Been shopping the 2019 Cherokee for just a couple weeks now. Have a '16 Patriot that is due up in March. I got the below offer which I think is pretty competitive compared to some of the other numbers I’ve been quoted locally. Would appreciate your opinions on the deal and a couple other things…
The inputs that are in bold are my assumptions because the dealer refuses to provide any details other than monthly and due at signing without me submitting credit app online or visiting in person. The dealer is out of state and the drive is about an hour and a half each way. I haven’t been able to get them to budge on this after a few back and forth correspondences via email. This is out of the norm, right? Doesn’t seem unreasonable to me to at least give me a selling price of the car before I commit to a hard credit pull or a 1.5 hour drive.
MSRP: $37,485 Selling Price: $33,250 (~11%)
Incentives: $3,500 (Northeast lease cash 2750, bonus cash 250 and loyalty 500) MF: .00001 RV: 53%
Terms: 36/10
Monthly: $294
DAS: $1,867 (tax & tags + first month. They’re holding out on itemizing as per the above but it makes sense more or less)
MF and RV are Chrysler Cap #'s per edmunds.
They are also claiming that there’s only $3k incentives (excl. loyalty) despite the Jeep site showing $3500 without loyalty for my area (11545) They said the Chrysler Cap Bonus NECK5 ($500) is for retail purchase only but it’s clearly shown as available on leases through Chrysler Capital. Am I missing some obvious reason as to why I wouldn’t be eligible for this? Can it not stack on the others?
I’ve been looking at these too, isn’t the Limited a better buy as far as equipment. Trailhawk has more cash and a higher residual but a higher MF so those aren’t bad either. Dealing with FCA dealers is a major pain in the ass, it’s like pulling teeth to get all the details. I’ve also got some quotes with Ally numbers but haven’t been able to flush out all the details. I keep getting the standard closing lines, “so if i could would ya?” Switching gears a little and also looking at left over Tiguan’s and CRV’s. I’m in the Denver market and it’s pretty poor for deals, have to grind allot. They think they can make money on left overs, I think not.
Yeah, I’d agree the Limited might be a better buy because equipment wise they are identical in standard configs. You are basically just paying a premium for the cosmetic “upgrade” of the High Altitude. IMO the body color wheel well trim changes the look of the car pretty significantly and I love it.
Not that there’s much interest here lol…but I finally got the numbers from the dealer. They’re using Ally, likely because the RV is much stronger compared to Chrysler Cap and MF/Incentives are still pretty good.
MSRP 37430
Sales Price: 34500 (~8%, still an assumption as they didn’t include in their worksheet but this works out in the calculator)
MF .000525 (1.26%)
RV 57%
Incentives 3500
DAS 1867 (1st month, tax + fees)
here’s dealer work sheet. I think there’s another 2% or so in discount before incentives. Thoughts?
I’ve been thinking about looking into Jeeps lately too. I have a 2012 that the wife is currently driving, thinking about a new one.
For a MSRP of $37,485, I don’t think it can be a High Altitude. MSRP for a 4x4 High Altitude starts at over $50k. Make sure they’re giving you numbers on the vehicle that you actually want
Yeah this is just a regular Cherokee. The Grand Cherokee HA is definitely $50k+. If it was one of those @ 294/mo I wouldn’t be looking for any deal validation
Anything over $3k on the discount before incentives seems to be the tops, at least that’s what I saw on aged units, $3500 to $4000 would be pushing it, maybe a 200 day plus unit. I bet they have the MF marked up.
Based on the dealer’s lease worksheet, here’s what I’ve calculated…
MSRP = 37,485 not 37,430 as you indicated
sell price = 34,006.18
acquisition fee = 595
gross cap = 34,601.18
cap reduction = 3,500 (rebate) + 149.04 (NOT 0.04 as shown in the worksheet) = 3,649.04
net cap = 30,952.14
residual = 57% x 37,485 = 21,366.45
monthly payment = 294.21
DAS should be 1,867 + 149 = 2,016 (the 1,867 includes 0.04)
Max NY doc fee is 75… don’t know why they show 144.
Ally bank uses an interest rate, not an MF. Calculations are based on an interest rate = 1.26%
The residual is discounted one month nearer to the present meaning the residual is a bit lower (21,344.04) than the 21,366.45 shown for purposes of computing the payment which will be a bit higher. I suspect Ally does this because they don’t charge a disposition fee. There is a residual buyout as Ally does not charge a purchase option fee. It used to be $2,500 a few years ago.
You need to get the sell price down.
Thanks for the feedback. The dealer is located in PA, would that explain why the doc fee is 144? All tax fees are based on ny but I guess any other fees would be dealer location e.g. the PA tire tax.
Where does the $149.04 in cap reduction come from in your calculation
Okay, so you’re dealing with a NY dealer and the car is going to be garaged in PA. That does explain the 144 doc fee.
As for the $149.04 cap reduction, note that the cash down tax is 314.73…
314.73 / 0.08625 = 3,649.04… is the cash down amount… of this amount, 3,500 is a rebate cap reduction and the balance of 149.04 reflects a cash cap reduction.
No worries at all. I appreciate your input and I don’t think that changes the story much at all anyway. Either way it explains the doc fee.
As you said, I need to get the sell price down and the dealer is claiming “no wiggle room” and most other local dealers don’t want to touch it. I feel so close yet so far.
