Do majority of leasehackers do only 1st month DAS?

Ask the Hackrs
1

I almost always setup my leases to do only 1st month or 0 due at signing. I can see the argument for paying the taxes, doc fees, acq fees upfront and avoid interest on them. So I’m curious for you veteran leasehackers, how do you usually structure your lease? Pay TTL upfront or roll it into the monthly payment?

2

It depends on the MF and where you live. If the MF is low enough, it makes sense to roll in the acquisition fee. Otherwise, I pay registration in CA every year which is borderline extortion, and the doc fee is limited to $85. The calculus changes if you live in a state like TX which taxes on the selling price of the vehicle.

3

For me, it depends on the MF and whether I need to manage my monthly payment for other loan purposes.

4

I always do 1st pmt but if not max 1000

5

Opinions vary, but for me it’s always either $0 DAS or first month DAS only.

Roll everything into the lease. Acquisition and doc fees, TTL, etc., these are all just part of the overall transaction cost of the lease. Roll it up and I’ll pay it off over the next 36 mos.

6

$0 DAS + Max MSDs

7

remembR iF You totle the Car you loose eVeruything.

8

my 1pay wuld like a word wit u

9

on a 1PAY theY murdr your dog

plus How do you claculate The 1% rule on one of Those?

10

If it is a single pay lease, always pay all fees upfront unless the MF is really low. It makes no sense with high MF’s to cap fees in a single pay as they would be assessed a finance charge.

If it is a traditional monthly pay lease, the decision depends on whether the MF lies below or above your after-tax investment rate. If the MF x 2400 is below your after-tax investment rate, I would cap the fees and conserve your cash for other more productive uses. Also, you could lose money paid upfront in the event the vehicle is stolen or totaled. Remember, a car is a depreciating asset and an expense, not an investment.

11

I felt fine informing another poster that they shouldn’t put $10–20K down on a lease (and they later clarified that they would only do so for financing).

I agree that the risk of totaling a car is low, and I personally would have no issue putting in the low thousands DAS. But when the potential DAS gets into the 5 figures, well…