BlankProc

Wife's looking to trade her MY2014 C250 in for a GLC300. One of our local dealers just replied with the following when I asked about lease rates for the GLC, and my eyeballs near popped out of my head:

$44K MSRP
$1750 drive off
39 months at 10k/year = $675/mo

Am I crazy or does this seem expensive? Does this just reflect current demand?

dieseldoc

MBUSA 36 month 449 with 3399 down and 795 acq fee. 10, 000 miles mrsp 41235

BlankProc

Now that's a little more like what I imagined, let's say you roll in the down money that would be around $550. Makes more sense.

BigDeeLA

Best way to know how good the deal is to also ask for the selling price and also the money factor used on it..

OhioRiderAaron

Too high. Get the latest residual value and money factor and you can figure out where the payment should be.

JEVA

I'm hoping lease rates go down in April...it would be the silver lining in my long wait dark cloud

xMB007x

Current #'s from http://forums.edmunds.com/discussion...e-questions/p4

MF .00166

RV (10k): 61%
RV (12k): 60%

Use the lease calculator from leaseguide.com to figure out what your paments should be

http://www.leaseguide.com/calc/

JEVA

For those who leased, what was your money factor? If you don't mind sharing (or you can PM me if you don't want to post it publicly).
I'm told (by a very good source) that the 0.00166% is the official MB rate but you don't typically get at the dealer where it is closer to 0.002%

Doesn't sound like a big difference but if you convert to a traditional interest rate (multiply by 2400) it is 3.98% vs 4.8% which is substantial. I have stellar credit so not worried about a higher rate based on credit.

BigDeeLA

.00156 using Autopay

Count Laszlo

Forget the payment - make sure you know the MF and redisual. Negotiate the price of the car first, then negotiate the MF and residual! Don't tell them "what payment you're comfortable with." EVER. Once you get these in a place that you're comfortable with, then start playing with down payment adjustment if you want to decrease the monthly. And don't be afraid to walk.

My approach:

Write down what you're willing to pay for the car. I usually start with 12% plus. They'll balk and say so no way. At that point, tell them thank you and walk. If they stop you, they're willing to work on the numbers - start the negotiating process. If they let you walk, go to another dealership. Wash, rinse and repeat. Usually, the initial dealership will contact you a few days later with some bait. Or the other dealership will want to compete and work with your numbers.

It's hard work, exhausting, but everyone wants to do business and as long as you're not unrealistic - you'll end up happy and so will the dealership.

BigDeeLA

Well he ordered his car so all things won't apply to him but I do agree with the same foundation for people when leasing from MB... Always work on the discount of the car first.. If that is agreed upon, THEN I tell them ahead of time due to fact I have good credit when the car arrives I'm expected the base money factor and nothing more... And with autopay you can bump is even lower. The residuals will be set by the bank so you can't change that... One thing is true never talk in payments.. The numbers will work themselves out if you do your homework and maybe you a good spreadsheet and especially if you are paying everything up front to drive off like dealer fee, Acq fee, 1st month etc etc...

This is best way to start a deal when it comes to leasing. Payments alone give them wingle room. They kind of don't like when people actually Know what they are talking about. They rather someone want in there and "hear" a payment they were looking for.. When they say I can get you this how new car for $650 a month.. And in reality maybe you could've got it for $575 or whatever..

They might smile and be nice and some are *******s with poor people skills but at the end of the day you have to look at it like a business move and not personal.

JEVA

I agree...that's why I was asking about the $ factor. I already know the residual (60% on 3yr/12k). I already know the price I'm paying the for the car with all discounts.
The reason I'm asking about the money factor specifically is that I was told (by an MB finance mgr no less) it's not uncommon for the dealer to ask 0.002 - up from the 0.00166 set by MB. Since the dealer is giving me an additional discount concession for a mishap on the MB side, I don't want them jacking up the MF to make up for it on their end. I won't know they are doing that if I don't know what people are paying going in.

BigDeeLA

It is not uncommon for a dealer to add .001 or .002 to the money factor for their finance department.. But after getting the discount I want I usually tell them, especially since I've got multiple cars from Mb, and good credit that also I'm expecting the base money factor and residual that is set by the bank at the time of delivery... But negotiate the discount price first.

They usually are gonna jack up the Acq fee to the max anyways by $300 and they have a dealer fee too... Originally when they spit the numbers to me when car came I said and what money factor gave you this number and they responded .00196 and I said.. Ohhhh nooo.. I clearly said when I ordered I expected the base money factor of .00166 and then they changed it and I said after that .. Oh yeah I will just do the auto pay too so it should be .00156 and that was that.. They told me the new price. Done deal.

BigDeeLA

But that's how easy it is for them to get someone who is focused on price alone because normal people that's all they care about when they walk into a dealer and lease a car.

JEVA

Yeah, there are capped fees and upfront fees that vary by state...I haven't figured out what those should be in Ohio (the person giving me the info is in FL...she's a friend of my wife's family).

BigDeeLA

I understand raising it up a point or two... And since this is the latest and greatest they might try to do that but I just would want the base money factor on this car.. It's not a coupe model.. It's a high volume model at the end of the day..

JEVA

I'm ok with them making some money...I don't have to get the absolute best deal (I'd rather have the absolute best car for me ) so I'm open to some leeway with the rate.

gbahri

My wife and I just got one. $46,000 MSRP $0 down $625 a month 12k a year for 36 months. We also got a friends and family discount since we are friends with a gu and they gave us 4800 off the msrp and my credit is Average.

JEVA

What was the money factor on the lease?

gbahri

i dont know off the top of my head. I will have to look at the contract.

I know the residual was 60

newcaringarage

I just got leased 49915 MSRP, 4500 off, RV of 58%, 15000miles/yr, at 0.00166. Payment of 546 for 36 months. 4500 down.
But they said service is not free, which I think is wrong? Is this true that service should be free in leased car?
Thanks in advance

dieseldoc

Service is not free. It needs to be purchased but it can be rolled into your lease.

JEVA

Since I go do the paperwork tomorrow, if you could look that up, it would be helpful. I know the MB rate is 0.00166% but have been told that some dealers are charging up to 0.002%

slw23

Money factor in May is still 0.00166. Definitely pay close attention and calculate the payments beforehand. Pay all the fees outside the lease and it's easy to use any of the calculators online to determine what your payments are based on msrp, cap cost, residual, and mf. That said, buyer beware, the Finance guy tried to charge me 0.00186 even though my SA agreed to the lower rate. The mf is not listed on the contract.