BMW i3 REX fire sale in NJ, is this as good as it looks?

Ask the Hackrs
1

A dealership in NJ is really trying to unload the 2015 i3s Rexs.

“$99 A MONTH 30 MONTHS 10K MILES A YEAR
$3995 CAP COST + $700 SECURITY DEPOSIT”

My understanding was that cap cost was another way of saying the agreed upon cost of the car being leased before tax. However, when I called and asked about it, they told me that the cap cost was the down payment. So what exactly is the cap cost in this context?

I also asked what other incentives they were using besides the Federal Tax Incentive to try and extrapolate the sale price and they told me they were using a NJ state tax incentive as well. When I’ve done research on this, the only thing I could find for NJ is that it takes off the state tax for electric vehicles. They said that if I register the car in NY, that the discount wouldn’t apply.

Caveat: this was an online sales person that called me from an online inquiry. She didn’t seem that familiar with many of the questions I was asking.

So my questions are: Can “cap cost” mean down payment? Even if it does, this deal isn’t bad, but it’s not fire sale good.

Can anyone clarify how moving a leased vehicle across state lines would change the tax incentives? and what that would equate to in NJ to NY?

Love this site. Has increased my confidence greatly going into my first car lease.

2

I’m pretty sure by “cap cost” here they actually mean “cap cost reduction” which is another term for putting money down as a down payment.

3

Yes, they probably meant “cap cost reduction”, which is basically the down payment.

Without the $3,995 cap cost reduction, the monthly payment will likely rise from $99 to approximately $245. That’s not bad, but certainly not a fire sale.