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      05-04-2016, 08:08 PM   #45
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Quote:
Originally Posted by Transfer
Oof. Those are rough numbers. There is no way the M2 will cut through 50% (or more) depreciation in 3 years. Do not lease this car.
On the other hand, if prices really do drop like a rock I may be more interested in one 2-4 years from now.
you can still lease it for the tax savings and sell it to carmax or third party before the lease is up!
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      05-04-2016, 08:16 PM   #46
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Originally Posted by ufgtrs2007 View Post
That's tragic! You can lease a well-equipped M5 for $1000 / month with 4K due at signing.
I want to know your dealer. I hear stories like this and then the truth comes out that a person had tier 2 pricing with the dealer, car has no options, it was sitting on the lot for 2 years, and they gave a blow job to everyone at the dealership. I couldn't come close to that on an 2016 M5 which is why I'm in a x5 at $900 a month that retailed for $83 and sold for $74. No idea how someone could get a $100k+ car for only be $100 more a month.
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      05-04-2016, 08:21 PM   #47
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Temporary halo car to get you into the dealer and into an M3 or M4 and to maximize revenue over the period while they are hot. They won't canibalize M3/4 sales as there are only so many available and when you look at the two cars on a payment basis most people who lease would opt for the M3/4. Leasing is about getting more car for your payment for most people.

Great strategy, use one car to drive sales of the one where production and tooling costs are being amortized away and profit is up.

IIRC there is no limit on number produced only over maximum capacity to produce in a given timeframe, I'm sure over time the residuals will rise.

There's a reason BMW is so successful, compelling products, recognized brand and some great big brains deciding what to sell and when.

Still doesn't explain the X6 or X4 though. The BMW version of a Chyaler Paciifica - an answer to a question no one asked.
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      05-04-2016, 08:23 PM   #48
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Quote:
Originally Posted by bjcarls View Post
I want to know your dealer. I hear stories like this and then the truth comes out that a person had tier 2 pricing with the dealer, car has no options, it was sitting on the lot for 2 years, and they gave a blow job to everyone at the dealership. I couldn't come close to that on an 2016 M5 which is why I'm in a x5 at $900 a month that retailed for $83 and sold for $74. No idea how someone could get a $100k+ car for only be $100 more a month.
PM SENT
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      05-04-2016, 08:27 PM   #49
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Just get a M3/4 and call it a day. Nothing that special to be paying at that price.
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      05-04-2016, 08:28 PM   #50
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All the hype in this car.....not worth it
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      05-04-2016, 08:34 PM   #51
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All lease programs have deteriorated this month across all models save for the i3 and i8.

I'd expect the M2 lease to get better this time next year. Won't even see it be competitive until then.

M3 is still the best M car on lease.
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      05-04-2016, 08:40 PM   #52
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Leasing is attractive to so many because it accounts for the most difficult thing to predict - market conditions years down the road.

Many people say they are going to keep a car forever or for some long period of time, but the truth is things change in our lives, new vehicles come out, and the market "pushes" certain vehicles over. Most people want new cars to drive every few years. Instead of tying up all the money on a purchase that almost definitely will land you upside down in 3 years, leasing delays that purchase decision with no real penalty. Love the car? Buy it out at residual. Hate it? Turn in the keys and walk away.
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      05-04-2016, 08:45 PM   #53
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Originally Posted by jbeene View Post
Temporary halo car to get you into the dealer and into an M3 or M4 and to maximize revenue over the period while they are hot. ...
Halo car, yes.
But actually the M2 is a return to BMW's roots.
The M3/4 have become showy mid-sized luxury GTs.
Vastly different target market than small-and-sporty.
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      05-04-2016, 08:47 PM   #54
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Originally Posted by MSport28 View Post
... Love the car? Buy it out at residual. Hate it? Turn in the keys and walk away.
Pretty sure I'm not going to be hating my M2 after 3 years.
Then again, I'm still waaaaaay down on the list, and haven't even driven one yet.
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      05-04-2016, 08:49 PM   #55
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Quote:
Originally Posted by bjcarls
Quote:
Originally Posted by ufgtrs2007 View Post
That's tragic! You can lease a well-equipped M5 for $1000 / month with 4K due at signing.
I want to know your dealer. I hear stories like this and then the truth comes out that a person had tier 2 pricing with the dealer, car has no options, it was sitting on the lot for 2 years, and they gave a blow job to everyone at the dealership. I couldn't come close to that on an 2016 M5 which is why I'm in a x5 at $900 a month that retailed for $83 and sold for $74. No idea how someone could get a $100k+ car for only be $100 more a month.
That's a very doable deal. PM me and I'll introduce you to my CA.
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      05-04-2016, 09:05 PM   #56
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Originally Posted by M3 Adjuster View Post
I don't understand the mentality of all those that are into leasing. It's like so many people in this thread have no idea that you can actually PURCHASE a car rather than lease it.

