# Can I End/Transfer My BMW Lease Early?



## iwanna330cic (Feb 21, 2005)

I have a 2012 Z4 35i that I picked up on a 36 month lease in May, 2012. The car is immaculate and loaded and I love it. Due to personal reasons, I may be looking to get out of this lease. I know BMW (or my dealer) won't just take the car back and end the lease, (right?) but I suspect they may want to recycle the car or have another customer who would love to have this car. The lease is up on May 10, 2015. Does this ever happen? What sort of fees are involved?

Doug


----------



## miamiboyca (Jun 19, 2012)

You can absolutely transfer your BMWFS lease. There is a fee, i think its like $500 to do the transfer and they will charge the person to do a credit app to see if they are approved. Best places to check are swap a lease or leasetrader.com to see if your price is competitive compared to what is out there and wether or not you will need to provide any incentive.

On a site note, you can always sell your car although I suspect that unless you got a great deal and put down a good down payment you are probably substantially upside down. Good luck.


----------



## nsfw (Apr 8, 2011)

Even when using leasetrader, its not likely to find someone to take over your lease mid-term for the same amount as the original leaser paid?(or is it?)
I was thinking about using the service but I figured I have to cover $100 or more for all the remaining months on my X5.


----------



## miamiboyca (Jun 19, 2012)

That all depends on your payment compared to the market.


----------



## mrMTB (Jan 4, 2009)

Doug, I took over the lease on a 2011 Z4 35is last summer. Feel free to hit me up over PM with any questions you might have, and I'll be happy to share what I learned from the experience.


----------



## mclaren (Jan 5, 2005)

You can get a quote for the payoff on bmwusa.com. You could then ask Carmax and BMW dealers for a quote and you can see how much it would cost to get out of the lease. The other option is swaplease or a similar site. I will say that because of the extremely low lease deals they had on Z4s the Manheim numbers are low.


----------



## ddk632 (Aug 19, 2006)

Just to add to what others have said and OP's original question, getting out of a lease is a matter of transfer or sale.

You signed a contract for N months at $X per month, and your payoff is the sum of the remaining payments plus the residual, plus taxes depending on state and if you sell to a dealer or Carmax vs. private party. The only way to "return the car early" is to do an approved lease transfer or sell the car. Selling the car involves paying the entire payoff amount and adding to or pocketing the difference based on the sales price, be that to a dealer or private party.

If you need to et out badly, you might have to take a loss (cash out of pocket), again as others mentioned above this will depend on the deal you got and current market value of the vehicle.

Many of the ads on swapalease or leasetrader involve incentives where the seller offers a lump sum of cash along with the car to help average a lower payment over the remaining term to be transferred. 

Do some research on this and good luck.


----------



## miamiboyca (Jun 19, 2012)

ddk632 said:


> Just to add to what others have said and OP's original question, getting out of a lease is a matter of transfer or sale.
> 
> You signed a contract for N months at $X per month, and your payoff is the sum of the remaining payments plus the residual, plus taxes depending on state and if you sell to a dealer or Carmax vs. private party.


This is incorrect. The sum of your payments includes interest which is not included in a payoff amount. You dont pay interest on the portion that you pay early.

In some states taxes do apply if you take ownership, not if you take to a carmax.


----------



## [email protected] BMW (Aug 2, 2010)

You can't transfer in last 6 months........ simple as that.


----------



## jagu (Nov 7, 2006)

[email protected] BMW said:


> You can't transfer in last 6 months........ simple as that.


Isn't there a restriction against transfers within the first 90 days of the inception of the lease too? Just asking.
I was trying to assume a 2 month old lease and they denied his request.


----------



## enjoi888 (Jun 8, 2012)

help on ending my car lease early?


----------



## quackbury (Dec 17, 2005)

Read the thread. You can get the payoff figure from BMWFS and then explore selling the car, sending BMWFS the payoff amount and walking. OR you can list the car on Swapalease or LeaseTrader. (From a buyer's perspective, Swapalease is a better option).

Will you find someone to assume your lease? Depends. If you are under miles, have desirable colors and options, and you either plunked down a cap cost reduction or negotiated a very good selling price, you may find a buyer. If you are over miles, have some bizarre mix of options, and/or you got fleeced on the lease negotiations, you are most likely SOL.

Of course, you can always just drive it into a bridge abutment or off a pier and let the GAP insurance solve your problem.


----------



## Missfitness226 (Dec 6, 2013)

I am also stuck in a BMW lease with 26 months remaining! I've got it listed on swapalease, cargurus and autotrader hoping to find someone. I think I just need to find a bimmer lover because with it being expensive, it's not something people are just going to jump on. Any other recommendations I'll gladly take.

2013 328i x drive luxury. black int/ext.


----------



## chrischeung (Sep 1, 2002)

Missfitness226 said:


> I think I just need to find a bimmer lover because with it being expensive, it's not something people are just going to jump on.


Bimmer lovers generally want a new BMW. Deal lovers are the ones that jump on existing leases (because the deals are often cheap - no comment on the lovers ). Is your car appealing enough to deal lovers? If not, what can you do to make it so?


