Brand new, not loaner or demo, 2023 VW Tiguan 2.0T SE AWD (4Motion) , 39 mo term, 12000 mi year allowed
Black int and etx. w/black wheels
Base price: $32080
Options added: deep black pearl ext., titan black leatherette int., power tilting & sliding Panoramic Sunroof, Monster Mats (set of 4), VW CarGo blocks and heavy duty trunk liner, privacy cover for cargo area. MSRP with options: $34911
Credit issued for lack of liftgate chip: $300 MSRP after credit: $34611
Selling price after discount: $30383.87
6% MD title tax: $796.74
Title/reg fee charged: $333
Dealer bus license tax (add on): $51.65
Total delivered price: $32460.26
Allowance on traded in 21 Jetta SE vehicle: $18000
Jetta payoff: $15750
Equity applied towards down-payment: $2250
Additional cash on delivery: $300
Total ba lance due on delivery: $29910.26 TOTAL MONTHLY PAYMENT: $355 x 39 TOTAL CASH OUT OF POCKET AT SIGNING: $655
P.S. Deal signed in August, before Labor Day Holiday
There are only 38 payments after first one (which is included in $655 first payment I have made, the only payment which I actually rendered). Donât be misled by the title, my total cost to lease $34911 MSRP car is $14145. So called âtrade equityâ is 21 Jetta I leased/rented from VW with $0/down $304/mo x 36 mo term, which had accumulated 33000 miles on it with more than a year left to lease termination (I was sure to go significantly over mileage allowance) , with back breaks and rotors in need of immediate change ($800 cost at VW, $560 at local shop). I am happy to get rid of that Jetta that started to fall apart and was thrilled when they said they will actually pay $2250 over payoff quote and apply it to the new lease balance. I was willing to give that clunker away for nothing, I would actually pay $500 to anyone to just get rid of it, so I wouldnât have to change rotors/breaks and pay a large fine for going 10000+ miles over the limit when my lease matured next year.
That so called âequityâ on a car I didnât own (VW bank owned, titled and even registered by VW) was like a âfree moneyâ, unearned âequityâ, a gift, you can call it anyway you want, it was like an additional incentive for me to immediately dump the 21 Jetta and get a newer, upgraded car with $10000 higher MSRP and better features, for mere $50/mo. more. And, most surprisingly, my insurance premium was slightly reduced after getting rid of the Jetta. Was such a great relief to get rid of it.
P.S. And that âequityâ these so called LH âexpertsâ speak of, if it truly existed, didnât evaporate into thin air. It was sitting with Jetta and was transferred to Tiguan. By their logic, if you lease any car that built equity, you are an idiot unless you peddle it to dealers and cash out, so you can put it into CD account. Use your own judgment and do what is best for you. You can take advantage of current market if you want to get rid of your pre-COVID leases and upgrade to better, newer cars. If I simply swapped my older 21 Jetta for a new one, I would probably be paying zero out of my pocket and less per month now than in May 2021, with zero miles on odometer
DAS of $2905 is a little too high for my liking. It is a $430/month effective payment for a $34.6k car. It kind of fails the 1% rule but still not bad.
Thank you, but so called equity factored into DAS by LH âexpertsâ didnât come out of my pocket. it was sitting there with Jetta, just as it is sitting there with Tiguan now. It didnât go anywhere and I didnât pay $2250 to sign the lease.
if I sell my Tiguan now, like my other current leased cars, I may also get more cash out of it. Do you currently lease a car that has equity built? Run to dealers so you can sell and cash out, put that cash into CD. Why you keep leasing a car with equity?
Like I said, if your current leased cars have any equity built into them, like all of my current leases have, then run and cash out on it, buy a 3 year CD. Why you keep leasing a car that has equity on it?
You do realize free money is still equity. You could had the dealer cut you a check instead you decided to use it as a downpayment on the new lease. Would you be able to get the same payment without, probably not?
Please dont respond!!! Just know that equity was used as downpayment.
No, you donât respond. Just do what you preach: if you have any leased car that has equity built into it (which most leases do after COVID, even on zero down leases) then go peddle it to dealers and get 3 a year CD for yourself, but donât force me to accept that this is what I should do. Because I wonât. That âequityâ was there with Jetta, as it is now with Tiguan. I didnât pay for it and donât want to cash on it. You do? Go do it!
