mae2050

Closing on the deal TOMORROW. NEED A QUICK REPLY.

Mileage: 5500

Original MSRP: $51500
Current Price: $44500

Lease period: 39 months
Yearly mileage: 10,000 miles
Down payment: $3000
Monthly lease payment: $455
Sales Tax: 3%

Residual value: Not provided yet. Will confirm with F&I (Edmunds forum says 64%)
Money Factor: Not provided yet. Will confirm with F&I (Edmunds forum says .00154)

Out of the door payment: $3000 (Assume nothing more other than the downpayment).

Assuming I pay the $3000 downpayment and $455 per month with just $455 to sign and drive, is this a good deal?


Options Below:
Burmester® Surround Sound System
Entrance Lamps in Doors
KEYLESS-GO® SIRIUS Satellite Radio
DRIVER ASSISTANCE PACKAGE
Active Blind Spot Assist
Active Lane Keeping Assist Badging on Dashboard
BAS PLUS® w/Cross Traffic Assist CMS Rear
DISTRONIC PLUS® with Steering Assist Driver Assistance Package
PRE-SAFE® Brake with Pedestrian RecognitionPRE-SAFE®
Head-Up Display
PARKTRONIC with Active Parking Assist
Rearview Camera Satellite Radio

mae2050

Here is a really good deal from Edmunds back in Dec 2015 => http://forums.edmunds.com/discussion...omment_5158719

Seems much better than my current deal, especially on a CPO. Is such a deal doable today on a new C300 4Matic?

SEBZX79

I get 407. This is what I would do if I were you.

Msrp 51500
Sales price 44500
MF. .00154
Use autopay to lower to .00144

Use the 3000 as MSD and if you can increase them to 10 total you will lower your MF to .00074. ( you will get your money back at end of lease) this will save you about 2000 over the term of the lease.

With 3k down as capcost reduction.



This is with MSDs that you will get back at end of lease.

SEBZX79

The bottom picture is with a true 0 down not even first payment just 10 MSDs to lower your interest rate. I calculated 1500 total in fees.

SEBZX79

I adjusted the residual value for the milage but might be maybe a few dollars off so keep that in mind.

Mike5215

If you completed the spreadsheet and the payment and due at signing matches their quotes for both you're good. Discount looks fair.

Mike5215

Okay, ran the numbers.

Monthly payment should be $427.64

Due At Signing is $1571.64 and includes the 1st months rent and tax (Not $3000 + $427.64)

Dealer is off somewhere.

He's over $1067 in monthly payment over the life of the lease, and $1883 in due at signing. Total overage is $2950.

Also, he can't lease you a used car, and a Certified Pre-Owned is a car that has been titled and registered at some point. If it was a loaner car and never titled, it would not be a CPO.

SEBZX79

It's not a CPO but a loaner vehicle that they can lease.

SEBZX79

Also you guys are not adjusting the residual value for the miles over 500.

Mike5215

Is the 39 month residual at 10,000 miles per year not 64%? I'm going by the values in the original post. If not, what residual are you using?

The miles at start should be irrelevant as far as the lease goes. It might drop the asking price but he's just buying the mileage in excess of the 5000. For purposes of the lease the starting mileage is zero.

SEBZX79

Does not work that way Mike, anything over 500 miles on the vehicle and the residual value of the vehicle needs to be adjusted by 10 to 20 cents per mile depending on the make and sometimes model. So you take the 64% minus the milage adjustment and that is your true residual value.

Mike5215

What would the incentive be to lease a car with 5000 miles somebody else put on it if all it does is lower the residual and increase your monthly payment?

So between a new car with delivery miles and a new car with 5000 miles, I can choose the one with higher mileage and pay not only for the miles I'll put on it, plus I'll pay for 5000 miles someone else put on it?

Tempting, but I'll take the car with fewer miles and the lower payment.

Maybe that fat discount is meant to sweeten the deal. I guess we need to see the residual the dealer offers.

He's three grand fat right now. If the residual drops that might account for some of that, but we really need the hard numbers.

