Hi guys, I am in Charlotte, NC trying to negotiate a Mercedes-Benz GLE350 AWD. Trying to get a lower price possible. Please help or share your advice if the current price is reasonable to seal the deal.
The offer I received the latest:
Dealer fee: $518
Non tax fees: $879
$5000 down, $1039/mo, 10,000/miles, 36 months
Please help to see if I can get a better deal or I should seal this current deal, thanks!
I have spent the past half month trying to get the best deal on new MB GLEs. You can get what can be considered a real good deal under current market conditions (meaning, a DISCONT off MSRP, I won’t say how much, but it’s substantive and rare when most dealers sell it for MSRP or more. Suffice it to say that profit margin on these cars is around 4% and you can get a larger discount, even get it below invoice) , and you can get the car with zero down. I won’t say what your payments will be, let leasehakrs and dealers you talk with disclose it to you, and you may well afford it. But, regardless, you will be using 40%+ in depreciation while paying a HUGE amount of money for it (may be 65% to 70% of MSRP) by the time your lease terminates, so you will waste a LOT of money. Do it if money comes easy, but if you work for your money then it’s a lot to throw out the window. MB currently doesn’t structure their leases to be attractive. I think they adopted a new model of doing business post-COVID, which is to keep inventory tight, MF high and say “It’s our way or highway”. And if you buy it, it won’t only depreciate a lot in three years, but being German car it is (not a Honda or Toyota) it will start breaking down once you drive it past the warranty, and it will cost you an arm and leg to fix it. Just consider all this before you make a decision.
Lease will cost $42,404 over its lifetime on a $67,000 price. Guessing with financing the car would be say $70k roughly out the door, so buying and assuming same depreciation in 3 years would be a value of $27,600.
The car should be worth more than that if you owned it, and you’d do better keeping it longer than 3 years 30,000 miles to spread out the depreciation.
I guess it depends on how much you like this particular car and what interest rates you could find.
I never did a full comparison because I never really considered the GLE when I was shopping, but I got ~8% off MSRP on the X5 and over in the marketplace it looks like brokers are still doing around that or even more easily.
$68k seems kind of low for something in the same class as the X5, but then again it’s a 4 cyl with a 7 sec 0-60 which to me is unacceptable for this segment in North America. I guess it competes with the 4 cyl X5 they sell in China but I’m pretty sure even that one is faster.
I would take the GLS over the X7 in an instant so not an MB hater, but GLE - meh.
I can’t be the only one because I easily see 3 or 4 other X5s on my commute every day but I don’t think I’ve ever seen a current gen GLE.
$800/mo x 36 mo @ 10K mi with $0 down would be acceptable deal on $64K MSRP car (these are rough numbers, as they would vary depending on your state’s tax rate on leased cars). Current MB’s, GLE in particular, don’t have any incentives/promotions/discounts and a good MF to make this possible. MB is only pushing EV’s now (and I don’t mean GLE450e) and there is not much dealers can do about it, they don’t decide on company’s policy on incentives, and there is no surplus of stock they would be motivated to get rid of. To the contrary, you will struggle to find your specific trim, color combinations and often will have to take what they have available. As others suggested on other threads, it’s not the right/good time to lease these cars. I have analyzed the lease numbers carefully on various GLE’s and no matter how good offer you get you will be paying for overpriced lease, because that’s how MB structures them. Basically, they are not interested in pushing these cars, they supply just enough to sell them quickly and at closest to MSRP price, some charge premium on top of it.
I won’t say ‘don’t do it’, it’s your money and you decide what to do with it. If you like driving/having that car more than than the amount of excess money you will be parting with, and it’s not an issue to you, then by all means lease it.
Agreed. As I mentioned, MB so structures their GLE leases, deliberately making them overpriced, with high MF, no incentives, and really no need to roll any incentives given the self-imposed limitation of stock. Those numbers (800/36/10 w/0 down) are not reflective of what the current deal on GLE is, it’s reflective of what would be an acceptable deal on it, based on the MSRP of the car.
Please feel free to read first and then disagree with my comment, break it apart, etc… Otherwise it will be a strawman argument (strawman being something that I didn’t say). I didn’t suggest OP to find that deal or that he/she could find it tomorrow. The numbers I have posted is what would be an acceptable deal on the 64K MSRP car (something like very base GLE350) from rationally thinking consumer’s point of view, who doesn’t have trees in the garden producing $100 bills and can figure the lease versus MSRP ratios when comparing to large number of other deals currently available on the market for other makes/models.
I will also add that I can get that car without broker assistance for just under $1000/mo (possibly can push close to 950/mo), or just for 1000/mo firm, I am talking about the 2023 model with almost no options except panoramic sunroof and minimal other add ons (again, not 2024 GLE, which has higher MSRP, but 2023), with around 5% or more discount on it. $1200 /mo is not written in the stone, it’s just common. But even $1000/mo or $950/mo is too much for that car, IMHO
Hi guys, thanks for all the opinions. I asked and tested drive several cars this weekend (X5, X5e, QC90). I still like GLE because more space than X5, a better driving than QC90. I’m gonna try to finance a GLE350 instead of leasing since it’s not a good lease car like everyone is saying. @Eric51 - I agree with you. Even though I think I can get 1000/month for 36 months, it’s still a bad option.
I think I can try to get a loan with 5K down and $1250/month for 60 months, I can refinance later when the rate drops, I know we can’t get a steal deal on this car, I know there are more deals on other cars, but I just wonder if I like this car, is it a good price to pay? Or I should get more discount?