2 parts to this deal which seems pretty good even if the trade didn’t work out.
Had a dealer loaner 2020 Mercedes GLC300 4motion with 3k miles on it ($48K MRSP) that I got in April 2020 when things looked bad for car dealers with too much supply for $450 a month nothing down except registration. Just sold it with 20 months left to go for $40,500 to AUto-nation and the lease payoff to auto nation was $37,200. $3.2K positive equity!
This is on the Ford Balloon loan. Basically, the Fed Rebate and my profit on the GLC300 covers the out-of-pocket. Swapped GLC300 ($450/month) for Brand new Mustang ($380/month) saving $70/month, lower cost of fuel.
Risk is I really need 10k a year (though haven’t in the last few years). If I buy it at the end it doesn’t matter, otherwise i would pay additional $1500 for 10k extra miles to turn it in.
Seems good, I think. Not sure if the DealHackr score should be adjusted for Fed rebate - I will definitely get $7500 back (lower sell price, lower upfront), in which case it is much higher 9.0 vs 6.7.
Thoughts? Other NJ dealers were adding premiums to the Mustang EV. Everything here is available to all except the trade-in gain.
Got this at All-American Fors Hackensack, but all 4 of the All-American Fords have this offered on their website under monthly specials. The salesguy had no knowledge of it when i walked in.
2021 Ford Mustang Mach-E Select AWD
less NJ Rebate: $2000
less Ford Rebate on Balloon Loans: $2500
Selling Price: 43,035
Monthly Payment: $ 380
Drive-Off Amount: $ 10,500
Annual Mileage: 7500
Residual = Balloon: $19,034
Incentives: NJ Rebate: $2000, Ford Rebate $2500, No NJ Sales Tax Fed $7500 Rebate will definitely be received
Leasehackr Score: 6.7
Leasehackr Calculator Link: CALCULATOR | LEASEHACKR
There wasn’t anything out there that was $1,275 cheaper to qualify for the full $5,000 NJ rebate? Destination/freight charges don’t count towards the 45k cap for the full rebate. I believe the Mach E freight charge is $1,100.
Only RWD qualify and from what every dealer told me, within a day or two of NJ announcing the rebate on July 6th everyone sold out of RWD. I wanted AWD anyway which takes the minimum to 46k plus change and only the 2k rebate. The NY dealers have RWD but have to buy from NJ to get rebate.
i looked at the convenience package, another $2300, but i have always forgot to use heated seats, the hand-free lift at the back didnt seem worth it and the black paint on roof and wheels are only real difference. The paint was extra $600 on the base.
also no NJ dealers with this deal had Premium which i might have gone for about 3k more.
I was having a little trouble figuring out the calculator link, but I assume you essentially put the positive equity from the Mercedes and the $7,500 tax credit that you’ll get next April as a down payment.
$380/month is a great payment on the Mach-E as I usually see people paying much higher.
I don’t see a downside since Owner’s Choice is technically financing and not a lease. You’ll probably have positive equity at the end of this as well since I think the Mach-E will hold value relatively well.
Good point, that is what their websites show. They did seem to have at least 20 or so on the lot at the dealer I went to in Hackensack at least where the salesguy took me there were 3 or four rows of 6, and two in the showroom.
Well, selling price less drive off less residual leaves $13051 that’s being amortized over 48 months, so of the $380/mo, $281 is going to “depreciation” and the balance is covering interest and fees. We’d need to know the interest rate on the financing to determine how much is going to interest vs how much is going to fees(or the fee breakdown obviously).