I brought the selling price down to 62k. The sales manager is claiming that there is a mileage penalty for the vehicle being a loaner with about 2kmiles on it.
When I enter #s into the LH calculator, the monthly comes out to be 669. But he is saying it has to be 684 (with just fees/acquisition/1st month/taxes due at signing) due to the mileage penalty. Is he really correct on that?
I would appreciate your feedback- Thank you for your time in advance!
price does not sound bad at all.
I have a question when you guys go to deal on a lease do you try and negotiate by payment of the actual cap cost of the vehicle,
(From I am reading you can not change the Money Factor or the Residual correct?)
You negotiate the price as if you are buying the vehicle. You can’t change the residual as it’s set by the manufacturer. You can negotiate the money factor if it’s being marked up from the buy (base) rate.
You want to get the lowest selling price possible. The “actual cap cost” of the vehicle will be your final sale price + whatever you choose to roll into it (the acquisition fee, taxes, title/registration, etc.).
You can get the base rate from Edmunds by Googling “2018 (Make/Model of Car) and MF” and the specific Edmunds thread will be one of the top results. You can then post your specific trim level, location, and lease terms, and they’ll tell you what base/buy rate MF is for Tier 1 Credit. You can then compare that to what the dealership is quoting you for MF to see if they are marking it up.
Like @JamesBond said, that’s really the only way to double check. The MF can also change monthly so you want to make sure you have the current buy rate MF.
