Test drove a 2018 Kia Stinger GT2 over the weekend. I liked it enough to ask the sales manager to provide a quote.
$50,100 MSRP, $36,950 sales price after discounts and $6900 lease cash, around 27% off MSRP. 36 months, 12k miles (yes the paper says 10k, sales manager confirmed they didn’t put that on this quote, I’ll get it in writing if I actually complete a transaction).
I’m trading a financed vehicle with $4k negative equity.
Their math on the actual payment seems way off. All of the calculations I’ve done (LH calculator and Excel), even with the negative equity rolled in, makes it look like the payment should be in the $600s with $0 down (yes, too much for a Kia, I’m looking for other alternatives). They have the payment at $703 after $1k down.
Being a bit new to calculating a lease by hand and living in Georgia where the tax is based on the total payments, either I’m doing the math wrong or they are doing the math wrong. I’m trying to make sure I have the math right as I look for alternatives so I know what I’m looking at. Any help deciphering this would be appreciated!
LH Calculator here - I rolled the 4000 negative equity into the sales price. Not sure if that’s right: CALCULATOR | LEASEHACKR
Edit: With the current $6,900 lease cash incentive, MF is fixed at 0.002, residual of 50%.
The lease cash comes with a mandatory money factor. .002 seems right.
For reference, when I did my lease deal, the lease cash (4k) was tied to a .0022 mf which couldn’t be changed, set by Kia Finance. I don’t know if they do MSDs, but I don’t think you could do enough MSDs with them to get anywhere near .0001 mf.
The money factor is set to a point where Kia can make the money back on the initial lease cash they offer to get people in the door. There’s always a kicker.
With the current $6,900 lease cash incentive, MF is fixed at 0.002, residual of 50%.
Lease cash, MF and residual change based on trim being purchased, so an AWD GT2 has $7700 lease cash, .00203 MF, 49% residual (as an example). This is based on some info I found for SeptemberOctober promotions on a Kia Stinger forum.
I understand that the negative equity adds $111/month. Even with that in mind, calculations on my own (Excel) come up to about $680 or so with $1k down and $4k negative equity rolled in.