My BMW lease is ending in less than 6 months, and the car has only about 15K miles on it. It’s in super clean condition with no issues. I’m planning to purchase it at the end of the lease rather than turning it in or getting a new one.
Is it possible to negotiate the buyout price with the dealer, or is the residual value pretty much set in stone? If negotiation is an option, what strategies have worked for you—like leveraging the low mileage, market value comparisons, or timing the discussion? Any tips on dealing with BMW Financial Services or the dealership directly?
You CAN’T negotiate the buy out-it is what the RV says… what BMW is this??? Compare Market values vs RV of yours, also factory warranty is crucial when it comes to BMW as Out of pocket fixes can be very costly with GERMANS., there may be better deals 6 months from now for leasing again…
So, roughly my estimate is MMR $32-35K maybe less, right now… as mentioned, compare RV vs Market values and get a clear picture vs leasing a new one again… what are you paying and lease terms right now, what’s the RV at lease end…???
I’m normally the first to agree w/ this, but the engine in the 330i is supposed to be pretty durable (I think). So buyout might not be a bad idea, if OP has a good mechanic/service station.
In CA, I think you deal w/ BMW FS directly. Since there is no negotiation, I don’t think there are any tips to give…?
The B48 engine in @drcodec car is pretty reliable, same goes with its 6-cyl cousin the B58. The flaw is all the plastic used in the cooling system. Over time, thermal cycling will cause plastic components to turn brittle, yellow, and break. Around 60-70K is when you should look into proactively replacing the oil filter housing, heat management module, valve cover, and associated gaskets. Or else, you may be drinking the forbidden milkshake. IMO, the G20 330i is a rather unremarkable car (no offense to OP) in the grand scheme of things. If this was a more rare body style or a M340i I would probably change my tune.
Agreed that there is no way for him to get out of his residual. In rare cases, BMWFS will include a incentive in the payoff letter, but in this era probably not. Bought out two BMW leases in CA so here’s what I think @drcodec options are:
He can buy out the lease outright with cash. Send a cashiers check to BMWFS. Simple.
He can work with a dealer or BMWFS to finance the buyout, usually the latter’s rates are higher than outside banks.
He can work with a dealer to CPO the car and finance through BMWFS. He is on the hook for the CPO fees and reconditioning to bring the car to CPO specs, but that can be negotiated with the dealer. He would qualify for BMWFS CPO rates as well as loyalty.
He can work with an outside bank to finance the buyout. The bank would handle the transaction with BMWFS, but they may need @drcodec to go to the DMV or AAA office to do the re-title work and pay any applicable sales tax.
I’ve done (3) and (4) before and each was super smooth. My credit union walked me through (4) the entire way, was able to get all the paperwork done and pay my CA sales tax at the AAA office.
Did you get this during Covid peak car prices? seems pretty pricey for a 330i. Don’t think you have much, if any, equity in this.
Also unfortunately the low mileage doesn’t mean much to auto wholesalers/dealers or BMWFS. It adds a bit to the overall value, but not as much as people expect (i.e. a few hundred dollars more, not thousands). BMWFS will give you a small credit (max $300) at lease turn-in but that’s about it.
Depends on how long you want to keep this after you buy it… I’d probably just turn it in and move on.
I think you are probably better off turning in the lease and look to lease another one. The new lease will likely be at a lower payment and it will also include 3 years of scheduled maintenance and no warranty concerns.
If you can sell it to driveway or carvana for greater than your current payoff now you should think about it. 700/month for a 330 is way too much. Better to stop the bleeding now.
