# So you want to drive a E65 7 series for less than $700/month?



## BayAreaBMWFan (Aug 8, 2004)

Thanks to various board sponsors, I am about to close on an awesome deal. Here the details.

As some of you are aware the E65 2002/2003 models come with full bumper to bumper 6yr/100K factory warranty. They also come with a 4yr/50K maintenance. These cars got a poor reception but are great cars after the software issues were resolved.

Here is an algorithm which seems to work.

*1. * Find a 2002/2003 7 series with under 50K Miles. Possible sources are:
-Ebay Auctions
-Dealer Auctions via brokers ($1-2K plus auction price)
-Private party sellers: Many will sell at $1-2K above what the dealer offered for trade-in. The dealer typically offers 5-10% less than the auction value. Some of the owners are upset with the problems they had with the car and do not want a new BMW. A non-BMW dealer will typically offer less than the BMW dealer, since they will most likely have to auction the car.

My research suggest that an 745Li can be had in the mid to late 30s for a 2002 and the early 40s for a 2003 if you shop well. The 745i is a couple of grand cheaper.

*2.* Buy the extended maintenance plan from Adrian for $1145 :thumbup: . If the car is over 50KMiles this can be a problem unless it already has the plan extended.

*3.* Depending on the year you chose, you now have a car with about 2.5 years (for 2002) and 3.5 years (for 2003) of full factory bumper to bumper warranty with no exclusions, and free maintenance. Just like a new Bimmer.

*4.* Contact* leasecompare.com * to create a lease for you such that the lease ends when the warranty ends :thumbup: . This is critical since this way you do not have a liability if the car goes bad. The retail values of the cars is still quite high (late 40s, early 50s) so the residuals after 6yrs are still in the mid 20s. Like the ED situation, buying at wholesale, creates an opportunity for low lease payments.

I will be paying under $700pm for the car on a 15Kmiles/year deal :bigpimp: . This includes maintenance, disposition fees, one set of tires and taxes. The cost per mile without gas and insurance is less than 60c.

The number is comparable, to what I would have paid if I had bought a 2000/2001 E38, an extended warranty and budgeted for maintenance costs and repairs not covered by warranties (emission system, trim etc.)

I will post more details after the deal is done.


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## Rowag (Nov 12, 2004)

Heck yeah, another bargaining min/max shopper! :thumbup:

Let us know how it goes.


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## BayAreaBMWFan (Aug 8, 2004)

The other option was to get a mini van. I have delayed the inevitable minivan by 29 months. It is the rear leg space which clinched the deal. And the damned Honda would have cost us the same. They go for sticker here.


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## mismaloya (Nov 22, 2005)

Very Creative.....I like it.


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## AB (Jan 11, 2002)

What a great post!!! Please give us full details when you have completed this transaction! :thumbup:


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## chuck92103 (Oct 9, 2005)

Sounds like a good deal. However, keep in mind the older 7's have the 1st generation iDrive which leaves a lot to be desired. Hence the reduced pricing. 

If vehicles can be had for really good prices there is usually a reason.


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## BayAreaBMWFan (Aug 8, 2004)

The car is in the house. I am attaching some pictures from the seller's ad.

I know that the 1st gen iDrive sucks. However given our driving style, all we are going to use is the navigation and the radio. We usually keep the climate control fixed. A small price to pay. Does the 2003 have a better interface?

I will be sending the final papers to leasecompare.com on Monday. They have been wonderful in accomodating my special requests including
-> Creating a custom lease quote so that I do not lease the car outside warranty
-> Sending stuff via Saturday Delivery so that I could close the transaction
-> Very responsive to my questions and requests

This car drives much better than the E38. The steering feel is close to that of the E39 though not that precise. But it is much better than the E38.


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## MG67 (Aug 19, 2003)

I was looking at the 745i to do the same on... then I was looking at the E90 330i on ED... Maybe with a bit of money down I can drive a car like that too... around $500 a month... 

I'm checking Ebay motors right now...


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## Magna (Jan 4, 2002)

I just subscribed to this thread, yes very interesting. Something I might consider. I am so new car focused, but this idea gets me into a very nice car.


