MF seems high despite top credit. Expect the dealer is padding MF to offset MSRP discount.
Residual (70%) is lower than the residual of a Sept reported signed deal (76%) which had the same duration/miles (24 months, 10k/yr). Can the dealer adjust beyond what Mazda financial sets?
We can put more money down to lower interest, however, dealer said Mazda doesn’t allow MSD’s and not a fan of risking a big downpayment as I understand that’s lost if the car is totaled prior to lease end.
Did not go with the initial dealer (Money Factor markup, wouldn’t allow MSD’s, etc) and found another - although it required going cross-boarder and we have to register the tags in the state of residence.
MSRP: $58,920 (same, although those invoiced to the dealer in Oct are $500 more)
Tax Rate: 7.0%
Selling Price: $56,925 (extra $500 reduction)
Incentives: $7,500 LEASE CUSTOMER CASH (same)
Down Payment: $0
Trade-In Equity: $0
Months: 24
Miles/Year 12,000 (12k and 10k miles a year have same residual)
Residual: $41,244 (70%)
Money Factor: 0.00319 (Mazda Financial MF - no dealer markup)
Multiple Security Deposit (MSD): $4,500 (9x $500, initial dealership refused)
Acquisition Fee: $650
Dealer Fees (Doc Fee): $250 ($51 higher)
Government Fees (License & Registration): $30 (Temp tags so have to register independently)
Disposition Fee: $350
Lessons Learned:
*Not all Mazda dealers honor S-Plan pricing (S-Plan = Dealer invoice)
*It’s not easy, but it is possible to do a little better than dealer invoice w/ or w/o S-Plan
*Many dealers mark up Money Factor to offset reductions in selling price
*Options bloat (etching, paint protection, etc) is sometimes negotiable, especially if they have not taken delivery yet.
*Mazda MSD’s are $500 each regardless of the monthly lease amount.
*In October Mazda increased the MSRP on PHEV’s - different amounts depending on the trim.
*If the sales person isn’t helpful with lease structure (e.g. MSD’s), ask to have the finance department call you.
*Some dealers are hesitant to put estimates in writing - I expect they don’t want them shopped - so be tactful when asking about estimates/offers in writing, and of course, what you share.
*Before you go to the dealer to finalize the lease and pick up the car, insist to have a copy all the paperwork - otherwise be prepared to spend hours at the dealer while they prepare your lease agreement. Don’t believe that the paperwork/lease agreement is prepared prior until you see it.
