Deal Check - 2020 Volvo XC60 Inscription w/ Adv Package

Ask the Hackrs
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Hi everyone,

I am looking at 2020 Volvo XC60 Inscription w/ Advanced Pkg. We are still debating between buying and leasing as weekly driving will be 100-150 miles.

I know the forum is primarily focussed on leasing, but I wanted to share the quote I received for financing the car:

Year, Make, Model, and Trim: 2020 Volvo XC60 T5 Inscription
MSRP: $55,040
Sales Price: $48,435 (8.7% pre-incentive)
Incentives: $1,250 Costco member
Monthly Payment: $777 (0% apr 60 months)
Region: Northern California (Registering in Reno)

Any feedback on this quote is appreciated!

Also, if we are to lease what should I target? (I am still working to find the MF and residual).

Update:
Decided to lease the car included the quote below, appreciate your suggestions

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Before buying I would consider taking a good long look at what CPO cars are going for, then back out ~20-25% to get an idea of market value on trade.

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52 Out the door

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Thanks given the resale value we are looking at Leasing now.

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[Reposting to keep in the same thread]

Hi,

Got a quote for a 2020 XC60 Inscription AWD w/ Adv Pkg. I am new to leasing have gone through the basics.

Based on the lease calculator and what payments are being quoted by the dealer there seems there is a big difference even after the discount which makes me suspect an inflated MF.

Details.

MSRP: $55,040
Discount: $8,555
Adjusted Price: $47735 - $1250 (Costco)
Acquisition Fee: $995
Non Tax Fees: $431.75
Region: Buying in CA, Register in NV
Term: 15K/36m
Down Payment: $0
Monthly Payment: $666

Calculator

Appreciate all your suggestions!

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Sounds like marked up MF. What’s the pre-incentive discount?

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The $8,555 includes the costco discount so pre-incentive is $7,305 ($47735 which comes to 13% off msrp)

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And how much for volvo allowance/lease cash?

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Ok, that is something I will have to check with the dealer from the quote it just says discount. But based on checking the sites it seems inscription has $3,250 Lease Bonus

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In that case, your pre-incentive discount is $4055, so 7.4%. How does that compare to the other XC60 deals you have researched?

You’ll want to verify the MF as well to figure out what the actual pre-incentive discount when adjusted for buy rate is.

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Adding 2 cents here:

I know you are working on deciphering the deal. I viewed your calculator and noticed the residual was 60%, which is a default number for when you load the LH calculator.

Searching Edmunds for October, I found this recent MF/RV from a neighboring zipcode to San Francisco with the following:

XC60 Inscription AWD, 36/10 lease
.00043 MF and 55% residual. $4250 lease bonus

[That’s just for reference FYI, although it could be very similar. Notice the different RV]

So we need to account for two things right away:
-The true residual value of this vehicle for a 36/12 lease in your zip (It wont be 60, trust me).
-The base MF in your zip compared to what the dealer has on your sheet.

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Got it. I confirmed its $3250 included into the price, so in the calculator I can move that to taxed incentives.

Also, I used the one I could find from edmunds for that zip in june. I have asked for a more recent value. The residual i got from their site calculator was 57%

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This is useless information to you.

Always ask for rv/mf/incentive information for the trim you want, for your zip, at the time you’re shopping.

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Da20, I just scrolled further and found your Edmunds posts :laughing:

Good work!

Wait for those guys to get back to you, and then come back to us and we’ll revisit this analysis. In the meantime, I would recommend searching this forum for other XC60 deals if you haven’t already. You can get an idea of what the market has been like. There are plenty of Volvo posts from brokers and enthusiasts alike.

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Yes, thank you :smiley: I updated the calculator as well. Not in a hurry and also open to brokers so yes going through the forum

36/15
.00048 MF and 54% residual
$3250 lease bonus

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I received another quote which $676.94/month for 15K/36m, this one is for a T5 momentum with the same packages.

Wondering what should be the strategy be to negotiate. Looking at some of the posts 500-550 seems to be doable.

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Start by determining what your target deal is based on the current lease programs at a target pre-incentive discount from researching comparable deals. Offer your deal to a dealer, see if they’ll bite. If they won’t, move on to the next. If none bite, adjust your target.

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I got an updated quote now for 630/month (w/ taxes) for the inscription. Still seems $100 higher than what I am seeing on the forum and the calculator.

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May I ask something if you don’t mind? How did you get the discount price from the dealer? Did you have to negotiate? The reason I ask is because I am also looking at a 2020 T5 FWD Inscription that’s advertised at $10k off MSRP. But that’s the sale price. Although the price seems to be attractive and I can possibly get it down by another few K, I am not sure if I want to own a Volvo because of the high maintenance cost and the issues that come with an older car. That same car is listed for Sale/Lease. I am wondering how to start the conversation for the lease price. I’ve already got the MF and RS. Any suggestion will be appreciated. Never leased before. Hence being careful about how to start the conversation, what not to say…

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I researched the forum, initially we were thinking of buying but looking at the resale value it seems better to lease the car. Regarding approaching the dealer we emailed the nearest dealers for quotes and provided them with our expected offer.

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