Negotiating a 2018 Audi Q5 Prestige / Also looking at P+ (We are in the short rows)

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This forum is a plethora of info since I started reading posts. I am in the short rows of negotiating a lease at Audi Raleigh in NC on a 2018 Q5 Prestige. Its incredible on the deals that some are able to workout on here so I told my wife we should look at all the options.

I am still new to leases as I have always financed vehicles in the past. I always fared pretty well in my purchases to maintain equity which we can use towards this lease. I hope I did most of the leg work making this somewhat easy to decipher. I wanted to bounce the numbers of some others to see what the consensuses is. Thank you in advance for any advice!

Vehicle is a Ibis White Q5 Prestige (Warm weather, Adaptive Dampening Suspension, Driver Assistance Package.)kbb pricing and options list ( I made sure all the specs are exactly like the sticker)

Leasehackr Calculator Numbers

MSRP: $56,330
Sales: $52,330 ($4000 worth of incentives which includes the customer loyalty credit($750) for owning a 2014 Q7 TDI P+. Audi also said they will pick up the first months payment with the new Summer of Audi Sales event, not to exceed $800.)
Doc Fee: $598
DMV Fee: $104
Sales Tax North Carolina: 3% - $232.60
Money Factor : .00218 = 5.232%
Trade Equity: $6400
Term: 36 months / 10,000
Residual : 54% - $30,419
Down Payment: $1,000 (We originally thought to put $1,000 down…but after reading more here it seems like we shouldn’t.)
Capitalized Cost: $30,419 (This seems easy to calculate but I feel like its incorrect)
Payment: $630 (First months payment covered by Audi Financial Services)
Due at signing:$1,799 (1000 down plus the required up front money.)
Total Payments: $21,911

This is where I got a little in the weeds bc my math wouldn’t equal what we spoke about its close but not exact. 56,000 -4,000 =52,330 - Residual(30,491) = 21,911 / 36 = 608.63 x 3% NC Tax = 18.26 + 608.63 = $626.89

The trade in is a 2014 Audi Q7 TDI P+ with 58000 miles. Trade in amont $27000 - Payoff $20,600.

If you can let me know the good the bad and the ugly. :+1:

It’s not pretty but here is the direct copy of the link below:

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I am trying to fix the broken link to the Leasehackr Calculator…im not sure why its giving the bad request error. Sorry!

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I tried a few different ways to post the calc but it doesn’t seem to want to work. Sorry about that. I snapped a screen shot and will just post that instead.

Leasehackr%20Calculator
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A few things:

  • They aren’t giving you any dealer discount at all. You need to push for a better sale price before incentives are applied.
  • Did you verify whether the money factor was the buy rate on Edmunds?
  • Are they cutting you a check for your trade equity? If so you should consider applying that money to MSD’s in order to lower the money factor, that will lower your payment and you get that money back at the end of the lease.
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Thank you for taking the time to reply! I really do appreciate the advice.

1.Yes we really didn’t get anywhere with lowering the cost of the vehicle before incentives were applied. I will bring that up and see if we can make any progress.
2.I have not and I will do that right now.
3. So I honestly just learned about MSD’s last night and it makes much more sense to apply the equity that way. I am fairly confident with what I read that Audi Financial Services allow’s MSD’s.

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Prestige trims have the worst residual value, I would recommend going with the Prem +

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Thanks for the heads up! Ok we will definitely need to pull the numbers again on a P+ so we can see the residual numbers in comparison. The only reason we leaned towards the Prestige is for the driver assistance package and parking system plus. She does a fare bit of highway driving and parking in tight spots. To be honest I have not had a chance to test Audi’s semi autonomous driving features.

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In reading through your details, I think you are confused. There is not $4k worth of incentive cash on the Q5. It is the $750 loyalty as you noted and the first month payment promotion for summer of Audi. The rest of that $3,250 is likely the dealer discount. Ideally you want 10% - 12% off in total, currently you are less than that.

Your inputs on the calculator are a bit confused (I’m not an expert on it but will try to help). There is definitely an acquisition fee you are not accounting for. You are also showing the sales price inclusive of incentives and then showing it again as taxed in the lower line. Your sales price should instead only reflect dealer discount and the taxed incentives should be the $750 or anything else in factory cash.

Your best bet will be to copy the format of the ‘Share deals/tips’ threads and break down all aspects of the deal for us.

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ok you are correct now that I see it explained that way. It is $750 for they loyalty and then other dealer discounts for a grand total of 4000 like you said. I didnt think it was correct but wasn’t seeing my mistake. I will re enter those numbers and see how it looks now.

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I just leased a q5 premium plus. Much better Lease deals for them vs the prestige. Get a loaded premium plus with the packages. Also I traded a car in as well, but it gets tricky with a trade in. My car msrp was 51900. Trade in equity was 1500 but brought them up to 4K. 12k/36mo 0 DAS for 570. I tried to hard to get them lower but they wouldn’t budge any more. It’s an awesome car btw

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I also realize I didn’t factor in the 6400 in MSD’s. So if my is right with 6500 it would be a MSD factor of 10 correct? Rounding up to the nearest 50 would be 650 x 10 = 6500.

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Awesome! I agree that they are very nice vehicles as well. Were you able to get a warm weather package in you P+? I am having a hard time getting them to budge as well with some stuff bc they seem to be selling them faster then they can get them. We lost two before they even made it to port. Dealers are claiming them for customers waiting for specific options.

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Don’t sweat the calculator too much, it’s more of a helpful tool to work out different deal variables. Just get the full breakdown including the MF, confirm the MSD options with your equity from the trade (pocket the rest or pay your drive off fees with it).

For reference, Edmunds is saying -

.00158 MF and 56%/54% residual for P+/Prestige (on 36/10)

They are also noting there is $1,500 in lease cash. I’m not sure how that is reconciled with the $750 loyalty incentive. @IvanAudi @Jonathan can you chime in?

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Gotcha! Will do. I will punch in the numbers when I feel like I have a more accurate information to enter.

In reference to what Edmunds says: the MF of .00158 and the Residual.
How do I achieve the lower MF. We were given the MF of .00218 or 5.2% at the dealer? Is this something we can use as leverage to get it lower MF from Audi Financial?

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Call them out on it. Insist on the “buy rate” (i.e., the rate that the finance company gets). If they aren’t going to give it to you, tell them you are walking, and going to a different dealership.

This should get the job done, particularly if you have top-tier credit.

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That makes complete sense now. Thank you very much. I will absolutely use that MF when I go back. It doesn’t make any sense to pay an inflated interest rate over what they get. That is a pretty significant difference as well. 3.7% vs 5.2%. We wont have any issues with credit so we will push for that rate and see what they say…then walk away if needed.

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So this won’t help you with your deal/negotiations but…

I was a Audi guy for 9 years (or three lease terms) until I discovered how much more car I could get for the money at BMW and Mercedes. The transition has been harder on my wife than it has on me. Might be worth a few test drives.

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Even with msd and buy rate this would be high 600’s i’d get a Porsche macan at that point…

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there is a total of 2500 in rebates, the firsts months payment up to 800 is applied as a rebate. so it would be added to the 2500 .
bonus cash 1500
loyalty 1000
accq 750 (not able to combine with loyalty)

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Ok I stand corrected then, thanks Jonathan. What’s the story with the $3,250, is that a mix of loyalty (or conquest) and dealer cash?

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