So I talked to a few dealerships and the lowest offer I got on a 3 series was:
MSRP: $42,095
Sale Price: $37,988
Lease Terms: 24 Months/10K Miles Per Year
Discounts: Lease Cash $3,000
Down payment: $5,000 + Drive Off + Acq Fee
Monthly Payment: $184.25
Any way to lower the down payment on this or reduce the total cost of the lease?
Why would you put so much $ down?
Especially over just 24 months. In 2 years are you planning another 6k plus outlay?
3 year lease may be a lower monthly payment unless you can get more discount. I would not put that much $$$ down on the lease though. Although you’re saving interest, you’re running the risk of losing that money in an accident. Better to save/invest that DP instead.
Yea, that makes no sense to put any money down on the lease especially that much. especially on a short term. When negotiating your lease or even a purchase you want to see results with no money down that skews your perception of the deal. Your $5k ends up around $208 a mo, so your effective payment is $392 which is not considered to be near a hacker worthy deal on this car and you still have the drive offs.
To lower the overall cost of the lease you’d have to negotiate the MF that I suspect they are doing a colonoscopy with. Negotiate the price of the car to have a deeper discount if possible in your area, if not widen the net.
This is actually why I posted here, to get help to lower that down payment. I am comfortable with the monthly payments but I really want the down payment to go below 2k. Ive already calculated in the lease cash but it doesnt help. If I move money into the monthly payments, its going to go over my budget slightly. Are there any incentives or offers that can lower that horrible down payment?
I mean, you’re not going to realistically get that payment on a $40k+ 3-series. You need to know what your residual and money factor are in order to know what sales price to target. Your payment as it stands is effectively ~$450/mo sign and drive (assuming $10-11k total lease cost over 24 months).
You need more detail on the numbers. Residual, MF, what the dealer fees are (acquisition, dealer doc, registration). From there you can plug and play. But if you’re looking for a sub $300 payment, you’re going to have to find something closer to 20% off MSRP.
You can always lower the down payment…down to zero if you want. There’s no requirement to put a down payment on a lease. In fact, it’s frowned upon. With that said, your monthly payment goes up, however.
As kmdukez says though, that payment is going to be tough, unless you find a loaner with under 5k on the clock. You’re going to need a much bigger discount before incentives.