I finally bought out my lease as a CPO
What I ended up doing was extending my lease by two months, which the terms are very flexible. I already made 1 of the 2 extra lease payments when I CPO the car. I ended up with a slightly lower residual as a result, the remaining payment was forgiven and not part of the payoff.
After doing the math, the 0.99% @ 48 months from BMWFS and added cost of CPO-ing the car was a wash with the 2.74% from my credit union. I shopped around several dealers for the lowest CPO cost and eventually went with Jon Shafer at BMW Santa Maria, who initially leased me this car. In the end, here is how my deal looked:
Residual: $35521
Discounts: $4500 (Customer Purchase Promo), $500 (BMWFS CPO Loyalty), $3500 (MSDs)
CPO Cost: $1595
Final price out the door was about $31k. The CPO inspection was clean, nothing required reconditioning. Whole process including paperwork took only 2-3 hours. Decided to hold off on getting the extended warranty for a couple months, while I sort out some other stuff.