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## BayAreaBMWFan (Aug 8, 2004)

*Some things to remember...*

A few things to remember:

1. leasecompare.com will do leases for 2002 model year only till the end of December.
2. Some of the cars with over 50K Miles will have their maintenance already extended; you need to call BMWUSA to check.
3. There is a 2003 745Li with 52K miles on Ebay for just over $41K from a seller with great reputation in Ohio. The ad says that the extended maintenane is included but you should check.

2002 just over 50K for less than $37K

2003 with 52K for less than $42K

Going through a broker might be best to get the best deal.

4. There is some leeway in the 50K limit on extended maintenance. According to BMWUSA, the area rep can approve an extension if contacted. I see no reason why BMW would not want to allow it just because of a few K miles.
5. The 745i can be had for a few grand cheaper. So if you do not need the extra leg-space of the Li give it a look.
6. And finally the most important point:
Driving a 2002 745Li with 50K miles is astronomically more fun  than driving a 2006 Honda Odyssy Touring. So unless you need a seven seater go for the E65.


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## LA X3 (Jul 5, 2005)

Brilliance, absolute brilliance!

One question about the LeaseCompare arrangement ... what happens at the end? Do you just "turn the car in" like a regular lease? To whom?

The opportunity to lease a slightly used current-model car is very tempting -- you avoid both the heavy early depreciation and the risky out-of-warranty period around 4-5 years of age.

Oh, and the car is gorgeous! (As is the house, from what we can see.


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## BayAreaBMWFan (Aug 8, 2004)

LA X3 said:


> Oh, and the car is gorgeous! (As is the house, from what we can see.


Yup, the car is awesome and so was the seller's home. My wife wanted to see if we get the home also.  .

We decided to buy SupperLotto tickets regularly to get closer to that goal.

That is one good thing about buying a 7 series from a private party. You will meet a person with *serious* amount of wealth. Here in the Bay Area the wealth is usually from stock options so they folks are usually very approachable.

Regarding the turn in part, I will have to check with them. Typically most banks have an arrangement with some dealer/auction house who will inspect the car at the end and take it in. That is what the disposition fee is for.


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## LA X3 (Jul 5, 2005)

Somebody once said, of buying a used 7-series, "Isn't it great living off the crumbs of the rich?"


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## Rowag (Nov 12, 2004)

LA X3 said:


> Somebody once said, of buying a used 7-series, "Isn't it great living off the crumbs of the rich?"


 Ain't that the truth!

My wife and I bought our '98 Porsche Boxster with 16k miles on it in February for $20k. Talk about the deal of the century. :thumbup:

The owner was loaded (15 cars, heated garage, blah blah), the car was pampered, and we got a fantastic deal on a great car. He just "got tired of it" and decided to replace it with a Hummer.  :dunno:


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## BayAreaBMWFan (Aug 8, 2004)

*The whole scoop*

All aspects of the transaction finished earlier this month so I thought I will share my experience. This transaction would not have been possible without bimmerfest and especially the board sponsors.:angel:

*Leasecompare* is a class operation. They are very responsive, stick to their words and took care of special situations which arose in this private party transaction. 

They created a custom quote for me for 29 months which ensured that I did not lease the car after warranty


I had agreed on the deal on Tuesday and wanted to close on Saturday but the seller did not fax the title to leasecompare till Thursday. So I decided to do the transaction with my own funds. Leasecompare helped me in doing that and sent the documents via overnight with Saturday delivery. I got them in the morning and got the car in the evening. They then sent me a check in a few days.

The also handled all the registration and DMV stuff. They had initially charged me $400 for the title, but refunded $320+ since the registration was still valid for another five months.:thumbup:
The process:

Find a private party seller
Get a quote from leasecompare
Put the short credit app online and they will get back to you in an hour or two.
leasecompare promises to close the deal within 3 business days of they receiving the title copy.
They will overnight you and the seller a packet with yellow post it stickies telling you where to sign 
You will have to get the bill of sale notarized
They will also order an inspection where a person will come to your place of work/home and takes pictures of the car and make sure that the goods are legit.
You send the stuff back overnight using the prepaid envelope
They overnight the check once they get all the documents and the inspection report
You pick up the car  

I got the extended maintenance plan from *Adrian* at $50 less than MSRP :thumbup:. The local dealers mark it up 50% over the MSRP! *Sarafil* also chipped in with some very useful media material. :thumbup: :thumbup:

The car is under full maintenance and bumper to bumper BMW factory warranty till the lease ends. Mrs. BABF is really happy. Finally a BMW she actually likes herself; not just because I want it. It is her daily driver up and down 280 (30 miles one way). The car is so smooth she says.

