What do their numbers add up to on your calculator? Can you post your calculator so we can see if there are any errors?
You’ve got the taxes wrong and your das doesn’t match the dealer offer. This is closer, but monthly is off a bit
Looks like they’re charging you over msrp since they’re eating the lease cash. Time to find a new dealer
Ah yes… my mistake. Yeah I am going to another one this week. (Hate when this happens as I look fairly young and some sales reps try to take advantage of that. ) you should have seen the quote he gave me for the sel with the premium package LOL —- any tips to try to avoids this type of things?
Don’t step foot in a dealer unless you’re there to take delivery of a deal you’ve already worked out.
You mean work the deal before hand? How is this possible… most dealers won’t send any info to me but just invite to the dealership. Previously, I have been in the position to visit multiple dealers until I found a a genuine seller. Thankfully, My last lease and Wifes were easy.
Yes. Personally, I prefer to establish my target price and then make the dealer an offer. You can ask for quotes if you prefer instead. If they won’t work the deal remotely, I move on to a dealer that will.
We always recommend the following method before you ever contact a dealership. If you do all of the work up front, you’ll have a stress free dealer experience and set yourself for success.
- Read Leasing 101 (EDITORIAL | LEASEHACKR) to understand how to calculate a lease payment and the variables. Monthly payment is an output, not an input!!
- Pick a specific vehicle that you want to target
- Gather the current MF, RV and incentives from Edmunds forums for your zip code
- Research the LH marketplace and other deals that have been made recently on your vehicle - what was their pre-incentive discount? How did their lease terms differ?
- Plug your numbers into the LH calculator, and use a pre-incentive discount similar to what you have seen
- Create a target deal, this is what you’re trying to negotiate to. You can try different terms, selling price discount, etc. and see how your monthly payment is affected. It is also possible that different trims of your vehicle may have different MF and RV (i.e. this is very common with GM), so make sure that you look into that. Come up with a set of inputs that give you the output that you want - your desired monthly payment.
With a target price determined, you now have a deal to pursue and compare dealer offers against. More importantly, you have a solid foundation to work from.
Thank you for your advise. Will certainly educate myself more into this.
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Alternatively, highly competitive prices for this car are already listed on my thread. You don’t need to do any work to have a comparison point for an educated offer.
You’re also welcome to take my ad straight into a dealer. You may discover that just because you are educated on the lower price, not all dealers are willing to honor it. Some dealers will charge a higher price for walk-in customers, where pre-negotiated broker deals would be cheaper at the same dealership.
This forum constantly challenges the expectation of “lowest price” or “best price” for a given car. If a price I posted is too high, I will get called out. When someone comes to me with a lower price, I update my sheet to match it, with full transparency to everyone on this forum
I’m always taking all the data points and adjusting/lowering my prices to remain competitive, so that you don’t have to do any of the work.
I wouldn’t go quite that far. It’s always useful for someone to extract the pertinent details from an offer, even if highly competitive, and then apply that to their personal situation. Comparing monthly/DAS without normalizing for regional/situational differences can give poor data. (Yah, I realize you’re offering NY deals and the OP is in NY, which does make your data much closer to what would be backed into, but as a general approach that’s not always the case)
Having stuff like your listings available does make it significantly easier though.
Right, @Jaime_Tejada is in my region. My ad lines up with exactly what he’d pay, and what is competitive for his local market. I also ship nationwide and am nationally competitive on all Hyundai models.
I’m not trying to boil the ocean. Every contributor here doesn’t have to go out of their way to distill their deal in a way that facilitates cross-country shopping. The customer is only buying in one region, and they’re generally more interested in leasing a car for themselves than in “educating” people in different regions/situations.
Now the Brokers, that crowd is interested in listing and maintaing data points across many regions and customer needs. My counterparts in other regions have those numbers readily available for shopping in those regions. There’s no sense in trying to reverse-engineer my numbers, or a NJ-dealer’s numbers, to try and extrapolate what a SoCal dealer might give on the same car. The market is different in SoCal. It’s best to compare local offers from people that know the local market.
Something like “pre-incentive discount” isn’t the be-all-end-all of a “good deal”. Some of the best deals I’ve ever seen on this site have had no pre-incentive discount, but the MF/RV/Incentives/Inventory made for amazing leasing value at sticker price, or even marked up above sticker.
I think the most useful way to shop, is to compare numbers that have all local taxes and fees rolled in. The most pertinent detail to most people shopping for a car lease is how much YOU are going to pay for it (in total, per month/day/year). They’re just rental cars, after all.
Think @mllcb42 is saying the consumer should take the role of personalizing information from the Marketplace (taxes, adding/deleting rebates, changing mileage, etc) to reflect their own situation
For sure. To simplify this, I only include rebates that everyone qualifies for in my ad, and I include complete Tax/Tag figures built-in for NYC and NJ zip codes. More regions, mileage add-on costs, those are good suggestions and I will add them to my ad as I grow.
