Bmw X3 loaner - please tell me I am not crazy!

Ask the Hackrs
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1

I am helping a family member shop around for a lease. Spoke to a dealer today about an 2019 X3 M40i loaner car with approx 4000 miles. Car was punched mid 2019 with about 6 months of warranty coverage already in service.

I spoke pricing directly with a sales manager and he insisted he could not let the car go below “cost” or invoice price on this car, before incentives. That amounts to toughly 11-12%ish discount. He gave me a long story about anything additional such as hold back, incentives, etc. is not a guarantee, I am plenty familiar with how car dealers make money. For a brand new 2020 car I am totally on the same page with him and I feel 12% discount would be a fair deal. However for a car approaching 1 year from the production date, with 4000 miles of wear & tear, depreciation, and loss of warranty coverage, this seems pretty stingy to me.

Let me know what you think. #s are approximate we did not get far enough to actually run a lease. Should be able to get much more discount for a loaner/demo vehicle correct? Maybe This dealer just had a super slow Jan thus far… Comments appreciated!

MSRP: $63,500
Discount : 11.8%
Incntives - $2,750 lease cash + $1,500 loyalty
RV : 56% for a 36/12k lease
MF: 0.00137 buy rate
Due at signing would be 1st months payment + roughly $200 dealer doc fee + approx $231 title/registration + 7% sales tax due up fron on the total of lease payments
Monthly Payment ~596.

2

The SA isn’t being stingy.
Loaners are not as easy to price as new. Different models have different “write-downs” the dealers can use to lower their cost.

That is his real cost of the car at 11.8% discount most likely, and his/her GM or owner will have a problem if it is sold under cost.

I’ve seen the same model, same mileage, same service date car at the same dealer have way different costs.

Keep shopping around and don’t take this one…it’s not ripe for the taking yet

4 Likes
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Thanks! The conversation was very respectful and he was a no-bs type of guy. I told them to keep my contact info and call me at the end of the month if they needed to make another sale. I’m not very excited about my chances of hearing from them though :slight_smile:

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Agreed, also every dealer writes them down differently with respect to how they hit the service dept for each vehicle in addition to any factory loaner monies… not to mention how the vehicle gets hit for sales tax in many/most states when titled as a loaner. I think alot of us forget that they are cheaper than a new vehicle when comparing the msrp to the loaner discount… not everyone is a Hackr!