My Dad just told me he’s leasing a 2019 Ford Explorer XLT TOMORROW and I’m afraid he’s paying too much.
All the info I have is that he’s trading in his fully paid off Silverado for $18,500 and leasing a 2019 Explorer XLT with an msrp of $38,000. He’s doing a one pay for “$16,000 and some change”. He thinks it’s the best deal he can get because he’s using Ford’s X-plan which is basically a friends and family deal (he can also get GM EMPLOYEE pricing btw). 36 months/18,000 miles. Zip code is 48042.
Also, just how poorly do Ford’s lease? Could he get a lot more for that kind of money from a different brand? I know he wants an SUV or full size pickup. Any thoughts or advice would be greatly appreciated.
I would sell the Silverado . And negotiate a lease without the trade in . This is not a good deal at all. My dad leased an f150 full size pickup 54k msrp for 460 only DMV and first payment down. I negotiated a fully loaded Ford explorer sport 2018 53600 msrp for 520 plates and DMV both cars for 36/12 k miles. In NY .
So he’s paying $34,500 for a lease. How is that even possible? That’s almost the full MSRP of the Explorer. Unless you mean the lease itself is $16,xxx and the $18,500 is just how he is going to pay for it.
Tell him to get Carvana, Vroom, Carmax, etc quotes on the Silverado. Trucks are in demand and one of those might give you more for it.
He could likely get a Lexus RX one-pay for less than that. Explorer is dated, has carbon monoxide leak issues, and just doesn’t lease well compared to other SUVs
Assuming best case from what I’ve read, he should be paying the 16k one-onepay out of the 18,500 equity and should leave with a check for $2500. That comes out to about $445/month for 36 months. It’s probably not the worst deal, but not the best. What is the MSRP of the Explorer?
I’d suggest your dad push the pause button, shop the trade, and shop the deal a bit more with your help.
I think if you’re in metro detroit, you should be doing way way way better on these prices. X plan isn’t that great of a deal and most people can negotiate as stronger deal. Does he have anyway to get A,D, or Z plan pricing? That is where the most aggressive discounts are.
I think @4sallypat was thinking the 16k was a CCR, which it isn’t - a one pay is usually handled differently by the finance captive, though it is worth investigating with Ford what happens if the vehicle is totaled in the middle of the one-pay lease. Every captive can be different on that.
I’m more curious to know how much he would be saving on interest by doing OnePay.
He can get Employee pricing for GM but not Ford. I tried telling him that Ford’s dont lease well but I dont think he believes me. I’ve been searching on here for a recent post I can show him where someone got a much better deal than he’s being offered. I’m sure he could get a Chevy Traverse for much cheaper. I know for certain he’ll only buy domestic.
Thanks for the replies so far. I’m trying hard to help him avoid making a costly mistake.
For 18k miles/yr? That’s just a bit better than Honcker is offering in NJ, which is $460. But I’d think you could do a bit better on a one-pay AND in Detroit.
so $34k final price. Looking at the value of 2016 trade-ins, He’d lose about $14k in depreciation in 3 years and 50k’ish miles. Plus paying tax on the full thing. So, all in all, the least might cost $1k more over the next 3 years. Seems like cheap insurance to me to protect against potential steeper depreciation.
I understand Fords don’t lease very well but is it the same when it comes to purchasing? That $36,500 selling price is only $1,600 off MSRP. Seems high to me. When I leased a 2018 Toyota Rav4 I believe the MSRP was around 32,000 and the selling price was 29,000
In terms of domestics I seem to find that Fords are the hardest to get dealer discounts off of MSRP. Tell him to get a 2018 Sierra Denali that will be discounted $16-$20K right now. Maybe more for him since he has employee pricing?
Pretty sure you could get a lower sales price just by using TrueCar or Edmunds. That sales price isn’t good at all, but as others have said, family never listens. Let him waste his money
