Question on rate/money factor
Thread Starter
Member
Joined: Dec 2006
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From: Southern, CA.
2007 CL550 Black/Savanna Cashmere, fully loaded; 2006 Navigator; 2005 Corvette (Sold)
Question on rate/money factor
Received a quote on lease for Launch Edition CL550. Selling Price approx. $115K; $15K down, 27 mo lease, 12K per yr mileage. Was quoted residual 65%Rate/money factor 5.0 per mo. Lease payments $2250. Question: Is this a fair lease price?
Last edited by MJH; Mar 23, 2007 at 09:41 AM.
MBWorld Fanatic!
Joined: Oct 2005
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From: CA
2010 CL65
Many dealers (esp in LA region) are known to "package" leases in a confusing manner to maximize profits....esp easy profits since most buyers don't understand financial arithmetic of leases....nor relative total costs of certain lease strucs vs buying.....
Presuming new car and excellent credit rating, makes little sense to put any money down on lease, esp in CA...also, pre-buy as few miles as poss; extra miles only matter if keep car duration of lease and extra mis penalty post-lease is often cheaper than pre-purchased excess mis....
If MB Credit, MF should be closer to .0043ish/69%ish resid (from vague recall) for 27 mos/7500mi/yr...
Incl CA sales tx, $113K MSRP CL550 should lease for <$2400ish/mo; $0 down, 27 mos, 7500mi/yr via MB Credit.....note: $0 down....
BTW, should get disct on LE CL550s....doubt many buyers (esp those <70yo
) 4 mos post-launch will want a CL550 w/o Sport Package.....
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Sounds like your rate (money factor) is around 12% which is horrible to start.
Thread Starter
Member
Joined: Dec 2006
Posts: 88
Likes: 0
From: Southern, CA.
2007 CL550 Black/Savanna Cashmere, fully loaded; 2006 Navigator; 2005 Corvette (Sold)
Thank you all for your replies. I decided to contact a dealer recommended to me by a fellow MBWorld member. Was extremely pleased when this dealer rep wrote a lease using a money factor of .0043. WSH you were right on target! This made the monthly payments approx. $260 LESS than the LOWEST, quoted monthly payments of any of the other dealers I contacted.
Suffice it to say, the residual was improved tremendously, the down was reduced considerably and the mileage per mo. was best for my driving habits.
Reading through many posts here helped a great deal not only in the money dept. but also with respect to which dealers to avoid. Thanks especially to ajf1; Speed Thrills and WSH. I will keep you all posted since I have ordered my (gulp) CL 550-fully loaded (including the Sport Pkg WSH
in Black/Savannah Beige. Thanks Again MJH
Suffice it to say, the residual was improved tremendously, the down was reduced considerably and the mileage per mo. was best for my driving habits. Reading through many posts here helped a great deal not only in the money dept. but also with respect to which dealers to avoid. Thanks especially to ajf1; Speed Thrills and WSH. I will keep you all posted since I have ordered my (gulp) CL 550-fully loaded (including the Sport Pkg WSH
in Black/Savannah Beige. Thanks Again MJH
Last edited by MJH; Mar 25, 2007 at 01:17 AM.
MBWorld Fanatic!
Joined: Oct 2005
Posts: 1,271
Likes: 1
From: CA
2010 CL65
MJH, pleased to hear that you found a better tscn....
Have a CL600 now (had a CL550 before)...and getting CL63 in July....would argue CL is best-engineered, best-balanced car in world today, bar none....price no object.....
Hope you enjoy your CL as much as I do mine..... 
Have a CL600 now (had a CL550 before)...and getting CL63 in July....would argue CL is best-engineered, best-balanced car in world today, bar none....price no object.....
Hope you enjoy your CL as much as I do mine.....
