Hi! I need help understanding this lease offer for a one-pay option on an Audi RS e-tron in LA.
The discounts and incentives gets the cap cost within $5k of the RV (if i understand this correctly)…how is the payment so high? This is my first time so clearly missing something.
On a side note: is there a benefit to buy in Nevada or other state and drive it home?
go 7.5k miles and pay overage at the end, its cheaper that way
confirm its buy rate money factor, if not, push for a bit more discount or buy rate
Do the 3 and should be way cheaper
If you want to get technical, ask how the rebates are allocated? Suggest using a larger portion as cap cost reduction to reduce rent charge versus applying as working cash.
The payment is high because you are paying an astronomical amount of interest to AFS for the privilege of driving that car for one year. Unless one has a business write off, I just don’t see where the value is in these 1 year deals. Given the size of the discounts and rebates, we know the car is massively overpriced, but they look great and are fun to drive. AFS does these deals every day, so they must be profitable for them. They lease much better than their Porsche Taycan sibling, but I am not sure why they don’t hold their value as well. Basically the same car underneath in a different wrapper
The MF isn’t crazy on these relative to new car financing, but even so the MF is only one lever in lease pricing and doesn’t tell you much on its own.
$156k is an absurd price for the car, but only if you believe that MSRP is a useful metric. It really doesn’t tell you anything by itself.
The incentives are crazy and drag that number way down from the ether.
I haven’t driven an RS, but I have the base GT. I have no trouble believing that an RS is worth an effective $1,200 a month or a bit more from a value perspective. Value is obviously highly subjective.
Progressive quoted me $1340 for 6 months. These deals are great, but with that insurance premium it’s a HARD NO for me dawg. No car is worth that type of premium.
How does “working cash” usually show up as a line item? I see in the original screenshot that the Discount and Rebate are both applied to reach the Adjusted Price. So how do one know what is a cap cost reduction and what is working cash?
Under 1200 per 6 months for 3 ICE leases (7 series, Infiniti QX, Lexus IS)! So basically 200 a month to insure 3 cars vs 1 car hahaha. I do understand this is an artificially inflated $165,000 car though.
how does it go from 46k to 15k? Obviously dealer is calculating the whole lease without any rebates and applying it on the last step to determine what is due
The OP asked why his payment was so high. A big part of that is the lease fee and probably taxes on the rebates.
I guess I don’t understand why you don’t care about the MF. It has a direct bearing on the total cost. Are you saying total cost does not matter when determining if you get a good deal or not? When comparing two deals, isn’t the one with the lower MF and lower payment better than the higher payment, all else being equal?
Lessor sets a min and a max on the MF, and it’s rarely negotiable from max to min or in between, so this MF isn’t going to be that much different (if at all) from any other randomly-selected deal from the same month.
A larger discount can offset a marked-up MF, or you may only be able to achieve a smaller discount if the MF is at buy rate. This offer has a 10% dealer discount. Others have reported 11%, 12%. And a few outliers were even higher.
Could also be a difference in tax rate. Just within CA this varies from mid-7%s to mid-10%s, and the rebates are taxed.
Could be registration fees. This is CA, so plates alone are $1,000+ on this car, where if it was registered in Ohio they’d be $65 a year.
So even on identical costs for the lease itself, the CA deal would be that much higher and still represent the same value.