Year, Make, Model, and Trim: 2021 BMW 330xi
MSRP: $48,855
Selling Price: $43,579 (10.8% off MSRP)
Monthly Payment: $425.00
Drive-Off Amount: $3,267.50 (1st month, acquisition, DMV, taxes)
Months: 36
Annual Mileage: 10,000
MF: .00082
Residual: 58%
Incentives: $2,000
Region: NY
Leasehackr Score: 8.7 years
Leasehackr Calculator
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Seems right on target as far as pre incentive discount goes. Solid deal! Nice
@Fazil_Ali1 NY doesn’t allow MSD’s and dealer doc fees are capped at $75. Also, I contacted some brokers and their offers were very similar. One was a little over 11% pre incentive but with their broker fee the monthly effective lease came out to be the same as this one.
NY doesn’t allow NY dealers to offer MSDs, but as a NY resident, you do have the option of using them at an out of state dealer. It’s worth crunching the numbers on for comparison.
@mllcb42 7 MSD’s would run me $3,150 saving me $864 over the course of 36 months. Personally, I’d rather invest the $3,150 than have it locked up for three years accruing nothing.
Get ready for the floodgates to open …
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You’re going to have to make about a 13% annual return on that $3150 just to break even after taxes. With essentially no risk. Do you have that investment lined up?
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@mllcb42 it’s actually a compounded annual return of 8.4% to break even. If your preference in to have your money locked up in MSD’s to reduce your monthly lease payment, have at it. It’s just not mine. I appreciate the advice though.
Taxes…Uncle Sam gets his cut.
Don’t forget the taxes on the investment you have to cover
Less money going out is equivalent to more money coming in. Your checkbook cant distinguish the two.
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The taxman can though.
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You only pay capital gains when you sell your investment.
I guess were not following your logic, but that OK as its your $. Honestly, most people in “real life” (aka not on a web forum) who Ive tried to explain it to dont buy into it either. Thats good✔️.
Can we seriously just stick to discussing the deal and not venturing off into this side bar MSD vs investing conversation. My bad for allowing it to happen.
Can we stop talking about how to improve the deal and start talking about how to improve the deal?
If we want to ignore that avenue for improvement, your only options are working out more incentives or improving the pre-incentive discount. How does the discount you have compare against comp deals and broker options you have researched?
I see what you did there
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Looking at your calculator…your $0 drive off pmt is $523. IMO that is not terribly attractive for this MSRP BMW. The discount % needs to improve.
So far broker deals have been higher by about $20/mo. Though I’ve only received two back so far.