Lease Deal Input 2009 ML350
12-08-2008, 05:38 PM
#1
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BMW 530 - Looking for a CLS55
Lease Deal Input 2009 ML350
I know you guys are tired of these..... so please bare with me..
I was just offered a lease deal on a 2009 ML350....
Just need some input....thanks guys.
2009 ML350
P2 Package
Lighting Package
MSRP: 56395
Selling Price: 48999
MF: .00073
Term: 33 months
12k/year
3K-Drive Off
$639 Including Tax
Sound decent? Thanks
I was just offered a lease deal on a 2009 ML350....
Just need some input....thanks guys.
2009 ML350
P2 Package
Lighting Package
MSRP: 56395
Selling Price: 48999
MF: .00073
Term: 33 months
12k/year
3K-Drive Off
$639 Including Tax
Sound decent? Thanks
12-09-2008, 09:47 AM
#2
Senior Member
What is the residual? If tax is included, what is your local tax rate? What does "3K drive off" mean? Are there any other fees such as 'documentation'? What is the per-mile cost after 33,000? You can't calculate the effective interest rate without these things. I would think a good deal is anything under 5-percent.
12-12-2008, 12:17 PM
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What is the residual? If tax is included, what is your local tax rate? What does "3K drive off" mean? Are there any other fees such as 'documentation'? What is the per-mile cost after 33,000? You can't calculate the effective interest rate without these things. I would think a good deal is anything under 5-percent.
Residual: 54%
Doc + License Fees = $1950
3K Drive-Off includes 1st Month.
Sales Tax: 8.25%
12-12-2008, 05:47 PM
#5
Senior Member
If I understand all this correctly, here are the numbers:
Your payments are $590 + 8.25% tax = $590 + $49 = $639 a month.
The "selling price" is $48,999. Your first payment (the "drive-off", yes?) is $3,000, which includes payment #1. Payments are actually made at the end of each period, not the beginning, so you are, in effect, giving the dealer a down-payment of $3,000 and then financing the rest ($45,999) over 32 months, not 33. "Includes payment #1" is probably just a sales come-on.
The residual -- the amount they guarantee to buy it back for 33 months after you take delivery -- is 54% of $48,999 = $26,459.
Unfortunately you can't calculate the exact interest rate you are paying because there are two variables here: the interest rate and the real selling price. With the numbers you have given, you would actually be paying a negative rate! Payment on a $45,999 financed amount with a future value of $26,459 at zero percent interest would be $610 a month, which is more than you are paying. So obviously the actual selling price is less than $48,999.
If we assume that the dealer is getting some kind of incentive payment from Mercedes and that this is taken off the price before lease payments are calculated, we can get some ideas. For example, if the real selling price is $3,000 less than the 'open' price, you would be financing $42,999 rather than $45,999. At 10% annual interest rate, payments would be $590. If the real price is $2,000 less than the open price, the interest rate for payments of $590 a month is 5.5%. If the real price is $1,000 less than the open price, the interest rate is 1.5%.
You are already paying $7,396 less than MSRP. So either you are actually paying $10,396 less than MSRP and getting a lousy interest rate (10%), or you are paying $9,393 less than MSRP and getting an OK interest rate (5.5%), or you are paying $8,396 less than MSRP and getting a good interest rate (1.5%).
Whichever is the case, I'd say yes, you appear to have a good deal!
Long-winded explanation. Sorry.
Your payments are $590 + 8.25% tax = $590 + $49 = $639 a month.
The "selling price" is $48,999. Your first payment (the "drive-off", yes?) is $3,000, which includes payment #1. Payments are actually made at the end of each period, not the beginning, so you are, in effect, giving the dealer a down-payment of $3,000 and then financing the rest ($45,999) over 32 months, not 33. "Includes payment #1" is probably just a sales come-on.
The residual -- the amount they guarantee to buy it back for 33 months after you take delivery -- is 54% of $48,999 = $26,459.
Unfortunately you can't calculate the exact interest rate you are paying because there are two variables here: the interest rate and the real selling price. With the numbers you have given, you would actually be paying a negative rate! Payment on a $45,999 financed amount with a future value of $26,459 at zero percent interest would be $610 a month, which is more than you are paying. So obviously the actual selling price is less than $48,999.
If we assume that the dealer is getting some kind of incentive payment from Mercedes and that this is taken off the price before lease payments are calculated, we can get some ideas. For example, if the real selling price is $3,000 less than the 'open' price, you would be financing $42,999 rather than $45,999. At 10% annual interest rate, payments would be $590. If the real price is $2,000 less than the open price, the interest rate for payments of $590 a month is 5.5%. If the real price is $1,000 less than the open price, the interest rate is 1.5%.
You are already paying $7,396 less than MSRP. So either you are actually paying $10,396 less than MSRP and getting a lousy interest rate (10%), or you are paying $9,393 less than MSRP and getting an OK interest rate (5.5%), or you are paying $8,396 less than MSRP and getting a good interest rate (1.5%).
Whichever is the case, I'd say yes, you appear to have a good deal!
Long-winded explanation. Sorry.
