xc60 is a better deal. I don’t know what you qualify for or where you are. Search the marketplace in your region for volvo.
General consensus here is to roll as much money into payment as possible due to the fact that in case of totaling your car shortly after assumption, you lose those drive-offs. Really depends on your personal risk tolerance, as chances for this to happen are small.
Read up in leasing 101 on how to dissect deals and negotiate like a pro:
You could probably get better deal on your own, but it will certainly require much more grinding compared to just taking broker’s deal. Essentially up to you, if you’re ok with doing that.
What do you mean by “qualify for”? I don’t own a Volvo right now, so probably no loyalty. Not a recent college grad, not a veteran. We do have costco membership.
Ok thanks. I’ll look on the marketplace for Volvo for New York.
yes, costco works for new volvos, not loaners. No loyalty will change some brokers’ numbers. It seems most include it in their numbers, so you’ll want to check on that.
Oh I thought you’d lose money only on the down payment (if the car gets totaled), not the Drive-Offs. Good to know. We’ll look to rolling those into the payments from now on.
Thanks I’ll read up on this. I did go through a few of these already, but it looks like I need to read and watch them again.
Ok, NY. I missed that tag. I’m not playing favorites, but pulled up a well-known broker’s deal. If I set the terms similar to your Audi deal, it is $60/mo less. I would suggest, however, putting less down on the car and more down in MSDs for the volvo.
It looks like when I reply to a post, it shows up as a thread on the original poster’s post AND it shows up at the bottom as the latest post. This is confusing to me…
ok good to know. Would you mind sharing which broker this is? thanks!
I’ll check out the Volvo broker too. We’ll be test driving a Volvo XC 60 this weekend.
the broker’s thread is linked at the bottom of my last post
oh ok, I thought that was just for the Volvo. (and I misread. You meant that the volvo will be $60 less than the Audi. got it) taking a look thank you!
Make sure it’s comparative equipment too.
It really doesn’t matter what the DAS amount is made up of. Money due is money due and you’re not getting it back, no matter if it’s applied towards drive offs, a cap reduction, or some combination of the two. In my opinion, people tend to focus too much on down payment/cap cost reductions vs the overall due at sale amount. For every single penny of cost in the lease, you either pay it up front or you amortize it monthly.
I could be misunderstanding this, but the only (hopefully a less likely scenario) that would make a difference is if the car was totaled. Otherwise, yes I agree you’ll end up paying either way.
If I’ve misunderstood, please feel free to explain what you mean, using the deal that I’ve listed as an example. thanks!
It doesn’t make a difference. If the car is totaled, the money is gone. It’s not like you get the money that went towards drive offs back and not money you put towards cap cost reduction.
Ok bear with me here. I purchased my car 13 years ago and this will be my second car shopping, so I am trying to understand the finer points of leasing.
So if rolled in taxes and fees into the monthly payments, and on the first day of driving, I total it.
Then the insurance would cover the damages and pay back the bank that owns the car? Or maybe the insurance company would write a check to me to cover the cost of replacing the car?
Would I still be liable to pay the remaining taxes and fees that I haven’t paid yet (because they’ve been rolled into the monthly payment)?
Or would the insurance claim check include the taxes and fees that have been rolled into the payment?
I guess what you are saying is that the insurance company will write a check only for the value of the car, but I would still need to pay the remaining taxes and fees that I have not paid yet because they’ve been rolled into the monthly payments.
If you will choose Volvo do not forget to apply for $500 Bonus drive
In NY, tax is paid upfront. If you roll your tax into the payment, it just means that your leasing company pays whole tax amount to NY upfront, as required, and you now owe that sum to leasing company as part of your monthly, rather than to state.
No. You wouldn’t be liable for anything.
To simplify to the situation, look at it more like this:
If you total the vehicle in a lease, the car goes away and so does your lease payment. Anything that has been paid prior is irrelevant.
So if you did $0 das and totalled it on the way home, it all goes away and your total cost will be $0.
If you did $5000 das and totalled it on the way home, it all goes away and your total cost will be $5000.
Now, there are some semantics in there… If you have gap coverage (which most non-toyota leases come with already), if the accident isn’t your fault, you may be able to get some of it back with a lawyer, etc, but that’s a good general rule of thumb for how to look at it.
Ok I am understanding this to mean that it’s better to roll in DAS (taxes, fees, etc.) into monthly payment, in the slim chance that the car is totaled, similar to the rule of not putting any down payment.
Maybe this needs to be added to the blog post: 8 Things You Should Know Before Leasing A New Car
Thanks for letting me know about this. This is good to know.