Bad Math: Dodge Challenger Residual Value

Ask the Hackrs
1

I’ve been trying to negotiate a lease on a dodge challenger (r/t 392) in Texas. My math has not added up with quotes from 3 separate dealerships. I finally got an offer sheet.

I understand the shared offer is terrible. I’m more concerned about the bad math.

Challengers are supposed to be:
59% residual value
15k miles
36 months

The math in the sheet seems wrong.

MSRP: 49,420
Residual: 23,800

This looks like 48% even though it says 59%.

Any guidance would be appreciated.20180606_141512|375x500

2

Dealers can’t change the RV. Are you sure you are comparing RVs from the same bank?

3

Every dealership says 59%

The offer sheet says 59%

But the listed residual number on the offer sgeet is 48% of the MSRP.

4

Upload the worksheet.

5

Is the MSRP inflated by a discount package?

6

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7

Well that is interesting. It even says 59% right there but msrp x .59 doesn’t equal their number.

8

It’s 3 separate dealerships in Texas. All gave me bad math.

This was the only one who put it in print.

9

Not sure what is going on. Seems like an error in their system. It’s terrible deal anyways, so just move onto another dealer.

10

The deal is terrible. But all the dealerships are giving the same bad math. So I can’t get anyone to work with me.

11

I tried to reverse engineer it but I couldn’t get it. Do you have negative equity on a trade or something?

1 Like
12

No trade. Just a normal lease.

This problem seems sestemic.

13

Seems to be a lot of different Challenger RV and MF numbers at Edmunds…maybe you can check there…those guys have the patience of Job:

I don’t see any MF’s as high as you were quoted, so they probably are padding the MF also.

14

This dealership is generally full of shit. I only shared this because it’s the only worksheet I’ve received.

But they all have bad math.

This is the MF I get from others dealerships.

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15

$5k out of pocket and then almost $800/month lease on a charger? Were they blushing when they brought that out to you?

16

It’s insane. I ended the conversation and moved on. The real problem: bad math on the residual value keeps showing up across the State.

Rather than fix it, dealerships keep insisting the math if fine, and act like I’m crazy for questioning Chrysler.

17

The guy who created this worksheet just told me dodge applies residual value to gross capitalized cost not MSRP.

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18

Residual is definitely applied to MSRP.

I too am shopping for a challenger.

Does anyone thing the following is or isn’t a good deal?

Challenger RT Scat pack manual
MSRP 45820
24 months
12k miles
$455.00 plus tax
Drive off $1830
Ive got them giving me about 5k off MSRP plus the 2750 factory rebate but the money factors for these are a bit high.

Any thoughts? Take it or leave it?

Thanks

J

19

Sweet spot is usually 36 months with Chrysler Capital is that who the lease is through? What are all all the numbers on the lease, RV, MF and such. Need all the info to see if it’s a good deal or not.

20

Here it is. The sweet spot was 24 months.