How do I Lease a CPO BMW?

by Michael Ryan

Leasing a certified pre-owned BMW lets you have a late-model BMW for a fixed lease term at a lower cost than a new BMW. Leasing a certified pre-owned BMW is similar in nature to leasing a new one, except the vehicle has some miles on it. The 50,000 mile or four-year BMW Ultimate Service free maintenance program remains intact, as does the factory warranty coverage provided to the original owner or lessee of the CPO BMW. Pre-payment discounts and guaranteed asset protection (GAP) insurance, which keeps you from paying the difference between the payoff and cash value in the event the BMW is totalled, are also included with all BMW CPO lease contracts.

Determine if a lease is best for you. Before committing to a certified pre-owned BMW lease, verify that you want to make an investment in a vehicle in which you have no equity at the end of the lease term. Also, consider your trade cycle. If you prefer to drive a new vehicle every three or four years, a CPO BMW lease is a smart choice. However, if you normally drive your vehicles longer and would consider purchasing the CPO BMW at the end of the lease term, you may want to consider purchasing, as you can own the vehicle outright and drive it without monthly payments once it is paid off.

Locate a CPO BMW that you want to lease. You can locate vehicles at local dealerships by visiting them in person, or you can cast a wider net by searching online using sites such as and to find CPO vehicles for sale and lease outside of your local market area. One benefit to doing part of your search online is that you can specify the exact CPO BMW you are looking for, down to color and total vehicle mileage.

Determine how many miles you need per year. You can purchase any amount of annual mileage with your CPO BMW lease, but remember that more annual mileage results in a higher monthly payment, as the increased number of miles causes an increase in the total depreciation you pay over the lease term. Less annual miles results in a lower monthly payment, but going over the allotted mileage results in excess mileage charges being tacked on to the end of the lease.

Choose the lease term that works best for you. While new BMW models can be leased for up to 60 months, CPO BMW models have a maximum lease length of 48 months, or four years. Choose a lease length that corresponds to how frequently you like to swap vehicles.

Ask for a lease quote from the dealership. Remember that, in addition to choosing your annual mileage and lease term, you can negotiate selling price, or capitalized cost, of the CPO BMW that you are leasing, just as if you were purchasing it with cash or financing it.

Negotiate using market-based research such as Kelley Blue Book and Black Book. Remember that the trade-in values provided by services such as Kelley Blue Book and Black Book are the target prices for which dealers like to buy cars for their lots. However, when making an offer, remember that CPO BMWs must be reconditioned to a minimum standard set by BMW, and these expenses are typically handed down to the buyer.

Close the deal and take delivery. Once you find a CPO BMW vehicle and lease offer that fits your needs, contact the dealership and let them know you will take delivery of the vehicle. Schedule a date and time to complete the paperwork and, when you visit the dealership, verify that all your information is correct and the payment on the contract corresponds with what you were quoted over the phone.

About the Author

Michael Ryan is a freelance writer with professional experiences in the auto industry and academic training in music. Ryan earned a Bachelor of Arts with honors from Olivet College. Since college, he has been a featured speaker at music conferences at the University of Michigan and Bowling Green State University. Ryan is a published writer, with work featured on websites including eHow and

More Articles

Photo Credits

  • photo_camera firma contract 20309 image by pablo from