‘25 CPO X5 with ~10k miles. 3 years left on warranty and 1 year cpo warranty after. Planning on financing and driving 3-4 years depending on resale market. Out of state but driving distance, will look at before purchase.
Have read that a CPO report is basically useless, do I need PPI if factory warranty is still 3 years?
Not leasing because I believe this is priced well for positive equity in a few years. Open to opinions and thoughts here as well. Thanks in advance!
What is the history on the vehicle? Who owned it and where? Dealer should be able to provide maintenance records and list of items fixed or replaced during CPO inspection. How does price compare to other 2025/CPO deals?
Per Carfax (also have been reading this has potential to not tell the full story)
Carfax definitely does not tell the whole story. I assume this is a lightly optioned xdrive40. Are you looking at BMWusa CPO website to see what dealers are asking for similarly equipped CPO vehicles?
How much will it cost you to buy this vehicle and drive for 3-4 years versus just leasing a new one? TCO is usually lower to buy vs lease over the longer term, but lease payment should be lower than finance payment unless you are paying cash. What would you do with extra cash every month?
if you decide to buy and are worried there is something wrong with the vehicle given the price, get the PPI done to ease your concern. You have a clean Carfax, so in 4 years most dealers will not look beyond that when you trade it in on your next vehicle. The downside is if you get in an accident that shows up on Carfax the trade value will be diminished. With the lease you just give it back.
The CPO warranty is essentially a one-year extension of the original warranty terms.
Unless something has changed since I had a CPO BMW.
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Thanks for response! Good set of options luckily and yes comping against other bmwusa cpos at other dealerships
Lease payment would be lower if I term matched for financing (3 year lease & 3 yr financing) but if I extend term and pay a little more interest I can get payment below lease and still in theory have equity after resale. All depends on resale market of course and my math haha. Appreciate the note on carfax trade in
I think it might be a little less than factory with some exclusions, but was more referring to the actual CPO report the dealership gives after their inspection
What information would you expect to find in a CPO report that isn’t there, the absence of which so thoroughly nullifies what is present that the report is
?
It sounds like this might be a former loaner being sold as a CPO rather than someone buying it and then trading it back to the original dealership. Either way, get the PPI from an independent mechanic for peace of mind if you are really concerned. The CPO process varies wildly depending on the dealer and this is across brands. My BMW CPO lease that was a former loaner kept pulling to one side immediately upon delivery, the dealer had changed the tires but didn’t do an alignment.
On your concern about price, they probably priced it high and now are looking to get rid of it if it’s been sitting. I’m seeing my local BMW dealers in the NYC area with CPOs sitting longer than they should or used to.
Thank you super helpful
How does the preincentive discount compare to what you can get brand new, typically 10-12%?
Yes, the report is basically useless. Thoroughly inspect and test drive at the minimum. I once got a CPO that needed rotors for sure, and either the CPO report was rubber stamped or it had sat and then been test driven really hard by someone else.
PPI is hard to arrange on CPOs but is the ultimate precaution. I do realize that IRL many used car managers won’t let it leave the property for a PPI. Private sales are easier in this sense.
Is the assumption to have positive equity in a BMW any realistic?
Off of MSRP it is way more, has ~10k miles and yr old, so to be expected. But off their sale price I am getting like 3-4%