Signed 2019 Acura MDX SH-AWD base model $47,295, Monthly Payment: $434, DAS: $1511

Year, Make, Model, and Trim: 2019 Acura MDX SH-AWD base model
MSRP: $47,295
Selling Price: $35,600
Monthly Payment: $434
Drive-Off Amount: $1511 (the calculator shows $2097 but the I dunno how to change it)
Months:36
Annual Mileage: 10k
MF: .00215
Residual: 54%
Incentives: N/A
Region: Northeast
Leasehackr Score: 9 years
Link: leasehackr.com/calculator?make=Acura&miles=10000&msd=0&msrp=47000&sales_price=35600&months=36&mf=.00215&dp=0&dealer_fee=85&acq_fee=595&taxed_inc=0&untaxed_inc=0&rebate=0&resP=54&reg_fee=400&sales_tax=7.25&demo_mileage=0&memo=&totalLeaseTax_radio=true

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why did you tag nj?

Sorry I changed region to Northeast

Getting a price of $437 w/ $437 DAS on the same car, 36/12k through a broker in NJ.

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Much of the gains on the high discount is being offset by the terrible residual and MF

OP- why wouldnt you just buy the car, given that set of numbers. (large selling price discount, high MF, low residual)

Guessing you could do better on a purchase loan, then sell it after 3 years if you are tired of it.

Even in a state where a only lease payments are taxed AND one pays full tax on purchase even when trading in (vs the states where you only pay tax on your purchase net of trade), seems like buying was the way to go here.

Others, am I missing something?

I think the selling price is after incentives, which are higher on lease vs purchase.

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Could you please share the details

I signed a similar lease back in August as this OP (base AWD-SH model). The full incentives were only applicable to a lease through AFS and not purchase agreements. Although the Sep 2019 factory to dealer incentive sum turned out to be a bit more, the lower RV negated the differences.

To address further Qs regarding Lease vs Purchase, of course a 0.0215 MF is quite bad in this current climate of relatively cheap-to-borrow consumer driven economy, but as the base rates have been cut since by 1/4% and will likely continue to get adjusted a tad more in 2020, the reduction in the borrowing rates have now given me an incentive to just do a borrow-to-purchase through my own credit union in a few months. Bear in mind that some dealerships would like a lessor to make 3 lease payments so that they receive their full dues from the factory.

ETA: the lease option does afford lower payments which may be crucial to the renter vs the borrower at a much higher monthly payment albeit at a lower cost of borrowing. Plus some folks prefer to turn in their leases after weighing in pros & cons of a turn-in vs sale-by-lessor.

Lower payments + i don’t have to go through the headache of selling

Here in calif, on a purchase you pay 100% of the tax on a purchase of a new car, even if you are trading in a car. Some states let you pay tax on only the delta, ie if you buy a 30K car and trade in a 20K car, you only pay tax on 10K.

Also here in calif, you only pay tax on your lease payments vs in other states you have to pay tax on the entire value of the car, even if you are leasing.

So calif is a state that favors leasing in the way it taxes leases vs purchases. Combine that with high sales tax rates (my city is 9.75%) and it makes leasing even more attractive.

My point was, give the high MF in the lease of the OP, even in a state that favors leasing, a purchase might make more sense.

yes, that makes sense that the incentives are higher on lease vs purchase in this case as there is profit for dealer/finance arm on the high MF. If OP had bought using his own financing or outright ,then that profit goes away.

The heavy discount shown on selling price is illusory, as the dealer just shifted to MF to make money.

Not to the dealer, but the manufacturer which owns AFS, some of which may be passed down to the dealer as the backend.

I was told by the dealer in the northeast that the lease cash is $7825 and the purchase cash is $5500. Both lease and purchase offer $1000 conquest cash in addition. So there is a $2325 difference between leasing and purchasing the vehicle. I am sure they will make up the difference by the high MF they charge on the lease. I think you can lower the MF by paying the lease in one shot.

We only lease vehicles. Turn in every 3 years get a new one. Lower payment, no repair fees bc always under warranty, new car always.

Could you please share the dealer’s information? Thank you.