Anyone ever order from factory and then lease? Need advice and feedback

Ask the Hackrs
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1

Hi Everyone,

I need some advice or guidance or feedback on ordering a vehicle from the factory and then leasing it rather than buying it.

Here is the deal. A dealership has offered me a sale price better than anything I have been able to find so far, but to be honest, I have not pushed particularly hard yet. My current lease is up on Sept 5th, so last payment is Aug.

It’s on a 2020 ram 1500, crew cab, night edition, with options, etc. The MSRP is 54,940 and they are knocking roughly 7k off, bringing it down to 47,560. Whatever incentives are happening during the time of delivery get added. So, as of this month and last month, based on my zip ram is doing 2,250 in lease rebates. If I took the truck today, I would have a price of 45,310.32

From Edmund’s, I got a MF of 0.00008 a residual of 51% (28,019.40), tax of 7.75%

Here is what generated from the lease calculator: leasehackr.com/calculator?make=Ram&miles=12000&msd=0&msrp=54940&sales_price=47560&months=42&mf=0.00008&dp=4000&dealer_fee=799&acq_fee=595&taxed_inc=2250&untaxed_inc=0&rebate=0&resP=51&reg_fee=242.60&sales_tax=7.75&demo_mileage=0&memo=&acqFee_check=true&monthlyTax_radio=true

If this is correct, then I would sign up right now, but they won’t run any firm lease numbers for me. I can understand their position since so many variables can change like RV and MF and incentives, but I have to put down a $1k deposit that I lose if I walk from the deal. If the lease comes back much more than this, I am going to walk and lose 1k, which won’t go over well with my wife.

Has anyone ever done this? Do my numbers check out or am I missing something? What would you do?

2

I would definitely not put down a deposit unless you have in writing that it’s refundable for starters.

3

Who said you lose your deposit? Most likely not, but depends on state laws.
I leased factory ordered car before, numbers what they are at the time of signing

4

Are you sure they aren’t using a few purchase only incentives to get to the sales price in the first place?

Certainly not a Ram expert but 13% off pre incentive doesn’t seem right. Perhaps others will know.

5

The sales guy said I lose it if I walk from the deal. I get it back as payment towards the vehicle if I go forward or I get it back if something is wrong with the truck.

6

Nope, it’s a group buy deal through a ram forum. He gives you invoice price less 8%. The only hitch is the 799 processing fee, which is high, but the deal makes up for it.

7

Back in 2017 I ordered Dodge Durango R/T. We discussed all the numbers upfront however I was told that money factor and residual value might change by the time I get my truck from the factory, which took approximately 2.5 month. They did ask me for $1000 deposit upfront. I gave the deposit and didn’t sign any final paperwork. All the the numbers were hand written by the dealer and I didn’t have final contract in hand with final numbers on it. Just a monthly payment and DAS numbers. They did provide me with a vin number of the vehicle and told me that I can track the process of building of my truck on dodge website.
For the first two months I couldn’t locate my truck at all. After calling dodge headquarters and their mothers, I finally was told that my truck is on its way to me.
When I came to sign the contract, sales person i dealt with was no longer working there. So I started from scratch, negotiating numbers again and prove that what they promised me 2.5 months ago is completely different than what they are offering me now. They kept telling me that money factor changed for worse and residues value is not the same so they couldn’t come up with the same numbers. . I didn’t want to show them hand written numbers that they provided me back 2.5 months ago with hope that they can do better than what they promised initially.
To make a long story short, they did honor numbers they promised me after they couldn’t locate initial paperwork from previous sales person and after few conversations with sales and general manager. I was ready to walk away.

8

They all usually say that, but there are state laws, like I said.

9

Thank you Tsuriss, I had not considered what would happen if he leaves of even if the dealership closes, especially given these crazy times. I’ll be sure to ask those questions!

10

With fca it’s at time of delivery, not sure about other manufacturers. Back in 2017 I inquired about ordering a hellcat and then leasing it as the residual + mf were really good, SM advised against it as numbers could change, and sure enough they did when I would have taken delivery (talked end of July, picked one of the lot in august, delivery for a hellcat was 10-12 weeks so I would have been leasing in October when residuals took a dive.