BMW M340i lease SoCal - input needed on feasible discount

[max_g]

@Alibid

Mark-up of money factor is s as red line for me. I won’t consider any deal with a mark up. It’s just a blatant red flag that the dealer is looking to screw me

It’s not…

[spockvr6]

@mllcb42

I’m not entirely sure I can come up with a circumstance where a marked up mf with a commiserate discount isn’t in your favor

Me either.

[john6866]

Thinking a bit more about this - this gives the lessee more equity in the vehicle over the lease term. If I run through the lease term and turn the vehicle in, I didn’t really get an added advantage? Am I missing something?

[mllcb42]

@john6866

If I run through the lease term and turn the vehicle in, I didn’t really get an added advantage?

If you run through the entire lease term, the only added advantage is that some dealers are incentivized by additional bonuses to mark up mf so you may be able to negotiate a larger overall discount.

There is no down side and worst case scenario you have no net gain.

[Kctham18]

You worked out your numbers (MF, DAS, and all that). Let’s say the dealer agrees to your numbers and at the end of the day, the DAS and monthly matches. Does it matter how and where they move the numbers? They’ve agreed to what you wanted. So there’s a bit of back-office accounting going on - does it matter?

Also, dealers need to make money and in some cases they stand firm on a/the marked-up MF. Doesn’t mean they won’t work a deal with you. Something to consider…

[Phil_Connors]

Don’t know if it’s true, but somebody mentioned that BMW isn’t offering volume incentives to their dealers, and they’re definitely not rich with customer incentives right now. Based on my dealer/broker interactions in the past month in CA, they definitely are cutting a piece of the action for themselves, which seems fair.