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.
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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.
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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.
@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?
Residual is calculated from msrp… not selling price. So, with a residual of 55% on a $27365 car, it would be about $15050.75. Since your selling price is $17790, $17990-$15050.75 = $2939.25
$2939.25 is what you’d be paying for the course of 3 years. Of course, don’t forget to factor in the MF.
See below for my detailed calculation.
That’s with $6000 in rebate and not including the $400 college grad incentive. Also, this is with $0 total drive-off. Everything has been rolled into the monthly payment. You will only make 23 payments as first month’s payment is also rolled in.
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Wow, if your dealer is making all that effort and keep moving numbers around, I would look for another sales person or dealer as they are not being transparent at all.
They gave you a payment, since you challenged it, they are now using a different calculation…
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thanks to everyone that has helped. The problem is that out of 3 dealers, only 1 has any optima hybrids.
others just have regular optima.
I think that that sales person and I are close being on the same page, the problem is that instead of an msrp $26k to negotiate off of, all of theirs have an msrp of $31k or more…so with that msrp, ill never get to the low $200’s
where are you located?
if you’re in SoCal, give me a call, maybe I can help you locate one. I’ll send you a private message with my number.
Alan
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I am in North Carolina
What do you guys think of these numbers I got from my local Kia dealer in San Diego? Something seems off to me. They said that the MF is .00131
