Hello hackers. Need your help making sense of this deal on a 2023 VW ID.4 Pro S 2WD:
My local VW dealership is currently offering a 3.3% off MSRP + $7500 EV lease bonus, bringing the price to ~ $36,3xx, which I think is really good. However, they’re asking for $5K down, $379 (+tax) /mo, and $25,6xx RV. So it seems that even though the total price minus RV (before tax) is about $10,700, I’ll be paying almost $20K in depreciation. Using the LH calculator, I estimated the MF to be 0.0038 (or 9.12%), which is way too high. What do you think of these parameters, and which of them do you think I should negotiate? It seems that what they give by offering the EV lease bonus they take away by the high down payment and MF.
Can you tell me if any of the fees below are bogus? Presumably “Taxable Fees” is the VW acquisition fee, but what is “Non Tax Fees”, and what is the $1,175 tax based on?
Market Value Selling Price
43,860.00
Rebate
7,500.00
Adjusted Price
36,360.00
Taxable Fees (Estimated)
699.00
Doc Fee
85.00
Tax
1,175.25
Non Tax Fees
609.75
Balance
38,929.00
If they refuse to budge, I’m thinking of leasing the car anyway but without putting anything down (which would obviously increase the monthly payment) so I can take advantage of the EV lease bonus then buy it out and finance it. Would this be a good plan? Any gotchas to watch out for?
I have a 2019 e-Golf that I’m planning to replace with the ID.4. It’s in good condition and has less than 26K miles. Do you think I should trade it in or sell it privately? According to KBB, there’s a $1.5-2K difference between the trade-in and private party price. Do you think it’s worth it to try to sell it privately and forgo the convenience of trading it in?
You should check the actual MF for your trim and lease program. From what I recall, it was 0.00364 for 36/10k. No way to get around the interest payments other than a buyout.
Probably buying it out would make more sense. There is a thread on the buying out that should help better. I don’t think a downpayment would change anything if you are going to buyout anyways.
And I’ll think you’ll get better payment from selling your golf rather than a trade in.
I currently doing significantly more than 3.3% off MSRP in Socal on ID.4s on the Pro S if youd like a quote.
Buy rate is 0.00364 this month on top tier credit, basically every EV lease that passes the rebate has a high money factor this month, it is what it is.
They are quoting you at 5k down to make the payment look more appealing, you can do however much down and the payment will adjust accordingly
That is my understanding but please do your own maths. I don’t think downpayment should matter for a buyout since it would be deducted but just make sure how it is taxed in your state. Down payments typically are applied as cap cost reductions, and are taxed.
Did you reach out to the broker above who said they can quote you much better than your dealership?
Also, for your Gold - there is a thread there will lost of companies who can give your buyout quote online without you needing to leave your home. Try to always separate getting new car and trading-in old one - too many places to fudge the numbers.
