About to sign a lease on a 2024 Volvo XC90 Recharge Plus (current lease on a 2021 XC60 is ending in a month). Wanted to check if this is a good deal, as this is only our second time leasing.
Lease terms: 36mos / 12,000 miles
MSRP: $76,670
MF: .00369
Residual: 62% / $47,535
Selling Price: $62,781
Money down: $6000 (though from what I’ve read here, we should make this $0?)
Add’l upfront fees: $900
Monthly fee: $769.88
The dealer did not specifically break out the various discounts & rebates, is that normal? The $7500 EV rebate and loyalty bonus are “included” in the lower selling price.
We’re debating what to do & are in a bit of a time crunch since we only have a few weeks left on our lease.
Not sure what the monthly he is quoting you, but at the surface it looks terrible. There are $11,750 in rebates on this vehicle so your dealer discount is only ~3%. Andas has been mentioned, dont put any money down unless its a token amount to reduce your MSDs to the nearest $50. As @thevolvoguy said, reach out to a broker in your area. Also, compare deals in the Marketplace as there are alot for Volvos these days.
I think your biggest problem is the MF this month - 9.12% equivalent APR - ouch! From my run at the calculator with a CT zip code, you seem to be getting the $7500, plus loyalty of $1000, meaning he is discounting it by about 7%, although my numbers are still less than yours - you can probably get a little more discount that that. I would agree with the experts here that say the $6000 down is a bad idea, as you lose all of that if you wreck the car.
I might wait and see what the May specials are, as the MF may go down. You can also save a little by doing a 24 month lease, as it increases your residual.
I was using ratefindr here on LH, entered in a couple of east coast/southeast zip codes. CT may be different, but I believe Volvo incentives are dealer location, so if mid Atlantic has better incentives than NE, then traveling can make sense.
Unless you are married to the Recharge (which I would understand, since I currently lease one), there are currently better MF’s on the non-recharge.
Here’s my calculator for a regular XC90, with NO down payment (other than your usual DAS). It’s still high, coming in at $790/mo, but you may be able to negotiate more than the 8% I put in the calculator. How many dealerships have you reached out to? I negotiated with 8 when I leased my volvo.
