joined: Thu Dec 30, 2010 12:28 am
Location: Las Vegas

Re: Did I just get seriously ripped off?? (Car lease)

Post by BruDude »

MindBogler wrote:
BruDude wrote:
michaeljc70 wrote:But the invoice price doesn't take into account the popularity of the vehicle and therefore current discounts on the vehicle.
This only matters if there is "trunk money" or if the car is in extremely high demand like an M2, in which case you probably won't get $1000 over invoice anyway. If there is no trunk money and it's not a specialty/high demand car, $1000 over invoice with no markups/add-on fees is a very good deal on a BMW lease. If a dealer is desperate for an end-of-month sale you might even be able to get $750 over or $500 over, but that's kind of splitting hairs on an expensive car and 36-month lease. If they sold you a car at invoice with no markups, they would literally make $0 on the deal (except counting towards sales volume) and could possibly even lose money if their satisfaction scores aren't 100% 5 out of 5.
Dealers have holdback and manufacturer to dealer incentives that lower their cost below invoice. They may not be willing to negotiate on these at every sitting, but you can walk away and come back when they will. If you pay a dollar over invoice on any transaction at the dealer you're getting fleeced.
BMW does not have holdback or manufacturer to dealer incentives. That's what I keep saying but nobody is listening apparently. Their sales system is not the same as other car companies. They get bonuses based on their customer service scores and overall volume.

If the car has no trunk money and you offer below invoice they will show you the door very quickly.
TropikThunder
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Joined: Sun Apr 03, 2016 5:41 pm

Re: Did I just get seriously ripped off?? (Car lease)

Post by TropikThunder »

BruDude wrote: BMW does not have holdback or manufacturer to dealer incentives. That's what I keep saying but nobody is listening apparently. Their sales system is not the same as other car companies. They get bonuses based on their customer service scores and overall volume.

If the car has no trunk money and you offer below invoice they will show you the door very quickly.
Perhaps that's not true anymore?
BMW has also increased the holdback (more back end money) from 5 percent of vehicle base cost to 5 percent of the sticker price, giving dealership more room to deal on highly optioned vehicles.
http://www.bimmerfest.com/news/917430/c ... 17-models/
However, that's from some BMW Fanboy site so take it for what it's worth.
BruDude
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Joined: Thu Dec 30, 2010 12:28 am
Location: Las Vegas

Re: Did I just get seriously ripped off?? (Car lease)

Post by BruDude »

TropikThunder wrote:
BruDude wrote: BMW does not have holdback or manufacturer to dealer incentives. That's what I keep saying but nobody is listening apparently. Their sales system is not the same as other car companies. They get bonuses based on their customer service scores and overall volume.

If the car has no trunk money and you offer below invoice they will show you the door very quickly.
Perhaps that's not true anymore?
BMW has also increased the holdback (more back end money) from 5 percent of vehicle base cost to 5 percent of the sticker price, giving dealership more room to deal on highly optioned vehicles.
http://www.bimmerfest.com/news/917430/c ... 17-models/
However, that's from some BMW Fanboy site so take it for what it's worth.
Maybe they changed it. I haven't leased a BMW in a few years.
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