2016 Kia Optima Hybrid 24/12k SoCal

Hey Guys,

I just closed this deal yesterday on a snow white 16 Optima Hybrid (cargo net and rear bumper applique), seems that the $6,000 lease cash is still going until Sep. 6. Also, residual appeared to have gone to 55%, but the money factor has also been reduced. After trying unsuccessfully a few weeks ago, I was able to find a dealer willing to deal, Kia of DowntownLA.

Here is the breakdown, let me know what you think…

MSRP: $27365
Sale Price:$23790
Lease cash:$6000
College Grad: $400
MF: .00024
Residual: 55%
0 DriveOff
Monthly payment $189.97 all inclusive

Thanks!

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who was your sales person?

Adam Sukkar, he was straight forward, no surprises.

is this LX version Ivan?

very likely, EX version gets $7k in lease cash.

Yes it was the LX version. I believe that lease cash for June was $6500 on 24 months and $7500 on EX, has gone down $500 this month on both trims.

They offered me $22,640 sale price in june, I made a mistake by showing them my calculation and they flipped the table on me and raised the price to what u paid and I walked away. Still hunting for it below 23k will update u guys if I come close

how are you guys seeing the $6500-7500 in lease cash? when i emailed a dealer they told me there is $2500 in cash back, which is the same thing i am seeing on Kia’s main website. I would like to be able to point it out to the dealer

thanks

Here is the link-

http://www.kia.com/us/en/forms/payment-calculator

Make sure to choose Lease and select the 24 months or 36 months.

1 Like

thanks twintowers, i appreciate it

This is one of the issues I encountered, some dealers that I spoke to were not transparent at all and it became obvious very quickly that they did not want to acknowledge the lease cash after I negotiated the sale price. Actually, kia of cerritos did finally acknowledged the lease cash, but jacked up the money factor to .00299, so I walked out.

By giving you all the incentive information, lowest money factor and negotiating the sale price upfront, they are essentially giving the customer the leverage.

I don’t know if this is common with kia dealerships, but I have found that working with the right sales person is key to working out these deals.

1 Like

http://www.kia.com/us/en/forms/payment-calculator
I visited this website and I’m only getting the $4,900 Manufacturer Offer & Special Program from Kia Motors Finance for 36 months. I’m not sure how you guys are getting $6000 in lease cash.

I went to Kia in Riverside, showed them this exact post and was told I can get the same sales price($23790), MF(.00024), and residual(55%) except they are not offering the same amount in lease cash.

That’s for 24 months.

@Ivan_D, that looks like a good price, except a lot of other individuals on this forum were able to get a 24.6k price on the LX w/ Convenience Package.

For reference, I was calculating what my lease payment would be all inclusive with a sales price of 24.6k and I came out to around $217. It makes sense considering the higher sales tax on the capitalized cost.

However, you saving $30 over one w/ the package is a total savings of $720 over two years. So you win regardless and got a killer deal on essentially a 0.5% APR rental.

I recently closed a deal on an Hybrid EX with Technology package, the MSRP on this car was a smudge over $36,000. Sales price was $30,800 before the $7000 incentive (EX gets 7k). I practically stole this car from the dealership. 14% MSRP reduction. APR on the EX is 0.26%, even less than the LX. Dealership didn’t want to take such a loss and marked it up to 1.26%. I still got the car… it was a steal and I get to enjoy all the accouterments of the snazzy EX.

Good luck everyone.

Go in swinging and you’ll win, that’s what I felt. Make the dealers fight against each other. Remind them that the 2017 Optima Hybrid is on the horizon and even mention if they have any 2015 versions still on the lot.

masterchibi, If I remember correctly, you got an LX with convenience package recently…thats a sweet deal on your EX optima hybrid!

Optima sales from last year are down, you can see the numbers in the press release section on their site.

You are spot on about dealers clearing inventories before the 17s arrive, hence the aggressive incentives. Considering that the lease cash was reduced from last month, the end of this month might be the best time to come up with awesome deals.

Ivan_D
I am trying to negotiate with my dealer. i copied and pasted your lease as an example. he said it does not make sense.

Can you, or someone else please breakdown or explain exactly how, that that Sales price and residual, and lease cash the payments came to $189?

Plug in to the lease calculator for a better idea,
MSRP:
27365
Sales Price:
23790
13% off MSRP
Taxed
Incentives :
6400
Untaxed Incentives :
0
Down Payment:
0
Acquisition Fee:
595
Net Capitalized Cost: $17,985
Miles/yr: 12000
Residual:
55%
Months:
24
Money Factor:
.00024
APR: 0.58%
Monthly Payment (Excl. Tax): $130
Document Fee:
80
License/Registrat. Fee:
230
Sales Tax:
9%
Tax is levied on the monthly lease payment (most states).
Monthly Payment (incl. tax): $142
Drive Off: $1,035
First month’s payment incl. tax: $142
Down payment: $0
Total MSD payment: $0
Registration and doc fee: $310
Tax on cap cost reduction and fees: $583
Leasehackr Score: 17.5 years
Disposition Fee:
400
Total Lease Cost: $4,469

I just happed to roll my drive-off of $1035 into my monthly payment, about $47/ month, that’s how you end up with $189.

Ok. thanks. That is what I thought and have done.
The dealer is telling me that any lease incentive/rebate is taken directly from the sales price…

so he says that it would have been
$23790 - 6000 = 17,790

45% of 17,790 comes out to be 8,005.50, and that figure, divided into 24 months comes out to 333.56 per month.

The dealer is telling me that the above is how it is calculated, but that is drastically different…

Is he doing it wrong?

Your dealer is playing with the numbers at his convenience, when you lease, you are paying the depreciation cost of the 2 years, from the net cap cost so roughly $17985 minus the residual $15050, divided by 23 payment, since you pay first payment at drive off. This is not including other fees. I get $128, off by a few dollars from the calculator. You add the acquisition fee $595, taxes on the $6400 rabates and all other drive off.

Hope this helps!

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Thanks, this is now what the dealer is telling me:

"Using the breakdown from Kia’s lease calculator.
Est. Cap cost - 25,995
(Using the 55% residual) - 25,995 * 0.55 = 14,297.25 (Residual Value)

Then you take 25,995, subtract incentives/rebates/cash down, then add fees (I’m excluding the fees that the Kia lease calculator excludes)
So, 25,995 - 6,000 + 595 = 20,590 (Est Net Cap)

Using the leasehacker website method that you referenced -

20,590 - 14,297.25 = 6,292.75.
Divide that by 24 = 262.19 (PmtA)

Take the residual + the Est Net Cap = 20,590 + 14,297.25 = 34,887.25 (Multiply this number by the money factor you gave me.)
34,887.25 * 0.00024 = 8.37 (PmtB)

Add PmtA and PmtB and you get - 270.56 (And the website rounds that up to 271.

So, with that being said, what’s our next move? I want to get you closer to getting your new Optima."

IS HE STILL PLAYING WITH THE NUMBERS?