XC90 T8 Lease deal check

Ask the Hackrs
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1

First time leaser and have been trying to absorb as much from this forum as possible! I had all my numbers worked out on the calculator and sent the offer to the dealer and they responded today with some whack numbers.

Here was my offer:
" We would like to offer $85500 for the Volvo with an agreed MF of 0.00356 and RV of 60% (36/10k lease).
Our trade-in is clean and is a garage kept 2nd vehicle and would like to get $18000 that will be applied toward the lease.
The $7500 lease bonus is a must have as well."

I was coming up with a sub-$600 36/10 lease.
They came back with a $763 36/10 lease.

volvo1
volvo11079Ă—568 20.6 KB

I am not following their numbers at all…

Any advice is appreciated!

2

VA sales tax is UGLY, that’s why your payment is off

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3

I’m advertising these with no broker fee well deeper than this is. I can work your trade in, as well. You just have to pick up in nj.

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4

Here’s the Lease calc link:

What is the difference here?

5

You put 5602 cash due and his is 763 due.

image

6

So if I capitalize all fees ($0 drive off) I get $955 with his numbers.

7

Ah. taxes in VA are paid upfront apparently…

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8

Just means you need to tweak em some more to get there properly.
Honestly it took me over an hour to get mine to match.

9

Looks like they are assuming I am paying the taxes upfront ant capitalizing the dealer fees. I’m still going to push for my initial $85500 offer (especially since it is a demo (2000 miles)). Waiting on edmunds to verify the MF/RV

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10

Shouldnt the “Lease-end value” (line 7) be 60% of the MSRP (Line 4)? its off by $600 or so.

11

It should be, but sometimes the installed accessories aren’t counted toward RV calculations. My Ariya was like that.

Edit : Ah it’s a demo, that has some wacky RV adjustments.

12

you really are allergic to saving money, arent you?

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13

Why on earth would you do that?

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14

Okay, here we go…

MSRP = 90715.00
Gross Cap = 86574.00 + 2092.00 + 3335.27 = 92001.27
CCR = 18000.00 + 8000.00 = 26000.00
Adj. Cap = 92001.27 - 26000.00 = 66001.27
RV = 60% x 90715.00 - 562.50 = 53866.50 (mileage adjustment)
MF = .00356

Payment = .00356 x (66001.27 + 53866.50) + (66001.27 + 53866.50)/36 = 763.81

Sales Tax = 3335.27
This means that there is a total of 3335.27/.07 = 47646.71 worth of taxable items. I thought that VA levies sales tax on the selling price plus fees. The SP = 86574.00. I tried to compute the tax every which way to midnight and was unable to get 3335.27.The closest I’ve gotten is…

7% x (38134.77 + 8000 + 2092) = 3375.87 where 38134.77 reflects the depreciation.

So, I have no idea what they’re doing in that regard. I would get a breakdown of the 2092 fees as well as a breakdown of the taxes.

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15

What is the preferred way to deal with a trade-in when leasing? Should I sell out right, pay the higher monthly payment and draw from the money received from the sale to pay for the lease?

16

Thanks for your breakdown. It clears things up a bit!

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17

LOL. Demo with 2k should be a 10% off MSRP from the few deals I see on XC90’s from a few years ago tho…… $82k and we’ll see what they say. No sweat off my back. There’s other options out there.

18

You realize @aronchi is a broker with no broker fee and offering 9% for a new unit without the hassle right?

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19

I do know he is a broker.
I do not know his fee structure.
I have no idea what he can do on a Volvo.
I do know he has a few good one-liners.
I also know he has an odd way of attracting customers.

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20

They are trying to help you. Your deal isn’t good and @aronchi has offered to help you do better. As you have acknowledged, you aren’t experienced with leasing. I would suggest working with @aronchi and ending up with a solid deal without having to hassle with the dealer.

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