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2010 2011 BMW 5 Series Forum F10 Bmw 550i XDrive M-Sport 2011 Last one left. |
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11-25-2011, 09:41 AM | #1 |
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Bmw 550i XDrive M-Sport 2011 Last one left.
Hey guys,
So as some of you know i work at Bmw Canbec and have been a long time poster way before i even got in the car business. Have sold a few cars here lately and am always here to help with any questions. So i just wanted to give you guys a heads up. We have only 1 2011 550i X-Drive M-Sport left and we can do something pretty pretty solid on it. Let's just say you'll be getting 535 pricing for a 550 The car is Alpine White on Black with simply M-Sport and Bmw Apps. If anyone is interested just shoot me an email. ************************ Thank you |
11-25-2011, 10:06 AM | #2 |
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so, around $12,000 off + $3500 off from BMW delivery credit allowance = $15,000 grand total off ?
If so, then it's not bad of a deal. If not, the dealers here in the GTA can do almost the same as you. Given it's a 1 year old car which has depreciated by at least 20-25% while sitting in the lot. Fair value is probably around $63K. Last edited by bobblehead; 11-25-2011 at 10:11 AM.. |
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11-25-2011, 10:18 AM | #3 | |
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12,000$ off? Really. I don't know who's in the business of losing money or should i say with you're 12,000$ off A LOT of money. But unfortunately not us. We're extremely competitive and would probably best any price in the country but common. If you can find one with 12,000$ off , grab it. If you can find one with 8000$ off , grab it. And yes i'm pretty sure everyone here knows there's 3500$ off. We're not in the business of hiding anything either. Thank You |
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11-25-2011, 11:05 AM | #4 |
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Seriously, last month (October), dealers here in the GTA are already discounting them around 8% off the MSRP + $3000 BMW factory credit allowance. That mean for a 550 with just Msport package = $78,400 * .08 off = $6,270 + $3,000 allowance = $9,270. And for November, another $500 more for the delivery allowance.
That still leaves the dealer with $800 + dealer admin fee + bogus charges. Your break even mark for your leftover car is about $67,500 (incl. the $3500 credit). Correct me if I am totally way off. That's why you are saying "you can get a 550 for the price of a 535. I have a few friends already gotten this kind of discount. Please don't fool the bloggers about manipulating discount #. btw, I aleady have a 2011 550xi Msport. As you know, the longer the 2011 car sits, the more likely the dealer will incur a loss on it. |
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11-25-2011, 11:47 AM | #5 | |
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You are talking about 12,000$ + 3500$. 8% off is 1% from cost. So if you take 6270$ + 1% you're looking at 6900$. 12,000$ - 6900$ = 5100$ So why exactly do you think they would lose 5100$ on a car. Even I as an employee of Bmw would not get that kind of a discount. Admin fees are 459$ which are standard with all dealers across the country. Some charge less , some charge more. Secondly i don't appreciate teh accusations of fooling bloggers. I've been a member on Bimmerpost long before i started working at Bmw. As you can see from my sig i had a E92 335 and a E93 M3. These cars i leased through Canbec as a consumer just like you. People have this perception that dealers make so much money on these cars. Profit margin is minimal. And yes everyone has to eat. So in November discounts big discounts are justifiable on certain cars. But big losses are not. And one thing i am is honest. You can ask all the friends i've made throughout the years here. |
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11-25-2011, 01:20 PM | #6 |
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Well, here is my way to value a 1 year old car. If driven for 1 year & 20,000 km, the residual at end of year 1 will be around 69% of the orig. price ($78,400 * .69 = $54,000). Rate of monthly depreciation for year 1 is about $2,000 for being driven.
Since the car has never been driven and with 0km, if I value the car at: 85% of the orig. price - then fair value is $66,640; 80% of the orig. price - then fair value is $62,720 Therefore, if the asking price is in the $63 - $65K range, then I think it's fair. Therefore, the spread between the MSRP $78,400 - assumed fair value of $65,000 = $13,400. In comparing to the deals my friends got recently in October 2011: MSRP for 2011 550xi Msport - $78,400 Dealer discount 8% ($6,272) BMW delivery credit allow. (3,000) Net price $69,128 Based on this net price - the valuation is $69,128 / $78,400 = 88% or 12% off the MSRP .. that's brand new not driven. Since then, another 1 month has gone by ... actually next month would be 2 months .. the valuation would now be approaching between 80-85% mark. Of course, from the dealer's point of view, it's all about not losing $. I agree. May I add one last commet, let's say if the car sits for another 1 - 2 months, then do you think the dealer can still sell the car @ cost or above cost (factor out the factory delivery allowance from this equation). Well, let's see who is right ! Last edited by bobblehead; 11-29-2011 at 06:01 AM.. |
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12-15-2011, 06:38 PM | #7 | |
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(1) sometimes 2012 cars are not arrived or meet buyer's specifications, and people who want cars immediately cannot wait for the new ones (2) BMW Canada offers higher incentives (delivery credit, alternate cash, etc.) As a result with reasonable discount (not below-cost-discount) plus BMW Canada incentives, people would buy a 2011 car above dealer's cost. |
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12-15-2011, 08:33 PM | #8 |
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^ I am sure that an average buyer without proper research would pay anything as long as the dealer can talk numbers. Like I said, no dealer would want to lose money on any deals but I am using logic to make sense comparing his offering to my friends' deal. Agree or disagree is up to you.
As for your deal, you pay what you want as long as you are happy. Enjoy your ride. |
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