Hi Everyone,
Would love your take on this deal I just received from a BMW dealer located in South Carolina on a 2020 BMW X1 sDrive28i.
I’ve done my homework using this forum and had an idea that a fair deal would be around 10%, especially given the current climate. I started the negotiation stating the monthly payment I want (which would align to 10% off MSRP), how I’ll cover the fees and taxes DAS, and 36/10k terms. Here’s what I received:
MSRP: $40,045
Discount, including incentives: $2404
Misc Accessories: $996
Cash Down: $6249
Monthly: $430
He said 5% is the lowest discount they can give and I’m not comfortable putting that much down on a lease. I tried to talk through it but he brushed me off and at that point, I was ready to get out of there and didn’t have a chance to get the breakdown of the MF and Residual value he used. I knew going in that it is MF (.00099) and Residual (56%), but using the calculator, I’m still not understanding where these numbers came from.
Any advice? I’d like to just get a better understanding of what I can actually expect. I will be shopping around to different dealers (not a good vibe at this one) and I have about a month and a half before I need to turn in my current lease so not in a huge rush. Thanks for your help!
Welcome. Some dealers are willing to discount more than others. You may have found a dealer who doesn’t want to go deep because he is waiting for someone to pay up - hopefully not you.
How many dealers have you negotiated with? And how do their pre-incentive discounts look? Start negotiating with more dealers. Get as close to 10-10.5% as possible today and pick the best deal you get if you like the numbers.
$6k down is crazy. No go, deal breaker for me. No add ons.
I also suggest you consider a different offer approach. It sounds like you are offering a monthly and DAS. I prefer something as follows: I am interested in stock #12345 with a MSRP of $40,045. Let’s do $35,600 at the buy rate 0.00099 plus (any conditional incentive you qualify for). 36/10k. I will pay inception fees with a check when I sign. Please roll the $925 acq fee into the lease.
824 - thank you so much for the advice. I’m going to reach out to more dealers with that approach. I thought $6k was out of control and immediately turned me off!
You know what you are doing. All that’s left is talking to 4-5-6-7 dealers are getting one to do the right thing.
If you don’t get close to 10%, find a broker on here.
Take your new X1 for as drive and treat yourself to Sweatman’s BBQ. Or take a ride north to Lexington BBQ. You will work up an appetite negotiating a good deal. Good luck.
@824 you were very kind to her and I appreciate you but I have to take over here.
OP, Please for the love of god move on from this dealer. I would bet my life savings that I know the exact car and dealership that you’re working with. 900 bucks of add-ons and the discount bs screams Hendricks BMW in Charleston. They have two cars at that MSRP there and I’ve already dealt with them…guys absolutely will not play ball. They are waiting for the right unknowing rich sucker to pay 600+/Mo for a base X1. DO NOT be that person. I Beg You
If any of you guys are familiar, this is probably the same dealer that offered me essentially an MSRP deal on an X1 last month.
@Rsantoro12 You nailed it! I love buying cars and have a background working in the auto industry, I felt like the sales rep was treating me like I didn’t know anything because I was a woman. Sounds like this is their MO and it’s unfortunate they can be this way because clearly there are so many people in town that fall for it. I think my favorite part is that they act like nitrogen-filled tires is a compelling selling point.
Did you end up finding a good deal in the southeast?
We ended up signing this deal for 430 in NC about a month ago.
While it’s probably 75/mo off peak LH deals on X1s from back in late 2019 (Residual dropped 3% and incentives went from 2500 to 1000), the discount was healthy on a loaner and the guys were nice to work with. Compared to current deals I’m seeing on BMW SUVs in general, we got one of the last few good deals of the summer.
I probably spoke to 6 dealers total over the course of a couple months and this was the second best deal we got. The “better deal” was on a loaded X1 in New Jersey but was sold before we made a final decision.