For this specific deal though, I can just tell you, that there’s about $80-90/month between the quote here that favors the dealer, and an aggressive deal that favors the customer. No goose chase necessary on my end to answer the crux of the question, in dollars.
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Exactly. @AA-NJ, I’m not suggesting you do anything differently here. All I’m saying is that for the consumer, taking some amount of time to distill the information for their application is in their best interest. That may be as simple as normalizing to the right mileage term, etc. I would always encourage someone to look at more than one data point, so even if the OP is in NY and your deal is in NY, normalizing that data so they can compare against a couple of other deals is a good strategy, even if the conclusion is that your deal is their best option. Further, the OP isn’t the only person to read this thread. Someone else that comes in may not be located in NY, so just looking at your monthly/DAS doesn’t paint an accurate picture.
The worst case scenario is someone that hasn’t taken the time to learn the fundamentals comes in, looks at your monthly/das and compares it to a different term, in a different state, with different programs, and tries to come to a conclusion from that that isn’t supported by the actual information.
Marketplace data points are a fantastic source of comparison data but it’s always in the best interest of the customer to normalize that. Personally, I do think that “pre-incentive discount” is the most effective way to do that, as long as it’s been properly normalized for mark ups, add ons, dealer fees, broker fees, etc. Yes, there are regional market differences in what is a reasonable target pre-incentive discount, but the targets aren’t usually that far off, and the more data points the better. It’s all about setting a baseline target so that there is some context to everything else.
And same with “Shared Deals”… like the guy who saw the Etron deals last summer and asked his dealer to match the monthly payment. Well his regional marketing allowance was different, he didn’t have loyalty, he didn’t have money for MSD, but he was shocked the quote was $200/m higher.
Exactly. Gotta distill out the relevant data to make it as useful across markets as possible.
This is putting a lot of ask on the novice user that comes on here for the first time.
I greatly appreciate the customer uploading a dealer quote in the exact format provided.
It takes very little time and math for the customer to post a quick photo. Thank you @Jaime_Tejada!
I am happy to do all the hard work from there! Keep ‘em comin’
And right behind me, you have my competitors, that are doing the exact same thing, on the same cars.
Yes! The barrier to entry to read this content is low so people will come right on in. This page is public to the world, which is a lot of people, so let’s keep things as simple as possible. You shouldn’t have to “learn the fundamentals” to shop and compare prices. How complicated is the math you do when you’re renting a car from Avis/Budget/Hertz/Enterprise? More or less than the LH calculator and “fundamentals” here?
I think someone recently said over here that Marketplace is “Lord of the Flies” level competitive. There should be enough data points on the same cars to shop around over there. But we, as sellers over there, are absolutely fueled by these types of dealer quotes.
We’ll happily normalize the data and let the market based pricing sort itself out in each region over in the marketplace, and post FAQs about people trying to replicate out of region deals. I don’t expect people that lease a car once every three years to have to study and do a ton of math here. Post your quotes, let us duke it out, to your benefit! I thrive on competitive quotes to bring lower prices to this forum, and I have a feeling others do too!
Tl~dr: IMO, I could have short-circuited the last 19 posts by just responding to the quote pic with
There’s about $80-90/month between where you’re at that favors that dealer, and an “aggressive” deal from a retail customer. This is specific to your estimated region and this month’s programs. Source: I’m a Hyundai broker in your region, and I’m offering this car for $85/month less. See what my competitors are up to in the marketplace as well to judge the deal
This would provide, again, in my opinion, the most useful information to the person asking the question, and a disclaimer that the price is time/location sensitive, in as few words as possible.
Broker pricing is great, sometimes. Sometimes it isn’t. I’ve had brokers offer prices that I couldn’t touch doing it myself and I’ve gotten vehicles for significantly less than anyone was willing to touch.
You’re a business, with a vested interest in making money, interfacing with a 3rd party business, with a vested interest in making money. That’s perfectly fine. Any customer doing their due diligence shouldn’t just take a broker offer at face value as being a “good deal”. Are they usually? Sure. Are they always? Absolutely not. I have seen broker/dealer listings on here that are horrible compared to what one can get with some effort and I’ve seen some fantastic ones.
For someone that doesn’t want to put in the effort, paying someone to do it for them is a fantastic option. I encourage those that want to go that route to do so. There is a lot of value that the brokers can offer. I also encourage them to perform some level of analysis of the deal itself to compare. We’re talking about what is generally a 5 figure financial commitment here. That shouldn’t be entered with reckless abandonment.
Most of my deals (by volume) are only a 4-figure financial commitment, 5-figures sounds steep for a 3-year lease!
I think we’re saying the same thing. That is why I’m encouraging more quote pics. It’s great when quote pics are accompanied with analysis and calculators. But, if you can’t do all the analysis yourself, still post! The prudent brokers will pick that stuff up and it will help the overall market conditions in favor of the customer.
Just wanted to come back and thank you for this info and the lease 101 articles. Helped me a lot and gets me more interested in learning more. Was able to match a better deal for my new wife’s lease on the Santa Fe by trying to work with the dealers before stepping inside one. Took A lot of stress of my hands!
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