SEBZX79

The idea is that the dealer who has a loaner fleet will depreciate the vehicle to more then compensate for the milage resulting in a lower monthly lease payment. I only lease loaner vehicles just because of that.

Mike5215

So the sweetener on the deal is the larger than normal discount off MSRP to offset the hit to depreciation? That would make sense.

mae2050

Thanks a lot guys.

I got the hard numbers and MF is marked up to 0.00189 and is now down to 00.00179 with autopay. It is a loaner.

Here are the numbers:
MSRP: 51,580
Discount: 7081
Dealer Fee: 103
Down payment: 0
Cap Cost: 44602
Residual: 63% (For 12K/yr)
MF: 00.00179
Term: 39
Sales Tax: 3%

Total Lease Cost: 18,599
Monthly: 476

Due at Signing: 1920 (Dealer Fee, Acq Fee, 1st Pmt)

Total Lease Cost (Down payment+Lease Cost+Due at Signing-1st payment): 20043

I got an offer to build the car I want(Delivery in August) with $200 less MSRP from another dealer with MF at 0.00144 for a total lease cost that's very close to the loaner car. This loaner needs to be further discounted to be a better deal than building a new car.

Thoughts?

SEBZX79

I would go for a 9k discount no markup on the MF and I would use Max MSDs with 0 down capcost. You get MSD back at lease ends and you can use the money again to lower your finance cost with the lower MF.

Mike5215

Plug those numbers into the spreadsheet I posted for you. I get a minor payment variance with your new numbers. $615 over the life of the loan.

Your discount is very strong on that car and the residual at 63% took a minimal hit for the mileage. I'd keep it in consideration of its equipped the way you'd do a build.

mae2050

Thanks. Let's see. Btw, each MSD seems to reduce the MF by only 0.0007 basis points. Not sure if it worth it tying up $4000 (400*10) for 9 months.

Also, here are the options that I would get on a built car. Any options I should stay away from because reliability/complexity/gimmickness:

- LED Headlamps (They don't offer Bi-Xenon as base but rather halogens)
- Premium Package 2 (Required for LED Headlamps)
- Keyless Go
- Burmester (Heard it was not worth it)
- Entrace Lamps (Don't need)
- Satelite Radio (Don't need)
- Driver Assistance
- Rear view Camera
- Panorama Sunroof (Does it cause more wind noise?)
- Heated Front Seats
- Driver Assistance with Steer Assist (The main reason I'm buying this car. Blew my mind. Love it but is it too much? I can get full driver assistance (w/o steer assist) on a Subaru Outback 3.6R for a $35K but the
comfort and luxury of the MB wins out)

How about the following additional options (I don't require) on the loaner car:
- Heads Up Display (Sweet feature)
- Parktronic Assist
- No panoramic roof (Less issues? I read it doesn't block the sun effectively? )

mae2050

Mike and Seb, thank you guys.

Good catch. My bad. The residual was reduced by $612 for the starting mileage of around 6000.

Excellent spreadsheet. Love it. I created a sheet so I can see up to 4 offers side-by-side.

SEBZX79

If you use all 10 MSDS you will save your self about 60 bucks a month in payment so about 2300 bucks over the term of the lease. That is a great return on a 4000 dollar investment.

Mike5215

I have every option. AirMatic, love the ride and flexibility to change wheel size and compensate with air. Also got the Sport package but didn't want the stiffer suspension.

DA, costly but cool. I use it a lot, especially in stop and go traffic where the car self-drives.

Park Assist, haven't used it but the 360 cam I use all the time. At the car wash I use it to center the car. In tight spaces I use it as a guide and to avoid running into a curb stop.

Multimedia, love the larger screen, navi GUI and everything else looks great.

Lighting package, love the headlights, door sills and tri color ambient light.

Premium (leather, heated and ventilated seats, stitched upper dash) and Burmester, recommended.

Hands free trunk, use it all the time.

Air Balance, nice touch and the ionizer keeps the cabin smelling clean and fresh.

Generally the more the merrier when it comes to options. I don't regret any of them.