I’m new to leasing cars and new to Leasehackr, and I’m playing around with the calculator, and just trying to wrap my head around the best way to get a deal. I’ve been to dealers and took some test drives of the cars I’m looking at and got some pricing information from one of them on a Ford Mustang Mach-e GT.
Here are the loan terms they gave me
Market Value Selling Price: 62125
Incentives: 9500
Trade-in: 2500
Total: 50125
Fees: 2110
Taxes: 3817
Down: 5000
Months: 36
Mileage: 10500
Total lease $794/mo
it seems higher than a lot of the deals I see in the forum, can you all help me understand why?
Also, I’m not sure how to determine some of the values for the calculator for the Mach-e above, I entered:
MSRP: 62125
Selling Price: 50125
Residual Value: 50% (Is this a safe bet? How can I get an accurate number, would a dealer share this information?)
MF: .0025 (Not listed in the terms they gave me, I guess I should ask them, is it negotiable?)
Acquisition Fee: 0 (Assumed this was included in the fees section of the quote they gave me)
Dealer Fees: 2110
Government fees: 3817 (Listed as taxes on the term sheet)
Tax Rate: 0 (I’m in MD, so I think I’ll be paying that up front)
The calculator comes back with a monthly of $505 & Effective Monthly of $889, neither line up with the quote they gave me, so I’m a bit confused, insight appreciated.
I just sent you a leasing basics sheet I put together, which will help you. The first thing is that you should never ask a dealership for pricing. You need to figure out the deal you want and then email that to them. The sheet I sent you will explain how to do it.
Selling price is the car price before incentives/rebates. This looks like you’re paying full MSRP.
Residual is set by Ford based on the term and miles. I looked up for Baltimore real quick since you said MD and it’s 48% for 36/10 (Base MF is .00052) or 56% for 24/10 (Base MF is .00033)
So that MF you were given is marked up a lot.
In the calculator, incentives/rebates go in taxes or untaxed incentives depending on your state. The $2500 goes to trade equity.
As always recommended here, you need to put a deal together and reach out to dealers/sales managers to propose a deal. (Including MSRP discount “Selling Price”) Don’t ask for offers
You care about MSRP and the actual sales price in your deal. “Market Value Selling Price” usually means the dealer is making up a fake number to say they’re discounting against so they can manipulate the consumer into believing the deal is different than it actually is.
For example, a vehicle might have a $50k msrp and a $49k sales price. That would be a $1000 discount.
A dealer might then list a $54k market value selling price, sell for $49k, and advertise a $5000 discount.
Need to know exactly how much they are offering for your trade since you get a tax break in MD. You also need to research selling prices to understand what is a reasonable discount on a Mach-E GT. It should be considerable. The shorted lease has better MF, but in MD you pay taxes upfront. A longer lease term means you won’t have to pay taxes again for a longer period.
My quick calculations show you should be under $500 a month using your numbers and a 10% discount before rebates. Not saying you can get 10%, but gives you an idea of where you should be targeting. Also, don’t put $5K down and $2.5K in trade equity into this lease. The MF is low, so use the bank’s money instead of your own.
For some reason Ford dealers seem to love to decorate their lots with these Mach Es. Seems like most people that post numbers here on Mach E’s do not get much dealer discount. Even for '23 models that are rotting on the lot.
