Deal Check: 2020 Audi Allroad A6 (Costco Auto Program included)

May I ask if you get this through LH broker or just your own negotiation with your local dealer?

Yes, you could reduce the mileage (usually only 20 cents per mile for overages), get the buy rate, tier-1 MF, and ask for a bigger discount.
If you can’t get the deal you want after calling lots of dealers, consider other vehicles. Look at the broker offers on the forum.

Yup, I would.

The only reason I am trying to get the deal with my local dealerships first is because I currently have a Mercedes lease (maturing in December) IIRC, the broker can’t really help on trade-in and I will have to deal with the dealership directly.

Honestly, if it has positive equity throw it to carvana. You still have time before the 60 day deadline. If you want another Mercedes talk to @Calvin.MB.

Consider trading if you do have equity. Brokers don’t like trades because it’s extraneous, but you can handle it yourself.

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I tried with Carvana, Vroom, etc. Unfortunately, I have an E Wagon and wagon are not as popular with other vehicle so I don’t get positive equity. :frowning:

Agreed, that’s why I am trying to deal directly with local dealership first.

Originally, I plan to wait till December and check out the All Terrain wagon. But, they may not come until end of December and the current Audi Costco program seems pretty sweet. Hence I am looking at the A6 All Road and now E-tron per @SSB-LA

The 1% rule is a useless metric, especially on something like an A6 Allroad.

@HubbaHubba not sure why you’re trying to exit the eWagon early, but it sounds like you tried Carmax/Carvana/Vrooms/Shift/Algo/etc to sell it, and you’re upside down. That’s negative equity you’re rolling into lease, first mistake.

The MF is marked up, which means you’re paying excess rent on the negative, second mistake.

The deal itself isn’t great, and maybe without the trade you grind the MF down and call it good enough, but if you’re doing this now just to get costco incentive, I think you’re turning an average deal into a bad one.

An eTron (which is nice, but a very different ride IMO) does have more room to bury that negative if you really want to do this deal now. If I were you, I’d ride the eWagon to disposition and pickup the All Road in December.

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I negotiated the deal myself. There are several threads on LH that should guide you.

There are dealers both in NoCal and SoCal offering aggressive deals.

Conditions are better for 24 rather than 36 month leases.

In addition to the 10% Costco and $2K loyalty, there is $7.5K lease cash and $7.5/9.5K market allowance on PP/Prestige available now. Dealers are not obligated to pass all of the last two, so you need to negotiate them.

The best deals posted on LH have been able to get an additional 3-5% discount from the dealers.

Samantha at Audi Fremont was offering aggressive deals recently in NoCal.

Good luck!

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There isn’t one. It varies vastly by vehicle, personal situation, etc. Anyone who claims there is a specific msrp % that represents a good deal is giving you flawed information.

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Thanks for the honest feedback!

Yes, I had plan to wait till December, but just want to see if I can utilize the Costco program and probably get a good value on the MB and learn from this forum.

It is likely you are going to be paying for those remaining payments on the MB one way or another (will just come out of your discount) so I suggest you just leave it out of the deal. If there is a chance there is equity go get quotes from a few MB dealerships.

Oh wow, I did not know that.

Thank you for the insight! I wish there is a “rep” button in this forum.

Agreed. I just found out that Audi have tons of cash incentives and allowance and coupled with the Costco auto program, I can probably still come out ahead on the remaining payments (2 months left).

You should check the incentives on Edmunds as they are specific to your zip code. They may very slightly from what I posted which were for SoCal. You can also confirm there the MF and Residual for the lease terms you need.

Cheers!

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I have yet to see a good argument as to why this is so. Payment to MSRP is a ratio, like P/E, it doesn’t tell you everything, but is the best way I’ve seen to compare car deals. To put another way, what other cars could I get for the same payment/cost?

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Pinging @Audigirl

Who says that two cars offer a comparable value at the same msrp? Different manufacturers price their vehicles differently. Some inflate the MSRP and then offer large incentive packages to give the perception of a good deal. Others offer limited incentives, but have a lower starting msrp. Those limitations apply to one person, comparing two leases in a vacuum, and have nothing to do with the notion that a lease at 1% (or insert percent here) is a reasonable metric. There is some argument that can be made that directly comparing two vehicles for an individual person based on percent of MSRP has some value.

The notion that there is a specific % of MSRP that is a threshold for something being a good deal is a totally different conversation and is far further from being useful, as lease terms vary so wildly by personal situation. What incentives do you qualify for? What lease terms? What region are you in? What is your tax situation? Etc. You can have the same car sold to two different people, for the same pre-incentive selling price, for the same lease terms have payments that are off by hundreds of dollars from each other because of personal situation. You can have a situation where the same car, when adjusted for a personal situation, is impossible to get near 1% for one person and a horrible deal at 1% for another.

Let’s be very very clear that comparing two vehicles based on percent of MSRP and claiming that there is a specific percent of MSRP that represents a good deal are very different things.

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I understand all of what you said and still think you’re wrong. There are differences based on what folks qualify for, and that’s why these differences should be accounted for when comparing cars.

As I said earlier, it’s similar to P/E and all the derivations. Some stocks have very high ratios for various reasons, but to argue P/E is useless would be pretty ridiculous.

Ultimately it’s up to they buyer to value each car based on the payment. If the OP values the $72k MSRP A6 over a $100k MSRP 7 series for the same payment, that’s completely fine. But without doing the comparison, the OP probably wouldn’t have considered the 7 series as an option.

You’re arguing the idea of comparing two different vehicles based on their specific percent of MSRP as it applies to the specific buyer. That is a comparison that has some validity.

That is a different discussion than labeling a specific percent of MSRP and defining it as the threshold of a vehicle being a good deal or not.

Everyone’s too busy trying to hit gross lol j/k… it’s Labor Day weekend… :+1::grin:

Well I’d say there are general thresholds. .5% will alway be great. .75% is usually great. 1% you’re not being ripped off, but unclear if it’s good. This could be debated though.

Over 1.25% is when you should at least consider other options.

The key is that most consumers use MSRP as a starting point anyway. They pick their favorite car with what they think is a reasonable MSRP, then try to get the best deal on that one car. The truth is that MSRP isn’t a good predictor of actual lease payment cost, so consumers should compare actual costs, not msrps.

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