[JeremyDFW]

In certain states, sales tax is paid on the full price of the automobile at the beginning of the lease - Texas (my state) is one of these. If you decide to purchase the vehicle at the end of the lease, the state then taxes you again on the residual purchase price. For this reason, BMW Select is an option for those that don't want the "double taxation" on the residual purchase price. This happened on my M3, and one reason I won't lease another vehicle if there's a chance I will keep it...

PenFed has a program "Payment Saver" that is an option - they take into consideration the estimated residuals on the vehicle, then offer the balloon payment at the end. Their finance rates are usually very competitive, and I'd check them out if you are looking at a longer term purchase.