The back seat is wonderful when BABF Jr. is travelling. There is enough space to keep the diaper bag, toys etc. on the floor in front of you. We bought a seat which converts into a stroller (in anticipation of the ED) so have to take it out and put it in everytime we travel. This works great since we do not have to wake him up when putting him or taking him out of the car. When putting the car seat in the middle position, we sit down and then swing the seat in instead of bending down into the car. My back thanks the car whenever we go out.

I have gotten the hang of the iDrive and fiddle around it with all the time.

And for those who are curious. With no money down (no security deposit even) the monthly lease payments are $513.84 plus tax ($556.02 net). This is for a 15Kmiles/year lease. The charge for going over the milage allowance is 15c/mile  . I got a good deal on the car (<$35K) which made the lease payments really sweet.


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## bmw325 (Dec 19, 2001)

Awesome deal! A stretch 7 does sound good for family activities-- and much better than any minivan.



BayAreaBMWFan said:


> All aspects of the transaction finished earlier this month so I thought I will share my experience. This transaction would not have been possible without bimmerfest and especially the board sponsors.:angel:
> 
> *Leasecompare* is a class operation. They are very responsive, stick to their words and took care of special situations which arose in this private party transaction.
> 
> ...


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## LA525iT (Oct 27, 2003)

Major props, great strategy and deal.


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## grkmec (Oct 18, 2005)

So this is a situation where do you don't want CPO because it already has 6yr/100k guaranty?


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## BayAreaBMWFan (Aug 8, 2004)

grkmec said:


> So this is a situation where do you don't want CPO because it already has 6yr/100k guaranty?


Yes.
The warranty is full bumper to bumper like a new car warranty.
It does not have the exclusions or the $50 deductible.


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## daoushy (Jul 31, 2005)

Hey BABF.. Great car :thumbup: 

Can I have more info about that car seat/stroller :angel:


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## BayAreaBMWFan (Aug 8, 2004)

daoushy said:


> Hey BABF.. Great car :thumbup:
> 
> Can I have more info about that car seat/stroller :angel:


I bought it from here

Company Web Site
Another company web site

Reviews


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## daoushy (Jul 31, 2005)

Thanks BABF.. This is awesome :thumbup:


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## Technic (Jun 24, 2002)

BayAreaBMWFan said:


> All aspects of the transaction finished earlier this month so I thought I will share my experience. This transaction would not have been possible without bimmerfest and especially the board sponsors.:angel:
> 
> *Leasecompare* is a class operation. They are very responsive, stick to their words and took care of special situations which arose in this private party transaction.
> 
> ...


Wao... that was an _education_!

Congratulations! :thumbup:


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## BayAreaBMWFan (Aug 8, 2004)

UPDATE:
leasecompare.com has started offering leases for 2002 and older cars also.
I found this 2002 745Li on Ebay with less than 50K Miles and a Buy It Now price of $36900.Ebay Listing for the Burgundy 745Li


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## X550-ED (Aug 27, 2005)

Can I drive a E65, BRAND NEW, for less than $700/mo w/o ridiculous $$$ down, but w/ 7MSDs and ED?


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## MEJORI (May 17, 2006)

murphys frickin law!!!! i just bought a 2001 740il last friday, then i joined bimmerfest and found this thread...aaaaaaahhh!!! I STILL LOVE MY CAR THOUGH!!


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## BayAreaBMWFan (Aug 8, 2004)

Life has come a full circle...

BABF Jr for whose comfort (or for whose caregiver's comfort) this thread was created, got his first Bimmer today.

2013 E92 with Black with Coral Red.

Grateful and thankful for all.
View attachment 1044804


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## CityGuide (Feb 17, 2012)

BayAreaBMWFan said:


> Life has come a full circle...
> 
> BABF Jr for whose comfort (or for whose caregiver's comfort) this thread was created, got his first Bimmer today.
> 
> ...



An entertaining story in 2005, and a great follow-up now.


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