THE LARGEST BMW 2-SERIES FORUM ON THE PLANET
2Addicts
2Addicts
BMW Garage BMW Meets Register Search Today's Posts Mark Forums Read
2Addicts | BMW 2-Series forum BMW 2 Series (F22) Forum 2 Series Pricing, Ordering, European Delivery residuals for 2017 models. help!

Post Reply
 
Thread Tools Search this Thread
      07-23-2016, 01:56 AM   #1
boypaulkim
Private
28
Rep
81
Posts

Drives: 230i
Join Date: May 2016
Location: CA

iTrader: (0)

residuals for 2017 models. help!

can someone kindly explain why 2017 residual is significantly lower than the 2016?
i have ordered 2017 because there was no way of finding 2016 228 properly equipped for my taste.
However, i am slowly discovering that the residual is at least 5% lower in the 2017 model than the 2016.

for example, 36mo/10k residual for 2016 228 was 61%.
i am hearing that residual for the same duration for 2017 230 will be 55% or even lower.

this is scaring me :/
Appreciate 0
      07-23-2016, 02:04 AM   #2
pz619
Brigadier General
3276
Rep
3,254
Posts

Drives: F87 M2C 6MT, Tesla 3
Join Date: Oct 2013
Location: San Diego

iTrader: (1)

It's because they want to entice customers to buy the older stock first. Once 2016s are sold through, you will see residuals on 17 models creep back up.
Appreciate 0
      07-24-2016, 08:13 AM   #3
xantdieselx
Kingslayer
xantdieselx's Avatar
No_Country
411
Rep
1,479
Posts

Drives: 23' M3 Base
Join Date: Jun 2008
Location: SWFL

iTrader: (0)

Residuals on the 17's will probably not get any better until the beginning of next year. You're in for a long wait.
__________________

Previous Cars: 2008' 135i, 2010' 328i, 2013' 328i, 2016' M235i, 2017' X1, 2019' M240i
Current Cars: 2019' X3, 2021' M3 Comp
Appreciate 0
      07-30-2016, 05:48 PM   #4
kaayyy
x
7
Rep
29
Posts

Drives: M235i
Join Date: Mar 2016
Location: Canada

iTrader: (0)

Residual in March when I ordered my M235i was 52% .. residual dropped to 49% in June and my car just arrived last week.. and am ending up being forced to pay the increase in my monthly lease payments.
Appreciate 0
      07-30-2016, 06:28 PM   #5
BMWZ4
Major General
BMWZ4's Avatar
1904
Rep
5,097
Posts

Drives: '23 X1/'23 Allroad Progressiv
Join Date: Apr 2010
Location: Toronto

iTrader: (1)

Quote:
Originally Posted by kaayyy
Residual in March when I ordered my M235i was 52% .. residual dropped to 49% in June and my car just arrived last week.. and am ending up being forced to pay the increase in my monthly lease payments.
WTF? No contract from March for the better residual?
__________________
'11 Z4 30i (retired);'11 X3 28i (retired); '15 M235i Stage 1 Dinan (recalled & crushed); '16 M235i Stage 3 Dinan (retired); '15 X3 28i (retired); '14 328i (retired), 2019 X3M40i (retired); Loaded '18 X1 (retired); Loaded '20 X3MC DG, Black/Tan Merino (retired); Loaded '23 X1 Cape York green and Red/Black interior; '23 Audi A4 Allroad Progressiv
Appreciate 0
      07-30-2016, 06:51 PM   #6
Fugly M3
Major General
Fugly M3's Avatar
4909
Rep
5,053
Posts

Drives: 2023 M3CX
Join Date: May 2006
Location: SoCal

iTrader: (5)

Quote:
Originally Posted by kaayyy View Post
Residual in March when I ordered my M235i was 52% .. residual dropped to 49% in June and my car just arrived last week.. and am ending up being forced to pay the increase in my monthly lease payments.
maybe different in CA, but residuals in US for 36/15 on the 235s are 58% I believe...as for the 17s I locked the July rate as the "worst case" which is 53% (horrible) but my guy said hopefully it'll come back up by late september when I have to sign...

All that said, also remember that car sales are at all time highs and things are "great" in the industry - I use quotes because when 675 credit score gets you top tier rates on $60k BMWs one has to wonder. Anyway, what that translates to for leases is actually a lower residual because there is expected to be a glut of used cars on the market 3 years out. Conversely, at the height of the recession when cars weren't selling, residuals were comparatively high, with the logic being there wouldn't be many used cars on the road from 2012-2014...and there weren't...used car prices skyrocketed. Seems counterintuitive, but it's not.
Appreciate 0
      08-01-2016, 02:12 AM   #7
M24Oi
New Member
3
Rep
21
Posts

Drives: M240i (en route)
Join Date: Jul 2016
Location: San Francisco, CA

iTrader: (0)

To put this into perspective, if your base price was $50k, this amounts to about $70/mo more pre-taxes, or a little more than $2/day .. it's a lot less scary when you think of it this way.

