Newbie here and was using the leasehackr calculator to try and get a score on this “special lease” a local PA Dodge dealership has advertised on a 2024 Dodge Hornet R/T, TOTAL MSRP $46,615. The terms are $3k out of pocket, on a 24/10 w/ pretax monthly payment of $344. I did some research from another site to get some information with regards to leasing this vehicle to try and determine if it’s a decent deal. The numbers I worked with (and I admit I do not know if they are 100% accurate) were:
.00368 MF
65% residual
$6000 incentives
After plugging them into the calculator, entering the MSRP and adjusting the selling price it looks like this.
Could this be an accurate way to assess the lease? Sort of working a bit backwards to figure out if it’s a fair deal?
LH calculator scores are meaningless when the MSRP is completely meaningless. Especially CJDR vehicles. Does anyone look at a friggin Dodge and think it should cost the same as a BMW?
Unless you’re leaving the country or entering a nursing home in 3 years, you need to look beyond the immediate lease. What happens next? How do you replace this vehicle with another one?
Look at 72 month horizons and compare multiple successive leases to financing.
Quick math suggests this lease has a 72m equivalence of around $36,000 in payments and 0 equity. How does that compare to the equity of owning a Honda CRV or Hyundai Tucson etc?
Thank you for the insightful perspective, I appreciate it.
With regards to your first point. I agree 100% and even thought to myself, this really isn’t a $46k car regardless of what’s on the window sticker. I have always leased a car for my wife to drive, so every 2-3 years, we get her another new car, so I know what happens next. Not saying new cars are worry free and can’t have issues, but with a family it’s just one way to lower the chances of having car issues with the one the wife uses in the household. Funny you mention a Tucson, we actually have a Tucson Limited that has 4 payments left on the lease and why I’m looking at options. We would get another Tucson but she says she would prefer something with a little more pep as the Tucson is pretty sluggish, and she doesn’t even have a heavy foot.
And that totally made sense for about 12+ years until it didn’t. The value proposition is very different now. To spend ~$18,000 over 3 years or $36k over 6 to drive vehicles in this class … ie to spend roughly the purchase price of a car and have 0 equity is insane IMO. But I’m not going to belabor the point if you’re dead set on going down this path.
The Tucson was just one example. The Mazda CX5/CX50 twins have Turbo versions as do several others such as the Kia Sorento.
I think buying a Toyota/Honda would give you a more worry free car for 5-6 years (or more) than leasing any Dodge. Just transferred our 12 year old Camry to relatives. No problems/issues whatsoever with the car during the entire 12 years.
I appreciate the discussion, I’m not dead set on anything. Was just going back to what I had always done. Just happened to see the car over the holiday weekend, came across the calculator for leasing here, did some hunting for the variables, plugged them in, asked for confirmation and here I am. With the value used cars seem to be holding over the last few years, I can see the point you describe and purchasing is something to consider. Just wish I started this process a week or two earlier.
Understood, we were a Nissan house for a number of years with minimal issues until I had a brand new 2010 Maxima with a battery problem and an unwilling dealer to make things right on a 7 month old car. Probably shouldn’t have sworn off the entire brand because of a crap dealer, but that’s what happened back then.
We also had bad luck with a Nissan. That is why I mentioned Toyota/Honda.
The Nissan was so bad that when we were buying a new Honda, one dealer refused to even give us an offer on the car. They apparently did not appreciate the fact that the extremely hard to push clutch built up leg muscles. Another dealer gave us a token amount, which we were happy to get.
Unfortunately for Stellantis this SUV hasn’t caught on (there is over 500+ days of supply on hand at dealerships, wow!) If you are “sold” on getting one, have you considered the Alfa Romeo version? Asking as @aronchi has Alfa’s available for essentially the same lease cost (that you posted) for the Dodge.
Still a few days left to make something happen if you’re motivated. Test drive the CRV, CX50, Sportage etc to decide which one(s) you like.
Unlike leasing, say, an Audi RS for example, buying one of these cars is relatively straightforward and there isn’t a huge gap between sticker and the best price.
Yes I looked at the Alfa Romeo version and preferred it simply because it didn’t have the gimmicky powershot paddles to improve acceleration. As I previously mentioned, the car is for my wife and she’s not going to be fiddling with anything on a car for improved acceleration. Appreciate the mention of @aronchi and if we decide to lease I will definitely reach out, I think a broker might be my best bet if I’m going to go that route.
The dealer I used to lease my current Hyundai Tucson called me today out of the blue about getting out of my 2021 Tucson Limited 4 payments early. I was considering other vehicles and struggling to make a decision on what to do with year end approaching quick. Anyway, she said she wanted to see if I was interested in a Tucson Limited PHEV they want to aggressively move off the lot.
Current 2021 Tucson Limited AWD
4 payments of $379 remain
Mileage: 29,000 of 30,000 on the agreement.
Lease buyout is $22,330.58 as of today (that includes all taxes and fees)
Proposed Lease Options for the 2024 Tucson Limited PHEV
$1,000 out the door drive off for any of the offers listed below, no additional out of pocket.
They will take the 2021 Tucson.
Said they may be able to apply some additional equity from the 2021 but since it’s sight unseen no promises. (Not holding my breath on this.)
Options she gave me for a lease on the 2024 Limited PHEV (includes taxes, etc)
$628/mo. 36/10,000
$637/mo. 36/12,000
$632/mo. 39/12,000
I know some mentioned in my other post that leasing isn’t always the way to go because there’s no equity in the end, but the money saved each month vs. purchasing really adds up over the course of the lease, or consecutive leases. In any case, I wanted some expert opinions on this. It sounded pretty good to me, especially since I see so many leases advertised with so much more due out of pocket.
You’re right, the monthly savings is probably only about $60 when I considered my wife’s 24 mile 5 day a week round trip commute. The thing is, the regular Tucson is slow. I mean my wife doesn’t have a heavy foot and she complains about it. I’m not saying the hybrid or PHEV is “fast”, but compared to the gas Tucson it’s noticeable. I guess I need to think if that’s worth it.
Another dealer gave us a token amount, which we were happy to get.
