Year/Make/Model: 2026 BMW X7 xDrive40i
MSRP: $101,525
Selling Price (pre-rebate): $88,327
Dealer Discount: 13% off MSRP (was initially 10%)
Rebate/Incentives: $3,000 loyalty rebate (applied after tax)
Add-ons: $1,500
APR: 2.49%
Term: 72 months
Notes / Question:
Got dealer down from 10% to 13% off MSRP before rebate, plus $3k loyalty rebate. Rebate is applied after tax. Does this look like a solid deal for a 2026 X7 40i, or is there still room for negotiation?
They are marking up the APR (and the most they can do is 2.4%, by the way), and there’s an add-on. It’s not as good as it looks.
Also, there is $1,000 of dealership contribution toward loyalty, so your contract needs to say $4,000 total in incentives. Are they going to reduce the discount by $1,000 because of that?
Just get the adds removed and it looks solid.
What do u mean ? 2.49 is being offered to him so is BMW offering 0.09% on 72 month finance ?
1% markup from 1.49% to 2.49% is max on a subvented finance rate.
It’s a triple net deal (no profit, just doing it for the stat) if they lose the add-on (Guessing it’s BMW of SF based on the dealer add)
This build is scheduled for end-of-December delivery. I requested the current $4,000 rebate and 0.90% rate, but they mentioned they can’t lock the rate until December. If the same $4,000 rebate and 0.90% rate are available then, they’ll apply them. The 2.49% rate is currently locked, and if rates decrease in December, they’ll adjust it accordingly.
0.9% is base for 60 months. 1.9% is base plus a 1% add. 72 months adds 0.5%, so it’s 2.4% max.
0.9 is till Dec1, Car delivery is probably Dec end, so asking me to wait and see if rate hold for dec, which I think will be
OP take the 60m loan. Why pay an extra 0.5% for almost no benefit
As for add ons, look at the deal in its entirety. Is anyone offering a better OTD price? Don’t die on the hill of no add-ons.
Remember you are not negotiating with some institution called BMW. You are negotiating with one individual who needs to figure out how to get paid even when the deal isn’t making much or any profit.
.59% actually.
72mo is 1.49% buy rate as posted or 2.49% as OP is being offered.
As you said though the adds may make more sense for the selling dealer than a clean deal with no fluff with a lower discount.
Totally agree with you!
How do you get to 4k in incentives?
given the lease on these at 1k a month is close to x5 leases, id say the it makes more sense to lease these 90k msrp cars and buy the 70kmsrp X5s. you are going to lose more than 1k per month on these in the long run
$2,000 lease incentive plus $2,000 loyalty or corporate.
$2,000 lease cash, $2,000 loyalty or fleet (of which you may likely only see $1,000 if dealer contribution is already high. — half is dealer matched and half is paid by BMWFS)
You’re going to lose more than $72,000 over six years on a $90k MSRP car sold for ~78 financed at 0.9%?
2020 X7s go for low 30s. you do the math.
Effective monthly cost of $715 and that’s with the highest tax burden (no trade); every subsequent purchase with a trade has a lower tax burden
*Incentives assumed include corporate which is a pretty common assumption in the marketplace too.