‘24 Kia EV9 Light Short Range Lease- I’ve done my homework need help with few questions

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Hi Hackrs! So I have spent a significant amount of time doing research and viewing lots of information on here. I have done the rate calculator. I will attach my numbers here.

I currently am financing a 2020 Hyundai Palisade Limited AWD. I purchased this vehicle in 2022 used, at a 4.84% APR. I owe 44,000 on vehicle, and I have checked carmax, caravana, and driveway for trade in offers which I’m seeing around $21,000. That has me in $23,000 negative equity. I know it’s not always a good idea to roll over negative equity BUT, I am nearing my 100,000 mile warranty. This car has KNOWN issues for oil consumption, engine issues. My payments right now are $891.45 a month. What I DONT want to happen is me get to my 100,000 mile warranty, and something go wrong, and have a $891.45 mo payment PLUS engine repairs on a car that would be worth nothing at that point. So, leasing is a must for me.

I am looking at the KIA EV9 that I could get $15400 in incentives to help absorb some of this negative equity. Can someone take a look at my numbers that I’m attaching and see if everything is good? I searched for the MF and RV. I added in my negative equity. Have the selling price at 5% off MSRP, RV at 47%, MF- .00092 (KIA SPECIAL RATE). Which sets my mo payments at $1078 a mo if I pay my taxes and fees at signing.

My question is, now what? lol do I email the dealer asking for MF with my targeted numbers and letting them know up front I have negative equity of $23,000? My credit score is 680.

If there are other cars with higher incentives with low MF, I’d be happy to know which ones so I can search those as well. Thanks!

2024 Hyundai Ioniq 5 SEL AWD

MRSP- $52,835
Selling Price: $38975
36/12K
Zip code: 77316
Residual- 48%
MF: .00093 ( 2.23%)
Incentives: lease cash: $14000, military: $500
I have negative equity- $-23,000
Acquisition fee: $650
Dealer Fees: $1495
Government fees: $380
Tax Rate: 6.25%
Disposition fee: $400
Monthly payment: $725
DAS: $2852
Total cost of lease: $5615

Is this correct? Is this a good offer to send over to dealer?

Is it accurate with those same numbers minus the negative equity to have a $23 month payment, and $3588 due at signing?!! :flushed:

2024 Hyundai Ioniq 5 SEL AWD

MRSP- $52,835

Selling Price: $38975

36/12K

Zip code: 77316

Residual- 48%

MF: .00093 ( 2.23%)

Incentives: lease cash: $14000, military: $500

I have negative equity- $-23,000

Acquisition fee: $650

Dealer Fees: $1495

Government fees: $380

Tax Rate: 6.25%

Disposition fee: $400

Monthly payment: $725

DAS: $2852

Total cost of lease: $5615

If I didn’t have the negative equity of $23000, the numbers show a mo payment of $23 and $3588 DAS. Is that right?! :flushed: How do I negotiate the deal before going into the dealership? Do I tell them I have negative equity up front or ask for deal based on numbers I have from the loan calculator based on not including the negative equity?

You should combine your threads otherwise too much context is lost

How do I do that?

How tf do you owe $45k on a Hyundai with 100k miles on it?

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Probably not. Can you post a calculator link or post the lease worksheet w/ personal info redacted to the deals you’ve been offered?

The tax situation in TX makes leasing unappealing, unless you’re getting a tax credit.

She says she’s class of 2022. Fun times.

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If I were you, my goals would be to minimize the interest and taxes paid on my next car and on the negative equity. So paying tax on the full purchase price (typical on a Texas lease) would usually be a huge no from me.

So I would look for either a lease with a really low money factor and tax credit in Texas or I would look for a close to 0% financing deal and amortize those taxes over 5-6 years instead of 2-3. As well as retain some tax benefit from future trade-in.

Post calculator. I hope I am wrong but your math sounds a bit too promising. $23k over 36 months comes to $640/m by itself. Are brokers advertising $2800 das and $80/m on an Ioniq5 SEL after TX sales tax?

The Hyundai dealership has the $14,000 in lease cash included in the sale price, so they are telling me the sell price is with the lease cash included. So how would I factor that in the calculator? I just posted what I have added in the calculator below. From what I’m gathering is that for every $1000 in negative equity is about $25-$30 more on your mo payment, so we are thinking of only adding $6000 NE onto the lease and paying the remaining balance. Or what other options do I have? The 2020 palisade I am in now has so many issues I want away from this. The car and the negative equity and I have no idea what to do.

Can you dumb that down a bit for me? I’m not understanding what you mean by that.

I’m not great w/ the calculator, but that would presumably go under the taxed incentives. You do not include rebates, incentive, etc. as part of the selling price.

If the selling price includes the $14K lease incentive, you’re effectively paying at (or maybe even slightly over) MSRP for this car.

TX also taxes based on the selling price, even for a lease (unless you’ve gotten tax credits). You chose tax based on the monthly lease payment, which I assume is not correct.

Even without the negative equity, I can’t say that an at-MSRP deal for an Ioniq 5 is a good deal.

This. What the hell is going on? Did you roll in negative equity from your previous cars? If yes, you need to really stop. That negative equity doesn’t just evaporate. You just roll it into a new loan and you have to pay that.

Either finance the new car with 0% APR or near zero APR.
OR if you have to lease the vehicle, then in TX you should lease a vehicle that have a tax credit so you don’t have to pay the tax on the whole car. + you lease a vehicle with a low MF (low APR).

The reason to lease/finance a car with a low APR is so you don’t pay insane amount of interest on your insane negative equity.

Not sure how you are doing your Math. A 24 months lease would give you 1000/24 = $42. Which is without the interest payment as well as the sales taxes. So the final payment would be a lot higher.

Assuming, you end up getting a 36 months EV lease for around $300/month. With all your negative equity, you would be looking at a payment closer to $1k/month.

36 months lease on Ioniq is not really good. Ioniq 5 for 24 months leases better.

Given your negative equity situation, you need to find a car that:

  1. leases well. Preferably leases well for longer monthly program (36 months) so your total negative equity payment is low.
  2. Has TX sales tax credit.
  3. Has a low MF (APR) so it can absorb your negative equity.

Do you have any recommendations on vehicles that fit this criteria?

I’m not suggesting it isn’t possible to get out of this situation with an ideal lease scenario – there likely is and this site will help you identify some of those vehicles (look at Dodge Hornet as an example). But, before you do that, let me suggest something else. I’m not sure what your personal situation is, but have you considered getting a manageable part-time job somewhere and dedicating all income received from that part-time job towards the principal of your upside down auto loan, and getting that to a more manageable situation, and then getting rid of it with significantly less negative equity?

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