Hello:
Just picked up a 2007 M5 in the Metro-DC area and wanted to pass along a few things I learned in case anyone is considering. During the negotiation, the dealer brought me back to the computer and went through the cost accounting system. Revealed the following:
1) Dealer auction price of a 2007 M5 ~25k miles and moderate options is ~$49,500 as of August.
2) Dealers must pay a $2800 enrollment fee to CPO any M car beyond any costs associated with bringing it to CPO standard.
3) The dealer bakes a lot of things into "their costs" including
a) Fee for loaner cars when yours is in the shop (~$200)
b) Gasoline put in for test drives and full-tank delivery
c) Any cost incurred for CPO-ing the car (this appeared to be charged at their internal cost)
4) Dealer internal charge for a new tire (285) is $200
5) Dealer internal charge for dent removal is $45
Additionally, the sales manager indicated that once a car is CPO'd they have 90 days in which to sell it before they decertify it and send it back to auction. Did not dig deeper to determine if this was a BMW NA policy or just the dealership - or to determine if they have to eat the $2800 in addition to the cost of remediation.
Finally, they do have "ding cards" to throw into the deal as an incentive. They are good for free repair of a ~1.5" x 3" ding within 90 days of purchase. Guys had stacks in their desk. Not sure if it is just this dealer, but definitely worth an inquiry in case some 328-drivin' junior consultant dings you in the parking lot in your first week.
Thank you for all of the help when I was considering. Hope that this is even a fraction as helpful.
-10
Just picked up a 2007 M5 in the Metro-DC area and wanted to pass along a few things I learned in case anyone is considering. During the negotiation, the dealer brought me back to the computer and went through the cost accounting system. Revealed the following:
1) Dealer auction price of a 2007 M5 ~25k miles and moderate options is ~$49,500 as of August.
2) Dealers must pay a $2800 enrollment fee to CPO any M car beyond any costs associated with bringing it to CPO standard.
3) The dealer bakes a lot of things into "their costs" including
a) Fee for loaner cars when yours is in the shop (~$200)
b) Gasoline put in for test drives and full-tank delivery
c) Any cost incurred for CPO-ing the car (this appeared to be charged at their internal cost)
4) Dealer internal charge for a new tire (285) is $200
5) Dealer internal charge for dent removal is $45
Additionally, the sales manager indicated that once a car is CPO'd they have 90 days in which to sell it before they decertify it and send it back to auction. Did not dig deeper to determine if this was a BMW NA policy or just the dealership - or to determine if they have to eat the $2800 in addition to the cost of remediation.
Finally, they do have "ding cards" to throw into the deal as an incentive. They are good for free repair of a ~1.5" x 3" ding within 90 days of purchase. Guys had stacks in their desk. Not sure if it is just this dealer, but definitely worth an inquiry in case some 328-drivin' junior consultant dings you in the parking lot in your first week.
Thank you for all of the help when I was considering. Hope that this is even a fraction as helpful.
-10