I guess that's why everyone's head is exploding and they can't wrap their head around the fact that BMW doesn't want you to lease this car.

The M2 is NOT going to be a high volume car!

The M3 and M4 are high volume cars and have lease rates to match.

The M235 is a high volume car and has lease rates to match.


As DJ KHALLED would say...
They don't want you to lease this car for $499.


If you want to get an M2... You will need to WAIT FOR IT ... And BMW wants you to BUY it. So take the hint and finance it at 1.99 percent!


And in order to make their point they make it lease for $899.
Honestly this feels over thought to me. I'm not saying you are wrong, as there is no way you can prove you are right, nor I. We simply aren't in the room when these decisions are made.

I believe they are just taking advantage of the strong demand knowing people will lease. Tax incentives is one such example. In the end, the manufacturer would prefer consumers treat cars like consumables, so we have to go back for more. Once supply is more in line with demand, we will see a rise in residuals. A car that has planned production for the next 3-4 years can't really be called limited in supply. There is no reason to believe that BMW wouldn't raise capacity to meet steady demand. Otherwise they are leaving money on the table.
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      05-04-2016, 09:08 PM   #57
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Quote:
Originally Posted by M3 Adjuster View Post
The M2 is NOT going to be a high volume car!

The M3 and M4 are high volume cars and have lease rates to match.
I don't see how the lease rate is related to production volume. How many M6's are produced and what are their lease rates?
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      05-04-2016, 09:11 PM   #58
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Track use for leased M2

Does BMW have any restrictions for track use (HPDE) or autocross for leased M cars?
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      05-04-2016, 09:16 PM   #59
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Quote:
Originally Posted by bjcarls
Quote:
Originally Posted by ufgtrs2007 View Post
That's tragic! You can lease a well-equipped M5 for $1000 / month with 4K due at signing.
I want to know your dealer. I hear stories like this and then the truth comes out that a person had tier 2 pricing with the dealer, car has no options, it was sitting on the lot for 2 years, and they gave a blow job to everyone at the dealership. I couldn't come close to that on an 2016 M5 which is why I'm in a x5 at $900 a month that retailed for $83 and sold for $74. No idea how someone could get a $100k+ car for only be $100 more a month.
Yeah, I'm wondering about people posting how they are getting m3's for like 650-700 a month with nothing down. Maybe my dealers around here suck!
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      05-04-2016, 09:27 PM   #60
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Quote:
Originally Posted by zenmaster
Quote:
Originally Posted by M3 Adjuster View Post
The M2 is NOT going to be a high volume car!

The M3 and M4 are high volume cars and have lease rates to match.
I don't see how the lease rate is related to production volume. How many M6's are produced and what are their lease rates?
If you are only concern about profit on the M2 you lose the forest for the trees.


BMW is selling M2 sizzle everywhere.

But when you come to the table to get your dinner, there is M235, M3 and M4 everywhere.

That's ok. You are hungry for M2. You can wait. And so you wait. And then you start wondering how much the M2 is gonna be ? Perhaps an M4 will do? No. You are hungry for M2. LBB even! And you wait. Meanwhile the M4 and M3 steaks keep popping up all over and you are still waiting for your M2. And then suddenly you overhear from the next table someone talking about good their M4 and how much nicer it is than the M2. And oh the PRICE of the M2 it was so horrible ...


Unattractive lease rates force people away from choosing the M2 at the dinner table.

Less options force people away.

Those people that are forced away will take the volume sellers in the M235 , M3 and M4 and at the same time the dealer and BMW will make more profit on the sale of a car with more optional equipment. Some will go to Porsche.


But Porsche is doing the same thing.


@wilsel is correct ..

" When a car has this much demand the lease terms are always a ripoff. Just look at the Cayman GT4."