I have an addiction that costs me 4-5x this per day that I really need to stop
Appreciate 0
      08-04-2016, 09:42 AM   #8
Pparana
Captain
463
Rep
957
Posts

Drives: 2015 m235i
Join Date: Oct 2014
Location: Jacksonville Fl

iTrader: (1)

Quote:
Originally Posted by kaayyy View Post
Residual in March when I ordered my M235i was 52% .. residual dropped to 49% in June and my car just arrived last week.. and am ending up being forced to pay the increase in my monthly lease payments.
you would be better off buying at 1.9%, or lower on a 60 month, if you cross reference the amortization charts at 36 months, you would probably have more equity, factoring in the minor bump in payment. Worst case is 50%, I highly doubt they will be less than 61%, 62% for resale purposes.

Was just shopping for an suv for the wife, bmw residuals were horrible, 45k sticker w 7% off was still going to be around 570 w 2000 out the door, ended up with a lexus 47k sticker, 444 a month, 1500 out the door.

Sometimes leases just do not work.
Appreciate 0
      08-04-2016, 02:51 PM   #9
kaayyy
x
7
Rep
29
Posts

Drives: M235i
Join Date: Mar 2016
Location: Canada

iTrader: (0)

Quote:
Originally Posted by BMWZ4 View Post
WTF? No contract from March for the better residual?
I signed the contract in March, but BMW's payment protection policy is only 90 days. My car arrived end of July, so I was stuck having to sign a new contract with the new residual. My dealer and I tried all that we could, but zero luck with BMW FS.
Appreciate 0
      08-04-2016, 02:53 PM   #10
kaayyy
x
7
Rep
29
Posts

Drives: M235i
Join Date: Mar 2016
Location: Canada

iTrader: (0)

Quote:
Originally Posted by E46M54325Ci View Post
maybe different in CA, but residuals in US for 36/15 on the 235s are 58% I believe...as for the 17s I locked the July rate as the "worst case" which is 53% (horrible) but my guy said hopefully it'll come back up by late september when I have to sign...

All that said, also remember that car sales are at all time highs and things are "great" in the industry - I use quotes because when 675 credit score gets you top tier rates on $60k BMWs one has to wonder. Anyway, what that translates to for leases is actually a lower residual because there is expected to be a glut of used cars on the market 3 years out. Conversely, at the height of the recession when cars weren't selling, residuals were comparatively high, with the logic being there wouldn't be many used cars on the road from 2012-2014...and there weren't...used car prices skyrocketed. Seems counterintuitive, but it's not.
Canada is different than residuals in the US - missed that when I replied. It's tough signing contract for a vehicle and having to wait months for it as it's hard to predict what will happen with residuals.. especially when dealer doesn't emphasize this point. This actually happened when I first ordered the Macan and had to wait half year for it.. residual went down and lease pay't went up.
Appreciate 0
      08-04-2016, 02:55 PM   #11
kaayyy
x
7
Rep
29
Posts

Drives: M235i
Join Date: Mar 2016
Location: Canada

iTrader: (0)

Quote:
Originally Posted by Pparana View Post
you would be better off buying at 1.9%, or lower on a 60 month, if you cross reference the amortization charts at 36 months, you would probably have more equity, factoring in the minor bump in payment. Worst case is 50%, I highly doubt they will be less than 61%, 62% for resale purposes.

Was just shopping for an suv for the wife, bmw residuals were horrible, 45k sticker w 7% off was still going to be around 570 w 2000 out the door, ended up with a lexus 47k sticker, 444 a month, 1500 out the door.

Sometimes leases just do not work.
Yeah, it sometimes is better to just to finance if anything, and you're not hit with so much extras too. I'm glad you were able to find something though! It really isn't worth it if you have to pay so much more in monthly payments just due to the residual..
Appreciate 0
      08-04-2016, 07:11 PM   #12
BMWZ4
Major General
BMWZ4's Avatar
1904
Rep
5,097
Posts

Drives: '23 X1/'23 Allroad Progressiv
Join Date: Apr 2010
Location: Toronto

iTrader: (1)

Quote:
Originally Posted by kaayyy
Quote:
Originally Posted by BMWZ4 View Post
WTF? No contract from March for the better residual?
I signed the contract in March, but BMW's payment protection policy is only 90 days. My car arrived end of July, so I was stuck having to sign a new contract with the new residual. My dealer and I tried all that we could, but zero luck with BMW FS.
Wow. sorry for your troubles. Still sounds hokey to me, but I don't lease.
__________________
'11 Z4 30i (retired);'11 X3 28i (retired); '15 M235i Stage 1 Dinan (recalled & crushed); '16 M235i Stage 3 Dinan (retired); '15 X3 28i (retired); '14 328i (retired), 2019 X3M40i (retired); Loaded '18 X1 (retired); Loaded '20 X3MC DG, Black/Tan Merino (retired); Loaded '23 X1 Cape York green and Red/Black interior; '23 Audi A4 Allroad Progressiv
Appreciate 0
Post Reply

Bookmarks

Thread Tools Search this Thread
Search this Thread:

Advanced Search

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off



All times are GMT -5. The time now is 06:54 AM.




2addicts
Powered by vBulletin® Version 3.8.11
Copyright ©2000 - 2024, vBulletin Solutions Inc.
1Addicts.com, BIMMERPOST.com, E90Post.com, F30Post.com, M3Post.com, ZPost.com, 5Post.com, 6Post.com, 7Post.com, XBimmers.com logo and trademark are properties of BIMMERPOST