2024 Genesis GV70 2.5T Advanced in Georgia - Trying to make sure that I’ve entered Lease vs Finance details correctly in the calculator, but also wondering about the best approach on what to do with existing vehicle that we own outright and is worth $24K on KBB. Link to LH Lease vs Finance Calculator Link to vehicle Window Sticker
a. If we go Lease route - we would sell privately and invest the cash (to hopefully grow during the 3 year lease period).
b. If we go Finance route - perhaps use the existing vehicle as part of the deal?
Thank you for your prompt response. I genuinely appreciate it. I came across other posts suggesting that leasing is not a favorable option for this vehicle at this time. I would greatly appreciate it if you could provide me with some clarification on this matter. My understanding is that it pertains to the expenditure incurred throughout the period of use or lease. However, I am hoping to obtain more specific details, if you have the time to spare. Thank you very much!
Thank you so much! We are definitely learning more towards the financing option. However, I am curious about your mention of 6+ year ownership cycles. Does this pertain to the anticipated increase in maintenance expenses for the car, or are there other factors associated with this duration? I would greatly appreciate any further insights you can provide. Thank you again.
Thank you! I am guessing here, but KBB said it would depreciate by $29,233 over 5 yrs. I had a little trouble with the starting price as this model is 44,700 but it also has +$6K for Advanced Pkg and +575 for paint. I updated the numbers and subtracted the depreciation amount ($29,233) from the sticker price ($52,670) which is = $23,407.
After updating the Calculator with those numbers and fixing the dealer fees and guessing the Selling Price, I get the following…
In layman’s terms, can you help me interpret this? The total cost jumps out at me…and that is with a pretty high interest rate of 5.46%. Am I correct in understanding this as a Lease = spend $31K over 3 yrs vs. Finance = spend over $37K over 5 yrs. And if yes, does this explain the reason why people say that they don’t lease well? Thank you! mllcb42
Nothing magical about the number 6. It’s just a number that’s easy to reach across a number of OEMs that offer a warranty or extended warranty that long. So it’s more apples:apples in comparison to leasing, vs getting into the weeds of ownership cost on older cars out of warranty
Steepest part of depreciation curve is the first three years. Cycles longer than that are the best way for most new car consumers to save money, while enjoying the benefits and predictability of new car ownership. 5-6-7 year cycles also tend to be the model change cycles for most OEMs.
Does anyone have an example of an email or the content that they might send to a salesperson when they ask you to come into the dealership. Should I just point them to the vehicle we are interested in (VIN/Sticker), make them aware of the incentives we qualify for and let them know our credit tier and then ask what is their best offer? Also, should we elude that we are speaking with the other dealerships in the area?
It would be good to see what has worked for others. Thanks!
I appreciate your response @max_g . I have the LH finance calculator here and a total of $2K incentives from Genesis that I qualify for (top tier credit) but I am unsure how to enter it correctly. Do I subtract the incentives from the MSRP or leave MSRP and enter the $2K into the MANUFACTURER’S REBATES line? Or both? Here’s the window sticker if that helps. PS - Many on LH said these don’t lease well, so I am looking at financing instead. I have all the other details your mentioned in the LH calculator linked above.
Also, as you can see, we know this is the vehicle we want, we just want them (or another nearby dealer) to give us their best price.
Thank you @mllcb42! I see that for the Lease side, but I guess I am curious if you know what to do on the Finance side? Same thing? Leave the MSRP and then just add the total of incentives ($2K) to the Manufacturer’s Rebate’s line?
Yah, on the finance side they’d go in the manufacturer’s rebate section. The important thing for your shopping/target deal purposes is that you differentiate between dealer discount and incentives/rebates.
OG thread was 5 year old. Please don’t necro old threads, if you still have a question, its better to create a fresh one, rather than bump up threads that old
