I would call and say, “Hey I’m interested in doing the deal however I’m getting $15 less on the payment. Send me the deal sheet so I can figure out the discrepancy and then I’ll come in”. If they say “No just come in” you can respond with, “Sorry that’s not how I work, if you change your mind let me know”. Then hang up.
What @Mtmmo said
maybe i don’t understand how the LH calculator works…my understanding is the incentive ($750 in my case) is applied AFTER the selling price is established…am i missing something?
You need the breakdown with all fees, capitalized cost and to validate the national MF. Your $15-20 a month discrepancy is hidden in the missing dealer puzzle pieces
Seems you are 20-30 a month too high given you have the $750 loyalty
I didn’t pull the trigger as we went with a different car but without loyalty was at $279+tax and only first payment in Florida last month on a 1.5 Sport
Check out some of the brokers in marketplace that look to be in the 260+tax range with loyalty on a 1.5T Sport
i don’t have the 750 loyalty incentive…i have only the 750 incentive available to everyone…in my first LH calculator link posted four days ago i factored in the 750 incentive — then i got confirmation from the dealership that the incentive already is baked into the selling price…so, i had to remove the 750 from the calculator, resulting in the following deal, which is pretty much in line with the dealer’s offer, which is in the 285/mo pretax neighborhood…the deal shows an 8.1 LH score…i’m new at interpreting the LH scores but i’m of the impression that anything 8 or higher is a fair deal…i’ve asked the business manager to mail me a copy of the ahfc worksheet…haven’t heard back from him yet.
finally!…dealer sent me the honda finance worksheet for my accord sport potential deal…my initial thoughts/questions:
- can i insist they take the splash guards off the deal? options like this don’t add to residual value, not to mention they increase the price of the deal.
- sales/use tax $663 … it appears to be 2.8% of the “agreed upon value” of the car — but what is this tax? it appears on both sides of the worksheet.
- gross cap cost… should all five of these figures be included to get the gross cap cost of $25,242?
4.rent charge calculation…is this figured accurately?
- current odometer reading shows as 20 on the worksheet…i doubt that’s accurate…shouldn’t i insist it be accurate?
- it’s not shown on the worksheet but the monthly pretax works out to $277.54, based on where i live.
so, does anything stand out on the worksheet as suspect, incomplete, sneaky, whatever? also, if the deal looks ethical, does it also look like a reasonable deal?
….any and all questions and comments greatly appreciated!
I’m pretty new here, but I saw your other post (if you wanted to try to get more responses, perhaps better to post on this thread so that it’ll bump the entire thread up to the top of the queue… I had to look at your profile to see what you were talking about originally).
From what I’ve seen, the general consensus about Honda Accords is that it might make more sense to purchase/finance than to lease b/c Honda doesn’t really offer much in the way of subsidizing leases (in the way that BMW and Mercedes do).
Your discount looks pretty good, and the MF seems very low (are you doing a one-pay, though?). $295 seems a reasonable deal to me.
You can certainly insist that they take the splash guards off; they can, of course, decline. I can’t answer the other 4 questions you’ve posed, but have asked the dealer to explain (esp about question #5)?
what is a one pay?
when you pay the whole lease in one payment
my potential deal is 36 payments with the first one due at signing…i didn’t know one pay was an option…what would be the advantage, if any, of a one pay?
I’m not very knowledgeable on one pay, but my understanding is certain companies give you higher savings when paying upfront.
Mostly on the interest component and if applicable on the sales tax as well like in Texas (Not all captives will do this though)
Which state is this deal? Hard to evaluate the sales/use tax without that info
Yes, tell them to ditch the splash guards or just throw them in the deal free
The rest seems to check out
MF is right at .00056 (1.34%)
Residual checks out at 57%
Your capitalized cost is the key and includes the agreed selling price, license fees (276), doc fees (179) and sales/use tax (663) to get to 25242.48
So the lower your cap cost, the lower your payment
You have two components
- Monthly depreciation charge = I assume this is your gross cap cost of $25,242.48 (lower when the splash guards go away and assuming the sales/use tax checks out) - the $15,447 residual = $9795.48/36 = $272.10
- Monthly finance/rent charge = $22.79
Monthly payment = $272.10+22.79 = $294.89 ??
Where are you getting $277.54?
This isn’t a standardized lease contract, it’s an HFS sheet, so it’s really difficult for us to decipher. When you sign a contract use his guide:
You really don’t need to put so much thought into this IMO. Is selling price good? Yup. Not spectacular but it’s good. There are plenty of Accord Sport threads to compare to, or driveaccord.net. Any dealer add ons? Yeah the splash guards, dump them unless you live on a dirt road (I do, they were definitely needed on the Accord with the super wide tires). That’s about it my friend. The math is what the math is and they can’t cheat or lie about that.
i use a formula to determine monthly pretax amount:
—divide tax-included amount by 1(tax percent)…i.e.,
illinois+my county equals 6.25%
294.89/1.0625=277.54 pretax price…i.e., 277.54+.0625=294.89
$277 pretax and no loyalty on a new Sport 1.5T at 36/12 Seems you are doing pretty well. I had ~279+ tax on the same car last month and at most there was maybe another $10 a month to be negotiated.
Get them to drop the mud flaps or as compensation add in a couple of service vouchers and you should be golden.
For comparison a Chicago broker was $263 + tax last month. Plus license and $180 doc fees. Not counting a $350 broker fee. So you have that one beat by $10-15 a month since no broker fee
If you can get $294 all-in with tax you are doing well
And you can always buy it at the end for less than 16K
you might be amused (i was) by what the salesman said when i requested they take the mudflaps off the deal…and i quote, “99.9% of people want them on their vehicle and Honda actually wants us to add them as soon as the vehicle arrives at the dealership.”
Ugh. Tell him you’re the 0.1% and don’t want them.
LOL. These guys are unreal.
I suppose some of them actually believe the stuff they spew all day long.
my favorite on my lease last month… “Look, we don’t opeerate that way. It is just a battle at this point to see who wants to lose the most money on this deal”