Here is the deal I got:
MSRP - 29,795
Sales Price - 24,691
MF - 0.00059
Residual - 55%
Down - 1000$ (including fees and first payment)
Monthly - 290$ (including 22$ a month for safe return)
IS this deal good? I got a 9.7 score on the calc
It could be lower. Put in the incentives currently running as well while keeping the sale price the same: $1000 dealer cash + $1000 bonus lease cash.
The untaxed incentives are reimbursed by corporate so the dealer is making the markup + holdback + incentives on you right now.
And what is the lease term and mileage? 36/15?
I get $221 w/ $1000 drive off on the calculator with those incentives added in.
Where can I read about those incentives?
Might be that the price I got includes those already?
These incentives are in the NY area. Ask on edmunds if you are not in this area. Ask for base MF and Residual there too.
But to get the best deal you don’t want those to be included in the sell price. The dealer gets reimbursed for incentives from corporate so you want to get the lowest sell price then add incentives. So to trap them, ask them for:
- Sale Price of the vehicle
- Gross cap cost (sale price + fees and stuff)
- Cap cost reductions (This is where incentives would go on the contract)
My husband and I are in CT and we returned our leased Honda Civic today and we were offered the following for a 2017 Accord EX-L lease:
MSRP: 29,795
Cap Cost: 25,645
Residual Value: 51%
I can not recall the MF
Drive off: $1,650 (fees + 1st month paymt)
Monthly cost: $308
Lease term: 36/12K
I am surprised by the low residual value and was told this has to do with the remodeled 2018 version. Is this a good deal? I felt as though we should be below $300 per month.
that’s a horrible deal.
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Can you explain more about what makes this a bad deal? And what would be a good deal?
Also, you did not state the MF and RV so that I may make a better deal elsewhere.
Thanks.
You have to do your research if you want to hack your deal. Go on nadaguides. Go on edmunds TMV, truecars, cargurus… im tired of typing.
Hello There:
This is a generic copy + paste answer to your question about how I can get a better deal.
SELL PRICE SELL PRICE SELL PRICE.
Remember that dealers make money based on the following. (Sell price + Incentives + Holdback (look it up for each car sold the dealer gets around 2% MSRP) + Volume Discount (secret ask someone on the inside)) - (INVOICE). Check out the wiki for sites on what other people have paid including NADAguides. Again, that’s (Sell price + Incentives + Holdback + Volume Discount) - (INVOICE)= Profit.
For dealer holdback numbers: https://www.edmunds.com/car-buying/dealer-holdback/
Which sites do you use to do research? (Updated 07/22/17) [Library]
INCENTIVES
These are programs made by corporate to give to dealers so they have more room to discount cars. Autobytel has lists for each make and model. However, make sure you are eligible before barging into the dealer demanding the moon. DO not let the dealer factor this into the sell price discount. They get reimbursed for incentives.
MONEY FACTOR
This is the bank’s profit, or in other words, interest. Go to edmunds (again info on wiki) to find the BASE MF for your vehicle. Dealers will sometimes mark up the interest and pocket the difference. This is where Edmunds comes in. Don’t get got.
MSDs.
Many carmakers allow REFUNDABLE MSD (multiple security deposits) to lower your MF aka interest. MSDs are simply monthly payments paid up at the beginning of the lease and refunded at the end of the lease. No questions asked even if the car is totaled (assuming insurance pays off the rest of the lease).
Fees
Look up the lease acquisition fee for your brand and other user’s average standard doc fees. Acquistions fees may be marked up so for example: MB’s base acquisition fee is $795. Many dealers mark this up to $1095 which you then have to call them out on.
In terms of doc fees, for example NJ is usually ~$499 and Florida can get up to ~$1000. Remember doc fees are sometimes the finance manager’s cut so they can be negotiable. However, lease acquisition costs are usually not, but why not ask?
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Thank you for the generic answers…Sorry to hear your fingers are overworked but I was told this forum was a good starting place to do research…guess not. I am new to all these formulas and leasing language…I will research elsewhere.
i don’t get paid to post here. nobody owes you anything sister. the answers are all in the generic post which applies to special snowflakes like you.
The Accord simply may not lease well, or you might be getting too small of a discount off of MSRP. If you are new to all of these formulas, you should probably read up on Leasing 101. There are way too many people that want their deals critiqued to spoon feed information to newbies.