Looking for input from the hacker community on the numbers presented by the dealer for a 39 month lease
Note there is a shipping fee because the car is out of state and the dealer is would have to ship it to Missouri.
I know the advice I typically read here is not to put money down because you lose it if the car is stolen or totaled… but something in me wants to lower the monthly payment by paying some now when I have the extra cash…never know in the future…
You’re willing to pay 50k to rent a car you can purchase for 75k?
That MF is a non-starter for me.It might be a good deal in the current market for this car, but it is not a great lease.
I was considering this myself and planning to inquire about purchase numbers as well.
I was hoping for a lower MF also, but it’s the best he can do. I am still waiting to her back from a broker to see if I can get better numbers.
“ I know I’m not supposed to do this thing which can basically only hurt me, but for some illogical reason I want to do it anyway.”
If you’re that worried about your future income/cash flow dropping you prob shouldn’t be buying a 75k car , or you could just set that money aside in either a HYSA or in stock indices. Putting it down makes absolutely no sense and you could get a lower financing rate if we’re purely talking interest rates.
Don’t take these comments as advocacy for leasing this vehicle on these terms; they’re more for general leasing context.
This is a grave oversimplification and never actually 100% true.
This is the main reason for paying money upfront.
MSDs are another way to lower your MF, but you get the deposits back when the lease ends.
And of course paying inceptions and doing some CCR upfront will also lower your total lease cost by avoiding finance charges.
With a high MF I’d be inclined to do MSDs and some additional upfront with an effectivel APR of ~7%.
OR
When offered, you can also do a single-payment lease, where you make all of the lease payments upfront in exchange for a much better MF, which can save thousands.
This is a very bad lease. As noted you’re going to spend $50k to drive a $75k car for 3 years, then just give it back.
If you want a lower monthly payment then pick a different car, even in the best of lease times the “coupe” versions of MB and BMW SUV’s have never leased well.
Otherwise if you are set on the GLC43 then just finance it. Don’t fool yourself by putting a bunch of $$ down just to make the payment artificially lower.
well, i mean, even on a “bad” lease there can be advantages. first and foremost, taxes, if your state only taxes lease payments and not full price. not sure about Missouri… but that $75k could be taxed at %11 and tax is just money set on fire that can’t (usually) be recouped. Plus leasing protects you against unexpected depreciation, and vastly simplifies the whole get-rid-of-it part if/when you don’t beat the curve. (and if beat it, you can still buy it). We’re hedging bets against amortization tables. Sure you know all this, just stating perspective.
People who say that as blanket advice often overlook the fact that a) you often DO save on some charges by doing this if you’re careful and b) carrying high monthly costs on your credit report carries some risk of its own if you suddenly need to borrow. This wisdom also tends to assume you’ll “invest” what you would have otherwise put down which carries some risk. So, not clear cut and it’s about your tolerance for which kind of risk, and how the costs pencil out over the life of the lease.
Regarding the lease itself… MF seems high but giving what seems like a big discount off msrp. In the end, coupe depreciation almost always higher, and looks like dealership is going to get theirs on this one, one way or another
