CA Dealer will sell but not lease to out of state buyer

Long time lurker first post – love this forum you guys have saved me so much money.

I’m an IL resident looking to purchase 2021 Q5 E.

After some back and forth reached a deal with a CA dealer for a 2021 Audi Q5 E (prestige trim). Very similar to leasehackr.com/calculator?make=Audi&miles=10000&msd=10&msrp=67060&sales_price=63033&months=36&mf=.00112&dp=0&dealer_fee=85&acq_fee=895&taxed_inc=9053.17&untaxed_inc=2500&rebate=0&resP=52&reg_fee=400&sales_tax=9&demo_mileage=0&memo=2021%20Q5%20E%20Prestige%20&monthlyTax_radio=true&bmw_demo_25=true

(Forgive me I haven’t mastered taxed vs untaxed).

When it came time to generate paperwork, the salesperson told me they could only sell for cash (or finance) the vehicle and not lease it. Any idea what’s going on here?

Another Audi dealer our of CA where I’ve purchased vehicles in the past told me they won’t do out of state at all. Any insight on what might be going on here would be appreciated!

Thanks.

Some dealers don’t lease to out of state customers. That’s up to them.

However, is the deal really much better than something you could get locally when taking into account over 1200 in shipping?

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I thought you were purchasing?

Why not just ask the dealer up front if they can lease to an IL resident? Many dealers only do in-state leasing and the ones that do out of state are often limited only to surrounding states because they need to be able to calculate the fees, taxes etc correctly.

And as @Spyder1 said, is this deal really worth the hassle and cost to begin with? Your numbers seem very made up so it’s difficult to tell what the actual selling price discount is.

It’s actually really common that dealers won’t do out of state lease deals in CA, regardless of make. It may have to do with the difference in how states apply sales tax for leases and the added complication isn’t something the dealers want to deal with. Purchases are far more straightforward insofar as sales taxation, so that’s probably why they don’t have an issue there.

Was up-front about leasing. This particular dealer initially said they willing to lease, but apparently only with an inflated MF.

The numbers are real btw. Negotiated the discount off of MSRP and between costco, energy credit, A3 loyalty and others there’s a lot of credit to be had.

Shipping is about $975. Willing to endure hassle and cost because the trim is seemingly unavailable anywhere east of Denver right now

I doubt that it was communicated clearly, but perhaps there was a miscommunication or an overzealous/unknowledgeable salesperson. If this particular trim really is that hard to find, I’d be very clear in your initial contact and ask if they are willing and able to lease to an IL resident who cannot sign or pick up in person but you will take care of shipping.

My hunch is that you’ll find very few dealers out of your region capable of leasing to you, and the ones that are likely won’t want to drop their pants on a deal that will take this much hassle/time for a customer that they’ll never hear from again unless there’s a problem.

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I’m in PNW and while it is true that some CA dealers don’t do out of state deals period, others usually consider it a lot of hassle due to out of state registration. I’ve had lot of luck being upfront about the fact that I’m out of state, willing to do my own registration and will arrange my own shipping/fly in to sign as long as they hook me up with a one way permit.

Ofcourse the numbers have to be aggressive enough for it to make sense to go through so much hassle.

Don’t forget about Fraud. It’s really easy to have ‘out of state’ fake documents that the dealer cannot recognize as fake and the dealer would be left holding the bag.

though this doesn’t explain why they will sell but not lease

There are some very aggressive Audi dealers in the Chicago area. I am sure with a little work you can find a similar deal locally.

You have checked every single box on the exporter list. I am surprised you have not run into any problems.

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I’m not looking for GT Porsches or Autobiography RR. I doubt M340is are being exported anywhere. Maybe that’s part of the reason but I’ve spoken to lot of dealerships and never, ever had anyone question my motives. Usually works out to my advantage because I take away all of the headaches usually associated with an out of state deal.

We’ve gotten this question so many times and the bottom line remains the same: it is what it is. No amount of “insight” or theorizing about “why” will help you change a dealer’s mind.

They told you they don’t want your business so move on.

TBH I’m also very surprised the total cost of the lease including shipping from CA will net out to less than a well-negotiated local deal around Chicago or a plausible fly-n-drive from PA/NJ etc.

Try here. And I agree, can’t imagine that deal is that much better than a local deal to warrant all the trouble and cost

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