Decided to look for a truck instead of the family sedan I started out looking for. Below was the best offer I got back after sending out a few emails to in-town dealers with trucks that had what I was looking for.
2021 Ram Laramie Crew Cab 4x4
MSRP $59,780
MF = .0025 Ally MF which I can’t get on Edmunds but is the buy rate
RV = $38,259 (64% again, Ally so higher RV than I got on Edmunds)
Selling Price = $51,717.000 (13.5% off MSRP)
Reabtes = $4750
Fees = $199 Dealer Doc Fee, $695 Acquisition Fee. $5 License Fee.
Adjusted Cap Cost = 48413.77
PMT = $547.77 (Calculator here shows $528, see question 2 below)
DAS = $547.77 (1st Pmt)
2021 Ram Laramie Calculator
In addition, I have an extra $1500 rebate offer I got off the Ram Trucks website which I plan to toss in when I go in to sign (if I do). All said and done with the discount and rebates they show it’s looking like a 21.4% off MSRP which seems right around what I’ve seen on here and elsewhere. The only two questions I have are:
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Simply swapping in the FCA RV and MF I get a much lower payment so is it safe to assume that there is money being offered up from Ally shown in the dealer discount or the Rebates id miss out on from doing that over Ally? Dealer says Ally is the best Pmt, but hasn’t answered me on what I lose out on going that route.
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When looking at the paperwork, I am seeing an acquisition fee which I am used to seeing on all lease deals I’ve checked out. However, there is a separate line item also showing an ‘Inception Fee’ which is equal to one payment and deducted from the Rebates? Is this common? My assumption, and maybe it’s wrong, was that the Inception Fee and 1st Pmt were one and the same? So why is 1pmt being deducted from rebates and I’m paying 1st month?
Hope everyone had a great Holiday, and appreciate any insight you all can offer. Thanks!
I broker CDJR on here, and this does sound like an excellent deal. Any more than 8% is pushing behind invoice and almost all holdback on most RAMs, although it varies based on trim and options, so 13.5% off is a huge discount and it sounds like they are trying to move cars before the end of the year.
Rebates for Chrysler Cap and other Non-Captives like Ally are different. Generally they offer “IDL Cash” for non-Captive banks like Ally, USBank, etc. This is usually a lot more than the CCAP and it helps offset what is usually a higher interest rate.
If the dealer is using Ally, it is probably the best bank for that car, for that month.
All said and done, with al taxes and fees rolled in, that sounds like a great deal to me, but I cannot help with your question 2. It would be hard to say without seeing the paperwork. Overall though, I would except the dealer to try to be making up some money somewhere to offset that huge discount.
Took the dealer info out here, but top left is what I have a question about. Shows Rebates Minus Inception Fee which is equal to one month payment tax included. Also from your perspective as a broker, you foresee any issue with them accepting that $1500 rebate I got from the Ram website?
I have an idea on what they might be doing but I’d wait for someone with more experience to chime in. It’s almost like they’re showing using the rebate as cash down and then for some reason removing $547 from that which then gets the calculator pretty close to your actual monthly, but still not dead on, so I’m not 100% sure.
As far as the 1,500 code goes, thats cash right from FCA to the dealer, so there should be no issue.
Curious if anyone else has some insight here? I am thinking I will just ask them to get to the Adjusted Cap cost of $47,866 which would just be them putting the $547.77 back into the rebate and going from there. With the additional $1500 Ram website rebate that would bring my payment down to $478 with only 1st month DAS.
Circling back here with what I got. It was a misunderstanding in that the Dealer calculated it as a $0 DAS instead of the 1st month DAS. I missed that there was a $0 in their customer cash section of the deal sheet I attached. All said, I think that satisfied all my questions and this looks like a pretty solid deal I think. @IAC_Scott Appreciate your replies here!
Great deal for sure, certainly a loser for the dealer IMO.
What do you guys think of this deal?
2021 ram Laramie sport edition
MSRP- $61455
DAS-$500 includes taxes and fees
Monthly payment-$640
Lease 10k/36
It is practically impossible for us to tell you what a “good” monthly payment is for your specific lease as lease programs are highly dependent on region, personal qualifications, tax rates, etc.
We always recommend the following method before you ever contact a dealership. If you do all of the work up front, you’ll have a stress free dealer experience and set yourself for success.
- Read Leasing 101 (Blog | LEASEHACKR) to understand how to calculate a lease payment and the variables. Monthly payment is an output, not an input!!
- Pick a specific vehicle that you want to target
- Gather the current MF, RV and incentives from Edmunds forums for your zip code
- Research the LH marketplace and other deals that have been made recently on your vehicle - what was their pre-incentive discount? How did their lease terms differ?
- Plug your numbers into the LH calculator (CALCULATOR | LEASEHACKR), and use a pre-incentive discount similar to what you have seen
- Create a target deal, this is what you’re trying to negotiate to. You can try different terms, selling price discount, etc. and see how your monthly payment is affected. It is also possible that different trims of your vehicle may have different MF and RV (i.e. this is very common with GM), so make sure that you look into that. Come up with a set of inputs that give you the output that you want - your desired monthly payment.
With a target price determined, you now have a deal to pursue and compare dealer offers against. More importantly, you have a solid foundation to work from.
