lol. Then buy it.
Also, while the WRX, despite an ancient POS based on a decade old Impreza, does hold its value well, you won’t be profiting off an overpriced WRX lease, these don’t lease well at all.
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A car is one of the most depreciating assets out there. Probably a bad idea to buy a brand new car to try and turn a profit.
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It seems like you can’t afford this car. Go buy a Civic. Don’t lease, just buy. I know you want a sti, just seems out of your range at the time.
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Easily the worst deal I’ve seen on this car. Finance this car if you’re concerned about it’s depreciation. I don’t think leasing will get you to the ends you’re imagining.
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Great info, thanks
I can afford it i just dont want to give away my money to the dealer
You’re giving your money to The captive, not the dealer. The residual values are more conservative than real world values. It’s the same reason Honda’s are generally better to finance and buy than lease, unless there’s major incentives to move for a lease.
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WRX got all new next gen engine and transmission, etc in 2015, how the hell does that make it ancient? I don’t think you know what you’re talking about.
Yes I do. The WRX is based on the previous generation 2011 Impreza.
I work for a Subaru dealership in colorado. You can easily lease a base STi for maximum $450 a month inclusive of taxes and every other fee with $2000 down. As long as you have tier 1 or 2 credit score i.e above 700 with good credit history.
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SGP won’t bring anything magical for WRX, look at ascent, crosstrek and base Impreza, they’re all on SGP and it’s evolutionary not revolutionary, little stiffer and might lose 70lbs, nothing huge is changing
Profiting is not the right word, but I know what he means since I’ve been on Subi boards for a while.
What he means is you lease the WRX for the $300-400 per month. Whatever the “going rate” is. Lets say the risdual in the lease is 60% after 3 years. They then go to buy/lease something else, and the FMV of the car exceeds the residual generally by a few $K
You get nailed on the MF, but get the benefit of the “real” resale value.
So go somewhere else
Limited don’t lease as well as bases. generally leasing isn’t great for teh WRX or STi due to captive financing with high MFs and lower residuals. You can monetize the equity you build in the lease, but are stuck with the high MF. I bought my STi for under Invoice and price wise it worked out well. However, I did have an accident, it had a black mark on the carfax and made reselling/trading in very difficult at the high prices these cars tend to go for.
You can definitively do better, but maybe check out a base STi
Also to those who say get something else instead… there is some validity to that… However, it is a totally different car from most cars in its price bracket, raw and analog… an interesting experience and very few substitutes that do what it does, how it does it.
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Appreciate the dealership’s point of view.
It sounds like a young individual is trying to figure out what they’re going to get that will get them most smiles per MPG.
Best of luck to OP. This vehicle is better financed for the myriad of reasons identified in this thread.
With that being said, please understand that a 42k dollar car leased in high 600’s is nowhere near considered a good deal.
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Well this escalated quickly into awkward-ville. Welcome to LH! We love having dealers on here and appreciate their inputs.
Do you monitor this forum, or did OP tell you that we were going to somehow magically lease hack an STi?
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@Jeremy1 ,
I’m going to break this down for you so you don’t make a dumb decision.
1st though, the WRX / STI are great cars, I love em, (i’m on my 2nd, a 2019 Premium) so I have no problems with what car you are looking at.
Now, the way a lease is SUPPOSED to work is that you are paying for the depreciation of the car while you use it from the dealer… That means that you agree to drive it less than 12k miles a year, over 3 years, and in turn you pay monthly payments for the ‘expected’ depreciation of the car over 3 years. If its listed at 43,000 and you’re paying ~$500 (which would be very high and yet your dealer wants ~$650 LMAO), then that’s $18,000 you’re not getting back, and they are ‘saying’ that the car is going to be worth $25,000 after just 3 years and 36k miles (or less). Now, yes there has to be profit room in there for the dealer or it would never make sense to lease if it was truly ALL depreciation and borrowed assets, so lets say the car is actually worth $27,500 after 3 years so that the dealer gets a nice $2,500 cushion when they get the car back… this is fine, this is business… EXCEPT ITS NOT even close to what a 3 year old STI will resell for.
So, if you’re paying WAY MORE than the depreciation of the car then why are you even looking at a lease? If you really want this car, put a small amount of cash down, and BUY the car over a 4-5 year period, if you still want out at 3 years you can turn around and sell it and you won’t have been swindled on your monthly payments while doing so.
The WRX / STI have NEVER been a good lease option, you can get a BMW which depreciates much faster for a lesser loan (think about that in context with what i’ve described above).
If your end game is to buy it out to sell it anyway, then you should 100% start with buying and not even consider leasing… buying makes sure that ALL of your money (except the ~2% interest) goes directly towards you OWNING the car, leasing does nothing of the sort, it 100% goes to the dealer and then you get the option of buying a ‘used’ car when your lease is up.
Be smart, don’t lease this, either buy it or walk away.
Also @anon78517210 revealed, what i would consider to be a bit too much personal information about your visit in a not so professional manner, i’d consider working with another dealership at the least, you have NO commitments to this individual, but any dealer that would air your laundry like that just to save face on some public forum would lose my business right away.
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As a “professional” you shouldn’t be talking here whatever we discussed on our meet, if you have any option or any thought on any deal possible you have my phone number you should call me not say it here where no one cares about it.
I can afford any car on your dealer, its just that im not going to sign whatever price you put on the table if im a first time leaser, obviously its not going to be the monthly payment of the accord surely i dont expect it to be like that because its impossible.
3 stis in haverhill and 1 in braintree just to point a few but yours is the last one in new england.
Advice from me to you, don’t be saving your face on public forums by openly talking your clients info there, you could lose a deal or you could lose a job for that.
Thanks for the great advice.
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This is exactly what i meant, yes profit is not the right word but you got what i tried to say
Never heard it said this way. Love it!
Not to tell you your business, but Subaru sets the residual with the captive (still Chase IIRC). The captive carries that asset in their portfolio, and expects to get it back at term and refurb/resell at a profit. Their job isn’t to make the depreciation + rental cheap (that’s what Lease Hackers do).
A big reason that STIs and WRXs and GTIs etc don’t lease well is because of the loss ratio: how many come back beat up (I’ve seen a lot of STIs/WRXs whose clutches were murdered, I can’t imagine how many your service dept has seen), have been in accidents and have to be sold at auction (can’t CPO), etc. Their actuaries have all the data when they price in their risk, we don’t. In a properly structured lease, ALL the risk is on the lender. They don’t “lease well” because the manufacturer and the captive built all that risk into the residual and MF.
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