Hello everyone. I have been talking to some dealers regarding leasing an SQ4 but I am kind of going in blind not knowing what is truly a good deal. A car that I am looking at has an MSRP of 87445 and the dealer agreed on a price of 33k total all in for 7500 miles 36 months 2K due at signing. Now I know this is not that great of a deal by looking at some of the other deals people post online. I’d realistically like to get 10k per year and the maintenance program included. The dealer has not gave me any specific number yet regarding sale price of the car/MF/residual.
How can I negotiate with him to get me the 10k miles/year and the maintenances program included? And what all in price should I aim for?
Here is another deal I also got offered but this dealer does not seem to want to go any better. But then again I am not equipped with with knowledge of the numbers https://www.screencast.com/t/7K8imCjbUIt that car is for MSRP 89k
If I dont get the maintenances program and I do the oil change’s myself ect. Does the dealer charge me a fee for not bringing the car in? I know BMW charged me extra at lease end for not bringing the car in.
I think we bumped into each other on the Ghibli forum. This is the place to find out if you are getting a good deal on your Ghibli lease. You need to get your dealer to give you more information on the mechanics of your deal – sale price and money factor. You should get 20% or more off MSRP. Residual for your miles should be 53%. Money factor last month was .00013, and I have seen similar deals in June. So, that should not have changed much. Once you get the full breakdown of how your deal is structured, you can figure out where they are up charging you. I made a deal on a very similar car here:
From your screen cap, your deal looks kinda screwy. They are giving you a great residual value 59% which is terrific, but your monthly payment is way too high. I think once you get the real deal mechanics, you will see that they are not offering you enough off of MSRP. I suspect that residual value will change too, because I suspect monkey business. Your monthly should be about $768 depending on what taxes are in your state.
Thanks I appreciate that. Happy I didn’t make the deal. My sales taxes are at 8.125% I’m in new york. With 8.125 what do you think the payment should be around?
So the higher the residual percentage (Buyout price) the better?
On a side note, how much do these dealers actually make in profit on a good deal? By good deal I mean around 20% off MSRP, good money factor, good residual.
Read Leasing 101 on this cite to understand the impact of residual value, money factor, etc. on lease pricing. Then put the numbers for your car into the Calculator on this cite to determine where your monthly payment should be. Residual value is set and not negotiable. Last month it was 53% for Ghibli SQ4 at 36/7500. It may have changed for June, but what you are being quoted is so much better I am suspicious. As you have been told before, they should knock at least 20% off of the MSRP as the sales price. If you take that discount with the apparent residual value they are using, you will have a cheap lease indeed. The important thing is, you need to insist that they break down the deal and tell you MSRP, Sale Price, RV and MF.
Don’t worry about the car dealer and his profit. Inventory is a diminishing asset. They have to get rid of 2017 to make room for 2018. I used to work in my father’s shoe stores. Each year new styles, fashions and colors would come out. We would put the new shoes out at full price. Once the season was over, hopefully we will have sold most of the shoes for a handsome profit. However, the ones that were left over would go on the sales rack at 25% off, then 50% off, then 75% off (which was less than what we paid for them). And they would stay on that rack until sold, for a loss. But every time one sold for a loss it was like found money, because we needed to move that inventory one way or another. I am sure the car business is different, but the principal is the same.
Those numbers make sense. That is the same residual and MF as my deal just a few weeks ago. It is just that you are not getting enough of a discount off MSRP. Tell them to reduce the sales price to $69,956 (20% off). With zero down and a drive off of just first month plus TTL, your monthly payment (after tax) should be approximately $750.
If you want more miles and bump up from 7500 to 10000, that will impact the residual value and bump up the monthly about $25 per month.
The maintenance is expensive (about $41 per month). So, if you want, bargain for it now, not after you have agreed to a deal.
Tell them you want 10,000 miles plus maintenance and will not pay a dime over $800/mo.
I’m confused with what I should do. Everything you said makes sense, but I already had a deal with this dealership for 833 per month, 36/7500k, 2k at drive off. As soon as I told the dealership that I live in NY and not jersey they said the NY sales tax changes the deal and that the deal was off.
Edit: You think there is a down payment included in the screen shot figure they gave me which is making the payment higher?
Question about the residual value. Earlier you said they was giving me 59% which was great you said, but in your most recent post you said they was giving me the same percentage as you of 53%. Just curious how you came up with 53 versus the earlier 59.
I’m not sure about the taxes, but according to the Calculator on this site, in New York taxes for the entire lease term have to be collected up front as oppose to most states where lease payments are taxed as they are made. I imagine that changes everything and substantially increases your drive off, but reduces your monthly. According to the Calculator on this site, at 20% off, your drive off should be approximately $3,3000 and monthly payment $700.
I got the 59% from the screengrab of the 89k deal you posted, by dividing the purchase price after the lease by the MSRP. I got the 53% from you a few posts up, plus it makes sense.
Yea I’ve heard that too regarding new york but I have not had any dealer tell me that is required.
I see where you got the 59% from but I am not seeing how you actually got 53%. I know 53% is posted a few post up but I dont see where 53% makes sense with the numbers on the screen shot.
Maybe it was a typo on your part, but you had 53% in one of you posts:
“Thanks Tommy. I just heard back from the dealer. He said the sales price is 75,200 (15.5% off MSRP) and the money factor is 53% .00013”
I assumed that you meant the sales person told you that the RV was 53%. That would make sense as that was the RV just last month on my S Q4 with the same number of miles. However, it does not make sense with the screen grab that you posted. Those numbers look closer to 59%, but that would represent a really big change in RV from May.