----------



## Missfitness226 (Dec 6, 2013)

chrischeung said:


> Bimmer lovers generally want a new BMW. Deal lovers are the ones that jump on existing leases (because the deals are often cheap - no comment on the lovers ). Is your car appealing enough to deal lovers? If not, what can you do to make it so?


That's true! You make a great point! I do have a couple incentives, in paying the transfer fee and the first months lease payment. The payment is still relatively high, esp where I'm from (633 and I live in WV). Tough market.


----------



## chrischeung (Sep 1, 2002)

Missfitness226 said:


> That's true! You make a great point! I do have a couple incentives, in paying the transfer fee and the first months lease payment. The payment is still relatively high, esp where I'm from (633 and I live in WV). Tough market.


My rule of thumb is that you need to be about 15-20% lower than the best local lease deal on a new car, generally speaking. So if someone can lease a new car for $500/month, your offer should be around $400-$425/month. This assumes your car is perfect in condition etc.


----------



## Missfitness226 (Dec 6, 2013)

this might sound stupid, but by allowing them lower payments.. does this just mean I pay them a lump sum or something? How does that typically work?


----------



## MOPAULY (Sep 8, 2010)

Out of curiosity I just checked out swap a lease.com. I found a 2012 7 series nearby - you get to enjoy this car for $800 a month, and are allowed 1000 miles over the next ten months, or 100 miles per month! Who isn't jumping at these deals!! Hahahahahahaha


Sent from BimmerApp mobile app


----------



## Missfitness226 (Dec 6, 2013)

haha, well with a deal like that mine should go in about an hour =)


----------



## MOPAULY (Sep 8, 2010)

Whoa now. A $633 month 3 series in WV? your lease-car-to-state-lived-in-ratio is way off 

I have to say I've seen 5 series with better terms so that is probably going to be a very tough sell.


Sent from BimmerApp mobile app


----------



## Missfitness226 (Dec 6, 2013)

MOPAULY said:


> Whoa now. A $633 month 3 series in WV? your lease-car-to-state-lived-in-ratio is way off
> 
> I have to say I've seen 5 series with better terms so that is probably going to be a very tough sell.
> 
> Sent from BimmerApp mobile app


yeah looking through neighboring states and all I know mine is up there. It really sucks. When I got it our situation was one thing but based on self employement and home loan technicalities this car payment can pretty much keep us from getting a house. I would turn it in if it didn't crash my credit and make it more impossible to get a home.


----------



## MOPAULY (Sep 8, 2010)

Sounds like you might be best of riding it out, unless you want to take a hit to unload it. As much as I love cars, they for the most part are just depreciation, so a lease might make more sense for me next time around.


Sent from BimmerApp mobile app


----------



## hispeed4fun (Mar 1, 2013)

I have my car up on this site in the classified sections and no bites. I dont think you can lease a new car for the price i pay with no money down and still no one seems interested. I wonder if those lease sites actually work.


----------



## Orient330iNYC (Jul 30, 2002)

Missfitness226 said:


> That's true! You make a great point! I do have a couple incentives, in paying the transfer fee and the first months lease payment. The payment is still relatively high, esp where I'm from (633 and I live in WV). Tough market.


tbh, that price is going to be hard to get a bite on unless you toss in a fairly big incentive- 150 per month or thereabouts depending on if the 633 includes tax.

633 a month is loaded 335i territory-- my loaded 2010 was ~640 a month including tax msrp was close to 60K


----------



## ddk632 (Aug 19, 2006)

ddk632 said:


> Just to add to what others have said and OP's original question, getting out of a lease is a matter of transfer or sale.
> 
> You signed a contract for N months at $X per month, and your payoff is the sum of the remaining payments plus the residual, plus taxes depending on state and if you sell to a dealer or Carmax vs. private party.





miamiboyca said:


> This is incorrect. The sum of your payments includes interest which is not included in a payoff amount. You dont pay interest on the portion that you pay early.


Actually it is correct for a lease. In a lease your payoff includes all of the interest, which is calculated into the lease at inception. There is no benefit to paying off a lease early, you will pay exactly the amount of all remaining payments combined, interest, taxes, and all.


----------



## ard (Jul 1, 2009)

The really painful situation is when someone leases a car without being prepared, and they wind up paying way too much.

They dont realzie it but they need to use "the very best price a savvy buyer could have made on my car" as their comparator...and THEN be 15-20% under.

If a great 328 lease really is 520, you need to be at ~420. (Disclaimer, no idea what great lease deals are on 328s)

Yes, it is typically a lump sum- there are 24 months left and here is 150 per month or $3600. Not sure what a new home is worth to you, but 3600 to get into a loan and into a new house isnt a bad plan. IMO. Unfortunately.

And dont think 'well I'll keep it at minimal incentives and hope to get a nibble'... people just dont even bother when they see cars majorly upsidedown 

IMO

Has nothing to do with where you live- if there is a BMW dealer there are people that can afford BMWs.


