This is my first time leasing … had no idea there was a science to it. I thank God for this site… nearly lost $5,050 as a “down payment”. I learned about MSD and MF just last night and made a different deal but I feel they still fluffed the numbers on me to get the money back.
The facts :
36/12k lease on RX350 AWD
At the end of it all I had a total of $5050 out of my pocket.
I told them I could afford up to 450/mo , up to 4000 down.
I qualified for rebates (customer loyalty and golden opportunity stuff)
I wanted to purchase Excess Wear and Use Protection ($875)
Questions:
Should the payment be lower …( I was told MF was .0008 but have no clue if that is where they started, resale value 59% I think I live in MA )?
Did they finance the $875 in the deal even after I paid down some of it ( payment went up to 469.88 from 450.00)?
MSRP: 50,784.00
Gross Cap Cost (45,535.78) —> 46,410.78
Cap Cost reduction :1516.81
Adjusted Cap cost : 893.97
Residual Value : 29,454.72
Depreciation : 15,439.25
Rent Charge : 481.32
Total Base Monthly Payments: 442.24
Monthly Sales Tax : 27.64
Total mo payment : 469.88
Amount due at signing: 7850 ($2800 are rebates, 4275.00 MDS, & I was told 550 down payment)
Title fees: 137.50
Acquistion fee: 795.00
Doc fee: 584.00
Upfront taxes :36.81
MA State tax 35.00
Something isn’t adding up!!! I was lo9ssing sleep over it!!!
I cancelled the deal, But can’t figure out fully what happened.
Please correct me if I am wrong, but Lexus should be easy to get 1% MSRP rule w/o any MSDs and $0 upfront fees. With maximum MSDs (and possibly dealer incentives + rebates), it should be lower than 1%.
Not to mention we are only 3 months away from 2018…
The payment is actually quite nice but they would have made the money on the 5k downpayment (pure profit). By converting that to MSD, I think this is not a rip-off deal. 442+tax for a 50k lexus is decent.
I’d say a sales price of $48335 for a $50784 RX350 is pretty bad deal. That’s less than 5% off. Search the forums. Many people have gotten easily over 10% off.
LoL. based on the title of this post, I thought you had already made the deal. How do you feel cheated if you didn’t actually lease the car? Just curious.
With all due respect what would you have done if you were the sales person.
When you suggest you are comfortable paying $450 a month and putting $4000 down they already know your bottom number which you will take and then they start by quoting you higher than that, in some cases much higher knowing they can always go to your asking knowing they can still make money on this deal.
You did few things in the incorrect order but the good thing is you have not signed up yet.
Do your homework to find the correct MF, Residual % and all available rebates.
Once you know the above punch them in the calculator on this site and come to a ball park monthly payment.
just call or email dealers in your vicinity. If you are still sitting at the dealer now reading this they are playing games with you by delaying it as much as possible. Never negotiate in person. You can do that over phone and the dealer always knows that he can loose the deal as soon as you hang up.
do a quick search on this site for PGA certificates that were available for lexus which would get you another grand of your adjusted cap cost but I am not sure if they are still valid. That should have been done as part of the step 1 above.
If you are ready to walk away from any deal, that is your biggest leverage. Tell the dealer what you want and if they won’t give it you, move on to another one.
The mentioned is great advice in steps. I know it is common knowledge to most here, but for those whom it is not (raises hand), it should be the first thing one reads and sticks to as a reminder even after doing their homework on their first lease deal (and subsequent contracts until it is no longer in question).
How do you feel cheated if you didn’t actually lease the car? Just curious. 