Alright, i bugged some of you for insight, put out some feelers, and after balancing a handful of lease negotiations for 2 vehicles - Grand Cherokee (4 dealers) and GMC Sierra (3 dealers)…im tired ha. Below is the best i got.
2020 Grand Cherokee Trailhawk - V8
MSRP: $54,030
Sale price: $47,598
Monthly Payment: $715 (includes vehicle trade-in with -$2.5K equity)
Drive-Off Amount: $0
Months: 36
Annual Mileage:15,000
MF:.00025
Residual: 49%
Incentives: $1,500
Region: CO
Leasehackr Score: 7.1
What you may want to look into first is calling Chrysler Capital (assuming your current lease is with them) and state you’re mileage overage and ask if they could cut you a break on some of the penalty (unlikely they will do all) if you lease another Jeep. Best case you save some $ there, but pay this out of pocket instead of rolling into your next lease if you can. No point to pay interest on it.
Truthfully both are atrocious deals. They are a solid $200/month higher than what would start to be considered a good deal here. What is your budget? What is your location?
Keep in mind if you had 52k miles on your current lease, even 15k is not enough if you plan to do that again.
Try to avoid the AT4. These are hot trucks and dealers know it so you will pay a premium for them. If you need to replace your current lease next week you should work with a broker. IMO you don’t have the time or knowledge yet to work out a solid deal in time.
@mdnys - Chrysler Capital isnt bothered by the mileage, and deferring to the dealer. So in this run down, dealer is looking to effectively do a lease buyout with CC (the residual i have) and therefore no penalty on mileage. Then valuing the vehicle at $27K as a trade-in.
Despite going over, 15K annually is manageable since had to do some unplanned larger trips west and east that an exception to normal habits.
And good call on the sierra given the “hotness”.
Im in the Denver area, healthy budget is ~$650 a month but can make $750 work as well.
@mllcb42 - Both the instant offer spots are giving me just under $27K for the vehicle.
That is correct. I have no outstanding lease payments - as seen by the buyout agreement; and this matches the residual o my lease agreement from 3 years ago.
Gotcha, so you have paid it all off already. I was confusing your posts and another that I was reading that had a few months of payments left. My apologies.
You do want to get the dealer purchase quote that they talk about in the beginning there though.
Chrysler Capital will not disclose that figure. So not sure what the game plan is.
Worst case, i may do a lease buyout and re-set the stage with the vehicle in my possession, to negotiate with other brands/dealers; unless you believe that loses me leverage.
Personally, I see a trade in as a liability, not leverage in a deal. It’s a place that’s always easy for a dealer to hide a mark up/make a discount seem larger than it is.
The issue with buying it out personally and then trying to resell is that you’re likely to end up having to pay sales tax on the buyout if you purchase it for personal use.
I’d go more with irrelevant than fact or fiction. The dealer has multiple revenue streams on the vehicle, so even if they show a loss on invoice, it doesn’t mean they’re losing money on the vehicle.