----------



## omaralt (Jul 17, 2010)

i also am trying to get out of my lease (want something different, not a financial reason). my payment for my $74K MSRP car is $760+tax for 15k/miles. so its better than anything you can get from a dealer. however, i'm still not getting any interest. i think it's because the new leasee will have to pay me back my MSD's... oh well, there are worse things than driving a 550i for the next 2.5 yrs


----------



## zibawala (May 1, 2006)

328i, M sports for $419 included tax


----------



## TXPearl (Apr 16, 2010)

ddk632 said:


> Actually it is correct for a lease. In a lease your payoff includes all of the interest, which is calculated into the lease at inception. There is no benefit to paying off a lease early, you will pay exactly the amount of all remaining payments combined, interest, taxes, and all.


How are you coming up with this determination? I'm assuming we're talking about a BMWFS lease. Just checked my payoff balance and it's NOT the sum of the residual and remaining payments.


----------



## miamiboyca (Jun 19, 2012)

TXPearl said:


> How are you coming up with this determination? I'm assuming we're talking about a BMWFS lease. Just checked my payoff balance and it's NOT the sum of the residual and remaining payments.


Payoff is not the same thing as paying off your lease. The payoff on BMWFS is for the outright purchase of the car which does not include tax or interest.


----------



## TXPearl (Apr 16, 2010)

miamiboyca said:


> Payoff is not the same thing as paying off your lease. The payoff on BMWFS is for the outright purchase of the car which does not include tax or interest.


Huh? I don't think BMWFS cares why you're paying it off. And of course taxes are a separate matter which will vary by state.

Getting back to the OP's (and a subsequent poster's) situation - if you want out you can sell the car (private sale, Carmax, whatever) or you can trade it in. In either case, you'll owe the payoff shown on the BMWFS site for your lease. Or, as discussed, find someone to assume the lease.


----------



## iansanderson (May 1, 2011)

MOPAULY said:


> Whoa now. A $633 month 3 series in WV? your lease-car-to-state-lived-in-ratio is way off
> 
> I have to say I've seen 5 series with better terms so that is probably going to be a very tough sell.
> 
> Sent from BimmerApp mobile app


My 335i is around 665/mo, 15K with 4K down. I think I paid $500 over invoice which isn't the best deal in the world I know but the MSRP was about 60K! I clicked every option except the cameras. I don't need to get rid of it, but I knew going into it that I was encroaching 5 series prices so if the day comes, I too will have a hard battle on swapalease.com.

Cars are one hell of an expensive habit.


----------



## aas5 (Jan 16, 2014)

*Lease*

FWIW, I had a good experience with swap a lease. I was getting a BMW and listed my wife's Camry about 18 months before lease end. You pay a fixed fee to post your car and your listing stays on until the car is sold. As others said, the key is to be realistic about prices, be willing to be flexible and provide an incentive and also be patient. It's not going to happen overnight. It took me about 5 months from beginning to end and my lease was on the cheaper side than the market. Keep in mind that there are a lot of people that like to take advantage of no upfront fees (may be just the transfer fee unless paid by owner) and ability to get a new car every 12-18 months and drive above average miles a month so you will find a buyer, it's just a matter of time and cost. Good luck!


----------



## JAMCA79 (Feb 22, 2015)

*Have a buyer for my lease BUT...*

Hi- Curious how you guys and gals think i should handle. My brother just moved here and needed a car. I helped him get the job so as as part of the deal, he said he would take over the $440 payments on my lease which ends next March. At the same time, we just had a baby and need an SUV. Was wondering.....should i A) work through BMW on the lease transfer (how much) B. Use Swapalease or some other site to help with the transfer and maybe new purchase or C) maintain the car under us and let him pay me each month. i thought this was the easiest way but might not be great for me with three cars under my name after we buy a new SUV in terms of revolving credit if we decide to buy a house this year

thoughts or suggestions welcome...

Jeff


----------



## [email protected] BMW (Aug 2, 2010)

ok.....swapalease the car................ or trade it in and roll payments to new loan. the lease transfer is best deal for the $. Or if you can find A GOOD BMW DEMO DEAL w/ trade that may work as well... send me a direct email please if interested.


----------



## quackbury (Dec 17, 2005)

Do NOT let your brother pay you for a lease in your name. Since you are the lessee, you are liable if he has an accident and kills someone, and you are the one liable for any lease end charges (over miles, excess wear and tear, unpaid parking tickets, etc.) You can do the swap directly through BMW, you don't need Swapalease. The $500 is money very, very well spent.


----------



## [email protected] BMW (Aug 2, 2010)

correct you can do swap through BMW direct ... FYI he needs to have great credit and previous car credit. If he's a 1st timer probably not going to work. IMOH keep swapalease on your radar if you need more buyer options.


----------



## CTSoxFan (Oct 20, 2006)

so here is how I would break it down

A - Best option. Will be the easiest and cheapest. Assuming he can get approved.
B - Only an option if you are not giving it to your brother. Even if you go through swap a lease your brother still has to be approved by BMW to take over the lease, so there is no reason to use that UNLESS he can't get approved and you need another buyer.
C - Not an option - basically for all the reasons Quack laid out above. You have a wife an a baby...you can't risk putting your family in jeopardy to help anyone, even your brother.


----------

