Does BMW demo mileage >5000 really result in sudden massive residual drop?

Looking into BMW 7 series loaners, when using the calculator, demo mileage at or below 5000 yields a modest decline in residual, far outweighed by concurrent discount.

Meanwhile once the calculator hits 5001 and above there’s an absolute reduction of 9% (from msrp) of the residual value. Is this real for BMW or just an error in the calculator.

Yep, we go over it in the bmw leasing wiki, and you loose incentives, lease cash, etc.

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