Exactly. Because at the Porsche table they are selling Cayman GT4... And when you get to the table they have plenty of Cayman S, GTS, and 911.....
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      05-04-2016, 09:31 PM   #61
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If you have a business where you can write off the lease it might still make sense but for anyone else leasing the M2 won't make sense. I read a lot about the auto industry and the manufactures are getting nervous about the level of leasing and having a bunch of used cars flood the market so they are becoming more conservative regarding residuals so we will likely see the cost of leasing go up a bit for a while. I suspect that will run in cycles.
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      05-04-2016, 09:31 PM   #62
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Quote:
Originally Posted by DS_BMW
Quote:
Originally Posted by bjcarls
Quote:
Originally Posted by ufgtrs2007 View Post
That's tragic! You can lease a well-equipped M5 for $1000 / month with 4K due at signing.
I want to know your dealer. I hear stories like this and then the truth comes out that a person had tier 2 pricing with the dealer, car has no options, it was sitting on the lot for 2 years, and they gave a blow job to everyone at the dealership. I couldn't come close to that on an 2016 M5 which is why I'm in a x5 at $900 a month that retailed for $83 and sold for $74. No idea how someone could get a $100k+ car for only be $100 more a month.
Yeah, I'm wondering about people posting how they are getting m3's for like 650-700 a month with nothing down. Maybe my dealers around here suck!
I priced out leases for M3's and they were about $650-700 a month for 36 mos/10k a year.

I specced them out to about $71-72k, MSDs, 36 months/10k per, European Delivery, $0 down (no cap cost reduction) except for first month, msd, registration and bank fee.

Loaded cars are in the $700's.
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      05-04-2016, 09:32 PM   #63
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Quote:
Originally Posted by M3 Adjuster
Quote:
Originally Posted by bradleyland
Bananas. My 2011 135i had a >60% residual! Looks like BMW FS isn't willing to take a risk on this little guy. Nuts, considering how the 1M has performed in the secondary market.
I don't understand the mentality of all those that are into leasing. It's like so many people in this thread have no idea that you can actually PURCHASE a car rather than lease it.

I guess that's why everyone's head is exploding and they can't wrap their head around the fact that BMW doesn't want you to lease this car.

The M2 is NOT going to be a high volume car!

The M3 and M4 are high volume cars and have lease rates to match.

The M235 is a high volume car and has lease rates to match.


As DJ KHALLED would say...
They don't want you to lease this car for $499.


If you want to get an M2... You will need to WAIT FOR IT ... And BMW wants you to BUY it. So take the hint and finance it at 1.99 percent!


And in order to make their point they make it lease for $899.
You could lease a Cayman S for that price which has a better residual value
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      05-04-2016, 09:39 PM   #64
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In GA we have to pay the full 7% sales tax on the value of the car even if you lease it. BMW financing has a way around this, but it's still worse than a regular lease. If you're lucky find a credit union with 1.69% and buy it!
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      05-04-2016, 09:44 PM   #65
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Sales are down across the board, BMW "i" was a huge cash sink that hasn't had good sales and has just lost executive leadership, they're slashing the maintenance program, reducing the Euro delivery discount, and now this.

I smell blood in the waters at BMW.
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      05-04-2016, 09:46 PM   #66
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Quote:
Originally Posted by DS_BMW
Quote:
Originally Posted by Msmall143
Quote:
Originally Posted by M3 Adjuster View Post
I don't understand the mentality of all those that are into leasing. It's like so many people in this thread have no idea that you can actually PURCHASE a car rather than lease it.

I guess that's why everyone's head is exploding and they can't wrap their head around the fact that BMW doesn't want you to lease this car.

The M2 is NOT going to be a high volume car!

The M3 and M4 are high volume cars and have lease rates to match.

The M235 is a high volume car and has lease rates to match.


As DJ KHALLED would say...
They don't want you to lease this car for $499.


If you want to get an M2... You will need to WAIT FOR IT ... And BMW wants you to BUY it. So take the hint and finance it at 1.99 percent!


And in order to make their point they make it lease for $899.
wrong! they are hoping you lease it because they make more $$$

Are people forgetting you can buy or sell a leased car at any time including the end of lease term? All bmw is doing with this lease residual is keeping it low in hopes that the leaser turns in a vehicle that is carrying equity. they hope you turn in a car that is worth more than your buy out, then they turn around and sell it again. and the m2 will retain better than the financing residual number.

You dont lose money on a lease unless your an idiot and turn in a lease with equity. the high payment is irrelevant. worse case scenario you paid more than your share of depreciation and you buy or sell the car to get what you over paid (equity) back. a lease payment still pays down principle like any other loan payment
How do you not lose money on a lease? Almost everyone who leases gives the car back at the end. Where is the prophet on that?
Good question. If you see Him, let me know...
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