I am working on two deals right now, and in both cases the MF quoted by the dealer is very different from what I got from the Edmunds forum. The RV is the same.
I haven’t previously seen such a wide difference (e.g. quoted 0.00158 v/s actuals 0.00118, and quoted 0.00190 v/s actuals 0.00150).
Is the Edmunds forum no longer accurate or dealers have flexibility with these rates?
Dealers have the ability to mark up the MF from the buy rate. It’s another lever they have to make money.
Edmunds publishes the buy or base rate, dealers are allowed to mark it up as one of the ways to accomplish a certain margin they are looking for as already mentioned. It’s pretty common to see lessors allow up to a 40 basis point markup on leases.
The way you get ahead of this is to make the dealer an aggressive offer first calculated at with the base rate vs asking for a quote.