What's the ideal drive-off these days?

Ask the Hackrs
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I’m a salesperson who has been on the site for a while. I’ve been around since the days an attractive deal had to be $0 drive-off and 10% of the MSRP.

Anyways those days are long gone and I was wondering what people consider ideal drive-off these days. I can always quote a car with the minimum drive-off (1st payment + fees) but I feel the monthly payment seems high.

I see brokers and other dealers posting around $2000-$3000 Drive-Off, which would’ve been considered a sin but now it’s kind of needed to bring that initial advertised payment down.

Anyways just curious so I can start posting some numbers again. Thanks in advance!

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All due respect I guess I’m confused

If a deal is 10% off pre rebates and buy rate, then it’s 10% off pre rebates and buy rate.

The discount and rate don’t have anything to do with how much at signing the buyer brings to the table.

As far as I can remember most deals on site are/have been advertised w the discount and rate but also include first and fees (inceptions) at signing.

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You’re right. I think the the standard now is $1500 toward cap cost reduction and then another $1500 for title, registration, first month, and acquisition fee. And then taxes on top of that which could be another $1000 if you’re getting $10k of taxable incentives like on the Volvo C40. I have another six months left on my lease. Hopefully, the market improves by then.

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Depending on the State, that was normal even pre-pandemic. Drive off usually have Acq + Reg + Dealer Fees. Just take FL for example for a BMW lease and you are in the $2500 - $2800 range without any cap cost reductions.

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10% of MSRP so for a $40k, $0 drive off $400 a month was considered alright
to add, a lot of people wanted to know the $0 drive-off number since they’d be getting the effective payment with no cap cost reduction.

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What’s all that based on? Who determined this “standard”?

For me, I usually structure my deals as $0 DAS with max MSDs.

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What holds anyone to structure the deal with $0 ( or first month) DAS with all fees and taxes included in monthly payments?
For some reason dealers do not like this option so I always bring from experience when i put down $5k on a lease, 6 months later the car was totalled and the down payment was gone.

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To be honest (and no disrespect to sales folk out there) most salespeople you work with don’t really know the ins and outs of leases and they don’t understand what can/can’t be done.

Ideal to me would be $0 DAS or Max MSD’s DAS. Acceptable would be first months, fees + taxes.

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100%. MSDs are the way to go. I think the “effective” monthly is more important. I remember it all starting with the E-tron deal about 2-3 years ago. It was something like $379/mo with $5000 DAS. Last month, to see EQS deals for $589/mo with $5000 DAS is not uncommon. I’ve just noticed more dealers and brokers including cap cost in their DAS to bring the perceived monthly down.

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For the consumer it mostly comes down to personal preference. More DAS for a bit of interest saved, or vice versa.

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:point_up_2:t2::point_up_2:t2:

I have gone as high as 1st payment out of pocket. The MF would need to be >= .002 to consider paying upfronts.

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