BMW Lease FAQ

Why Sign a BMW Lease?

You’ll have plenty of options whether you choose to move forward with buying or leasing a vehicle in Westbury. Some of the benefits of a BMW lease include:

• Lower Down Payment – A lease will typically require less money up front than financing, making it a more accessible option in many cases.
• Lower Monthly Payments – While purchase contracts require you to pay for the total value of the vehicle, a lease contract only requires you to pay for the depreciated value, giving you the benefit of lower monthly BMW payments.
• Warranty Coverage – Lease contracts are typically shorter than purchase contracts; most lease agreements are two to three years. This relatively short term means that most issues, should they arrive, will likely be covered by the vehicle’s warranty.
• More Affordable – Less money and lower monthly payments means that you’ll likely be able to afford to lease a higher-end car than you could purchase.
• Reduced Taxes – Taxes can add a lot to the cost of car ownership. When you buy, you owe sales tax on the entire cost of the vehicle. But if you lease, you’ll only be on the hook for the the expected depreciation of value.
• Additional Flexibility – When you lease, it’s much easier to upgrade your vehicle frequently without the burden of selling your current car first.

What is a BMW Lease Takeover? 

If you really like the vehicle you’ve been leasing in Syosset, and you’ve negotiated for the option to buy your BMW model at the end of your lease, you can sign a BMW lease buyout loan. This will allow you to make finance payments towards the total value of your vehicle, building your equity. The purchase price will be based upon the estimated residual value of the leased BMW at the time of your contract’s closure. This means that you’ll generally absorb your BMW lease payments into your overall auto equity investment.

Can I Request a BMW Early Lease Return? 

Yes, you can terminate your BMW lease early. However, this can come with a hefty lease termination fee, and you’ll also have to pay the remaining expected depreciation of value on your lease’s original term. Fortunately, BMW is one of the most accommodating manufacturers to work with when it comes to early lease termination, as they allow for lease transfers.

• Lease Transfers: If you can find someone else to take on the remainder of your BMW lease, then you’re good to go, and with plenty of third-party sites like Lease Trader and Swap a Lease to help you connect with people looking to take on or trade lease agreements, it’s quite painless to move on to your next car.
• Sell Your Car: Another path for early terminators includes buying your leased vehicle and selling it. If you break your contract, you’ll have to pay penalties and the remaining depreciation of value over your original term. If you simply buy and sell your vehicle, however, you generally won’t have to pay any lease termination fees or waste money on depreciation for a car you won’t be using.
• Reach Out for Help: If you’re struggling with your BMW lease payments, you can also simply call BMW, who can offer temporary BMW payment relief until you get back on your feet.

What is the BMW Pull Ahead Program? 

With the BMW Pull Ahead Program, BMW once offered to pay off the remaining 3 to 6 months of drivers’ lease agreements on their current vehicles if they agreed to switch to a BMW lease. As of 2018, this program has ceased to exist, but it could be reinstated in the future.

Can I Use My Leased BMW as a Ride Share? 

BMW now offers a BMW lease specifically for drivers looking to use their vehicles as a ride share for Uber or Lyft. However, you will want to consult the manufacturer’s site to see a list of participating dealers.

Should I Buy a New BMW Instead?

While car financing requires a larger down payment, and larger monthly BMW payments, you are paying towards actual ownership of your vehicle. This means that when it comes time to sell, you’ll receive the residual value of your model. In a sense, your payments are an investment. Here are a few other advantages of financing:

• Early Termination: If you can’t keep up with your payments or you’re interested in upgrading your car, you can always sell your current model and use the funds to pay off the remaining balance on your auto loan. When you lease, breaking a contract can often be as expensive as fulfilling the remainder of your term.

• Mileage: Most BMW lease contracts stipulate how many miles you can drive each month, whereas if you finance your car, you can drive it however much you want.

• Wear and Tear: Damage to upholstery isn’t an issue when you finance a car. You’ll just see it docked from your vehicle’s resale value. When you lease, however, stains, smoke smell and more can come with a fine at the end of your contract.

• Right to Customize: Looking to add a roof rack? Want to upgrade your stereo system? Looking for snazzier rims for your wheels? You can’t customize a leased vehicle, but you can accessorize your financed model in whatever ways you see fit.

Which is Right for You? 

At the end of the day, the benefits of leasing a car vs. buying generally appeal to different sorts of drivers. The BMW lease vs. buy decision is a difficult one, but if you fit into one of these two categories, you should be able to chart a clear path forward:

• • Drivers Who Lease: These drivers won’t have to drive long commutes everyday. They aren’t worried about the mileage limits of their agreements. Some aren’t ready to afford a full finance contract. Others simply like to upgrade their vehicle often and don’t see the point of investing in one model, since they’ll have to sell it everytime they want to upgrade. It doesn’t hurt that most leased vehicles will stay under warranty for the full duration of the contract.
  • Drivers Who Finance: These drivers are looking to make an investment. They’ll want to see their BMW payments as contribution towards owning auto equity. While they’ll pay a larger down payment and monthly car payments, they expect to see a return on their investment when it comes time to sale. They may also be interested in the freedom to customize their vehicle or drive wherever their heart is pulling them. In other cases, drivers who finance are simply interested in owning a vehicle for years or even decades to come.

Learn More about BMW Lease Agreements at Rallye BMW

Now that you’ve read our BMW lease vs. buy analysis, check out the BMW lease specials we have on offer. Have more questions about BMW lease return or a car lease takeover? Feel free to reach out to Rallye BMW in Westbury to talk with one of our finance professionals for answers. Explore our new model inventory to find the right vehicle for your BMW lease, today.When you get in touch, we can also talk about other options like secured car loans. And, of course, we’d love for you to take a test drive while you’re here! We want to help you have the best Jericho or Roslyn commute possible, after all!