Deal Check: 2024 Volvo XC60 Recharge Plug-In Hybrid T8 Plus Dark, 604/m DAS-$2995 36m/10kmi

Ask the Hackrs
, , ,
1

Hi All,

I am looking to lease a XC60 Recharge Plug-In Hybrid T8 Plus Dark and got a quote from a dealer in GA as below:

MSRP: $66,625
Discount: $9,300 (14%)
Rebates: $10,500
DAS: $2995
RV: 57% ($38000)
MF: 0.0038 (estimated)
Term: 36month/ 10,000mi

$604/month

Total buy-out value= $2995(DAS) + $21140 (604*35) + 40000 (RV+tax) = $64,135 which is near to MSRP.

I don’t understand the deal as it says 19k off but end up paying the same amount during buy-out.

Please let me know if this is a good lease deal or is there any thing that can be negotiated with dealer, and I am thinking to buy out the car after 6 months.

Thank you All

2

Your calculation isn’t accurate.
Don’t include 35 x Monthly Lease Payment

In your contract, Monthly Payment includes 3 things.

  1. Depreciation Charge / 36
  2. Rent Charge (~$9000 is what I’ve seen for XC60 T8) /36
  3. Tax on 1+2

You don’t pay Rent Charge for how many ever months you don’t keep it leased.

Let’s say your rent charge is $9000 over the 36month lease term. That is 250/month
Assume you buy it out before your sixth month’s payment. Then you save 30 x Monthly Rent Charge = $7500

Also, tax is calculated based on the balance of the car you’re paying off, not on MSRP.

Estimated Buyout fee -
$2995 + 5 x Monthly Payments + 30 x (Monthly Depreciation Charge - Monthly Rent Charge) + Purchase Option Fee + Residual + Tax, Title, Fees

Around $56000 +/- $2000

3

Thanks for the taking time and helping me understand the deal, did you also buy-out the vehicle through lease? if so, please post your numbers so that it helps me to negotiate my deal.

Thank you

4

I have leased it but haven’t bought it out. I checked the pay-off information in my Volvo Financial Services Account.

My numbers are significantly worse for the same XC60 Recharge Plus.
In WA, after sales tax, I’m paying $788/month with $3000 DAS. 36/10 Lease

5

This vehicle seems a bizarre choice for either a traditional lease (not a good value) or buying it out (resale / trade value won’t be good).

6

Here is my monthly breakdown:
604/M:
depreciation: 249
rent: 315
tax: 40

30 x (Monthly Depreciation Charge - Monthly Rent Charge) = -1980

Total BuyOut:
2995 (DAS) + 3020 (5months payment) -1980 + 450 (purchase fee) + 38000 (residual) + 3000 (tax,fees,etc)
Around $46000

As per you logic is this true that my total buy out will be 46k ? please suggest
Thank you

7

Think I made a mistake in my calculations.

$2995 + 5 x Monthly Payments + 30 x Monthly Depreciation Charge + Purchase Option Fee + Residual + Tax, Title, Fees

Don’t add or subtract the rent charge. You just don’t pay it for the remaining 30 months when you buy it out after 6th months.

Updated Total below

2995 (DAS) + 3020 (5months payment) + 7470 (Dep Charge) + 450 (purchase fee) + 38000 (residual) + 3000 (tax,fees,etc) (maybe more than 3000)
Around $55000

8

I have checked with dealership and they say that the rent charge is also included even if you buy-out i.e 604*30 so its totaling to 64K.

9

Not sure why that is.

On my lease contract it is mentioned that rent charge that isn’t accrued won’t be counted.
Even on my Volvo Financial portal, my payoff information is calculated the way I mentioned.

10

Can you please share any screenshot as proof so that it helps me to ask the dealer and can you please let me know your payoff amount in your portal (total buyout).

Thank you

11

I am thinking to have this car for couple long years, so not intended to trade/resale for at least 5-8years.

12

This topic was automatically closed 60 days after the last reply. New replies are no longer allowed.