Hi Everyone,
My cousin is looking to lease the new 2021 BMW M3 Competition for 36/10k in Georgia. We went on Edmunds to find out that the Residual and MF is 57% and .00093; however, we were shocked to find out that every dealer that we reached out to was giving us an MF of .00133. So, my question is, can we ask these dealers to match the Edmunds MF/say another dealer is quoting us the .00093, or are they just up charging cause it’s a low production vehicle?
Any advice would be helpful!
Thanks!
You can ask for buy rate or you can ask for an additional discount on the selling price to offset the marked up MF. Marking up MF is how dealers make profit.
Better strategy is to determine what deal is acceptable to you and just ask dealers if they are willing to agree to it. Let them get to your monthly/DAS anyway they want, marked up MF or not, as long as they give you what you want.
Move to a strategy of making offers.
Plug the following into the LH calculator after MSRP of the vehicle you’re looking at:
Selling price based on % pre-incentive discount found by searching Shared Deals and Marketplace sections of this forum.
RV, MF and incentives (lease cash) from Edmunds forums. Add any extra rebates you qualify for (college grad, etc) under incentives.
DMV fees and taxes based on your state’s official website.
Voila! Now check the box to make it $0 DAS and offer the resulting monthly payment*
Got it! Thanks, I think that’s a good way of putting it, my cousin wants to get a payment of around $950 a month, so as you said if they need to raise the MF and give us a higher discount on vehicle, he would be fine with that. Appreciate the advice!
One huge qualifier here is that your offer needs to be grounded in reality and you have to triple-check all inputs to be correct before making an offer. Otherwise they just dismiss you as unreasonable tire-kicker.
Use the calculator to figure it what discount you would need to get the car to the same payment as base MF with the marked up MF. Counter with two options, msrp with base MF or discount % calculated with the marked up MF.
Or reach out to @Ashleigh , Im not sure if they are still offering discounted builds.
It’s what he’s comfortable paying per month, and from our research seems to be a reasonable price to pay assuming a 5% discount, .00097 MF, 57% Residual and 3 MSDs down.
With how much down? That seems low to me given the state of bmw programs right now, although I haven’t dove into the math to verify
$0 down, just the first month’s payment + tax + fees, which comes out to be around ~$4,700.
Ah, gotcha. So not $950/mo, but $1050/mo. That makes more sense
Quick search on marketplace shows 3-5% pre-incentive discount on M3 Comp. If the rest of current program numbers is confirmed, and your math checks out, this looks like a solid offer to start working on.
Right, I guess it does end up being about $1,050 a month if he were to roll in the fees and everything into the payment.
Yeah, exactly, we did a lot of research based off of the forums here and tried to replicate it to the dealers in Georgia, but I think with the advice given, he will have better responses to the dealers now.
Ideally since your in Georgia you’ve reached out to @BMWPros Brian to see if he can achieve this?
Now, that’s the way to make an entrance here. Bravo. All the other new users, please take a note. Whole wealth of info is available for you to make an educated decision.
Haven’t yet, I’ll have my cousin reach out! Thanks for the contact!
Have him reach out to me directly and I can see what I can accomplish.
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