Dealer is offering the following lease. Does it seem reasonable?
Residual 59% for 10k, 58% for 12k. Did not give me a MF.
Registering car in VA with fees down $2335 (sales tax, tag, first payment etc)
Sale price $24736 (without incentives)
Total Cap Cost $26171.68
Lease payment of $372 per month with 10k or $384 per month with 12k miles (dealer calculated)
What is MSRP?
Use the calculator… but looks bad considering doesn’t make the 1% rule (monthly payment should be less than 1% of the MSRP).
Is 1% rule before fees or no money out of pocket?
MF is .00195 for the GTI this month, all trims. There’s $1000 VW Loyalty Lease Cash.
MSRP is $28,815 or $29,915 depending on transmission.
I asked for cost breakdown again and here are all details from the sales sheet:
MSRP: $30235
Total Discount: $5499
Sale Price: $24736
Total Financed Aftermarkets (Freight): $820
Customer Cash $2335 + Total Rebates $1000 = $3335
Tax: $1124.63
Tag: 0
Processing Fee: $699
Service Agreement(Term care select): $465
VW Care: $599
Advance Payments: $372.30
Down Payment: $0
Due on Delivery: $2335
Did you want term care select? Seems like you are paying them upfront for “Just in case” events that would cost you less to source when you need it.
$800 freight? Why is this on you? Nix that.
VW Care- still don’t understand why this isn’t included these days, tell them to throw that in.
Ask for the MF and RV - $372 doesn’t sound right for a $25k. You should be around $300 dead before tax depending on the RV you need. Use the lease calculator to cross check the numbers.
No, did not select anything, this is just what they sent since I have been communicating with this guy via email.
Using the “calculate lease payment by hand method” does not add up to $372
Money factor on the sale sheet is 0.0032 but they crossed it out mentioning that it will be specific to my credit and the RV value is $17838
Should I still go to the dealership or this looks like they are gonna milk money out of me? Never bought/leased a car before
You should definitely NOT go to the dealer if you don’t have a finalized deal that you like. This deal doesn’t seem good at all. Continue negotiating via email until you get a deal you like, then and only then should you head there to sign a the paperwork.
Thank you! I’m so glad I found this website. I’ll continue negotiating.
Is it true that they cannot quote a MF without running my credit?
That is false. Although MF can vary according to credit score, you should have a number for the lowest MF.
Freight has to be paid, its part of the MSRP but broken out separately here for some reason. Now the 699 processing that full profit.
Yeah it seemed odd on the freight - I also don’t recall it being that high on my leases. forgot to mention the processing fees though that’s a good point, need to pull that too.
If OP can do all this, he should make out with a good deal (depending on credit score)
This might be a Northern Virginia dealer where they all add in $820 delivery fee to their online price. Which is looking like they do this to a lease deal as well. Even so, there are several N. Virginia dealers who have the lowest prices in the country. I’m not sure they do the same with lease deals though.
$820 is normal freight amount on VW. Seems like freight is getting higher every year.
There is really no “1% rule”, it is just a quick way to see how far or close you are
You figure your monthly including tax should be < 1% of MSRP on a $0 down (not including drive off such as first month, dmv, etc.) 36m/10k brand new car lease
It is very, very rough … on cars that don’t lease well, you may be very well around there. On cars that lease well (BMW, MB, Infiniti), you should get way better than that if you work the numbers
Agreed. GTI don’t lease well. Even though their actual residual value at the market after the certain years of use is good, their MF really sucks because GTI is a very popular car, making banks the most money. Remember that GTI didn’t get much discount as other VW cars after the emissions scandal.
GTI’s don’t lease well…one reason I didn’t get one a few years back. Other reasons were not great insurance premiums, and crappy city mileage.
They are a blast to drive however, and if you can actually drive them (I live in LA), they would be a fun ride.
Can’t give you feedback on your deal, but in LA (9%) tax, a 28K gti was about 370 with tax and minimum drive offs (around 800) a few years back. That general figure never seems to improve, despite all of VWs woes…it’s the shining star of their fleet.
Is this a good lease on a GTI? $179/month for S model w/manual trans. The 30k/year miles is a typo I’m sure. Info below:
Where did you see that? I’m only seeing advertised rates over $300/mo on automatic (DSG) versions with thousands OOP. Uploading…
yeha, the $370-$380 a month with no cap reduction is still the same. was gunning for a GTI two weeks ago but the numbers just don’t really line up in socal.