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If you are thinking of leasing an M5, the residual in 36 months after purchase is set at 59%. To compare, a 530's residual after the same period of time is 60%.

Appologize if this is old news

Cheers
 

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6speed said:
If you are thinking of leasing an M5, the residual in 36 months after purchase is set at 59%. To compare, a 530's residual after the same period of time is 60%.

Appologize if this is old news

Cheers
Do you know what the money factor is?
 

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The Canadian residual on a 36 month lease is only 54%
 

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Terk said:
The Canadian residual on a 36 month lease is only 54%
yes, unfortunately
 

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Since the full warranty and maintenance in the US is for 48 months, wouldn't it make sense to lease for the 4th year -- unless you want a new car every 3 years? I am new to leasing, but was considering it for this purchase.
 

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If you get a first year car, I suggest a 3 year lease so you can hop into one of the latter production cars and enjoy the running improvements they will make.
 

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6speed said:
If you are thinking of leasing an M5, the residual in 36 months after purchase is set at 59%. To compare, a 530's residual after the same period of time is 60%.

Appologize if this is old news

Cheers
The 60% residual for 530 is a result of an aggressive leasing program designed to make the cars favorable to lease. It is a "subsidized" rate by BMW. The M5 is a hot car and will sell itself, therefore, they do not need to "bump up" the residual value to help push sales.

Leasing beyond 36 months doesn't mke any sense, since you are paying much more than the rate of depreciation at that point. The ideal time frame for leasing is between 24-36 mobths. (39 months is ok ONLY if is based on a 36 month residual) but no more
 

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The 36 month M5 residual is +2% (61%) if you only need 12k miles a year like me. The highest dealer "BUY" rate (for the non-incentive vehicles ) in my area is .00280x2400 gives you APR.

MJ
 

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Residuals are depenant not only on the length (term) of the lease, but also the base allowed miles per year. BMWNA has released residuals for 10k, 12k, and 15k base miles per year allowed.

At 10k per year, 36 months, the resid is 62%
 

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I just spoke with my dealer and here is what I've been told are the lease rates for BMW Financial for the 2006 M5 (rates good through Oct 31):

Money Factor: .00310

Residual (10k miles per year - subtract 1% for 12k or 3% for 15k):
24 months: 77%
30 months: 69%
36 months: 62%

Some sample lease payments (at MSRP w/ no cap cost reduction + $3700 gas guzzler):

$1569 + tax: fully loaded, 36 months, 15k miles per year
$1449 + tax: fully loaded, 24 months, 10k miles per year
$1396 + tax: no options, 36 months, 15k miles per year
$1290 + tax: no options, 24 months, 10k miles per year

24 months is the best deal right now. Still pretty steep if you ask me; I'm rethinking leasing since I need 15k miles per year and will likely finance instead.

-Dave
 

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Aric said:
and not to mention our msrp is much higher as well with the current US exchange rate. hmmm
:eek: :( :crying: :crying: :crying: :crying:
 

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Depreciation is a fact of life for the M5. :sad1: Low residual value will push the resale value lower.

Paradoxically, it looks like the cost of ownership will actually be lower on the M6 and Porsche 911's. :p
 

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Maybe in Canada, not in the US.

My new 997 S Coupe and my two weeks out E60 M5 have identical residual curves and identical prices.

I don't know what the Porsche will cost in maintenance, but I do know that the BMW will cost exactly what my last four cost = $0.

If anything the M5 edges a win.
 

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I'm trading in my 997S Cab (MSRP $110k) and getting only $90k for it,car has only 3300 miles and the buy figure is from a friendly Porsche dealer,BMW was even lower....
 

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dknightx said:
I just spoke with my dealer and here is what I've been told are the lease rates for BMW Financial for the 2006 M5 (rates good through Oct 31):

Money Factor: .00310

Residual (10k miles per year - subtract 1% for 12k or 3% for 15k):
24 months: 77%
30 months: 69%
36 months: 62%

Some sample lease payments (at MSRP w/ no cap cost reduction + $3700 gas guzzler):

$1569 + tax: fully loaded, 36 months, 15k miles per year
$1449 + tax: fully loaded, 24 months, 10k miles per year
$1396 + tax: no options, 36 months, 15k miles per year
$1290 + tax: no options, 24 months, 10k miles per year

24 months is the best deal right now. Still pretty steep if you ask me; I'm rethinking leasing since I need 15k miles per year and will likely finance instead.

-Dave
Does the payment not depend on the down paymen. I have a fully loaded car w/the min down ($2500) and 12k miles, the payment for 24months (inl tax) was quoted to me as 1687.11 and 36 month 1720.62. Residuals are 74 and 59% for the 24 and 36 month,respectively.
Does this sound right? Sounds like more than you were quoted?
 

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Barry said:
Does the payment not depend on the down paymen. I have a fully loaded car w/the min down ($2500) and 12k miles, the payment for 24months (inl tax) was quoted to me as 1687.11 and 36 month 1720.62. Residuals are 74 and 59% for the 24 and 36 month,respectively.
Does this sound right? Sounds like more than you were quoted?
His calculations above assume no cap cost reduction (AKA down payment). The residuals you're being quoted are lower than his--one reason your payments are higher. What money rate were you quoted? How about the famous bank fee? You say your payments include tax, his don't. Also you probably have your 24 & 36 mo. rates reversed?

Leasing is something of a shell game that most dealers try to play--often making as much or more on the lease than the car sale.
 

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m_five said:
His calculations above assume no cap cost reduction (AKA down payment). The residuals you're being quoted are lower than his--one reason your payments are higher. What money rate were you quoted? How about the famous bank fee? You say your payments include tax, his don't. Also you probably have your 24 & 36 mo. rates reversed?

Leasing is something of a shell game that most dealers try to play--often making as much or more on the lease than the car sale.
How much would the tax be? My dealers #'s were higher for the 36month, makes no sense to me. But it seems like I should re-check with him.
What money factor is good or bad I've seen here 3.1% and a dealer friend of mine (LA) says theirs is 3.35%.
Bottom line as he says, the dealer needs to make their buck (as if they don't) so if you get charged MSRP they will get more out of the lease if they charge over (as his dealership is doing - $15k) then they can give you a better money factor. This will be my first lease so I'm pretty clueless.
 
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