Last post on Dec 05, 2013 at 3:42 PM
You are in the Prices Paid - Buying & Leasing Experiences
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Audi A6, Audi A6 Avant, Car Leasing, Sedan, Wagon
#736 of 1484 Early Lease Turn-In?
Sep 22, 2010 (7:19 am)
Hi Car Man,
I received this email from my local dealership:
" We are in immediate need of quality pre-owned vehicles like your 2008 Audi A6. Therefore, Crown Audi would like 20 minutes of your time to make you an incredible offer on your vehicle.
YOUR VEHICLE MAY BE WORTH MORE THAN YOU THINK!
In most cases, we can offer you a high trade-in* allowance on your Audi, low interest rates with approved credit and great manufacturer incentives, saving you thousands on your next vehicle!"
My Question is 1. Is this a legitimate offer? 2. If so, are there penalties for terminating my lease early(9 months left) or do they have the authority to do so?
I have scoured all 3 of our local Tampa dealers and none of them have my specific vehicle model on their lot for sale. Thanks.
#737 of 1484 Re: Early Lease Turn-In? [kilo35]
Sep 22, 2010 (9:07 am)
This is an advertisement, its goal is to get you in the door. They don't know whether you lease or own, they don't know what condition your car is, all they want is to give you a new car bug, so you will come in, hopefully test-drive something new, hopefully get excited and trade it for a new car.
No one is going to pay off your lease unless you buy a new car, and there is sufficient profit in the deal to cover the lease balance.
There is a chance that your car is super-clean, and your lease pay-off is less than actual trade-in value, but would not put my money on it.
In most cases a dealer will hire a mailer company that will send these letters to thousand of owners from dealership's database.
#738 of 1484 Re: Early Lease Turn-In? [micosilver]
by kyfdx@Edmunds HOST
Sep 22, 2010 (10:47 am)
Great reply, micosilver..
I wouldn't change one word...
#739 of 1484 Re: Early Lease Turn-In? [micosilver]
Sep 22, 2010 (11:11 am)
Thanks for the reply. Yeah, pretty much what I figured, a marketing scheme. If it was a "square" offer and I could walk away from the lease or get into a lesser payment(no more kids to schlep around), I'd do it. The car is to big for me now and I wouldn't mind moving on to something more practical but I hear frequently about early lease termination fees and It's not necessary for me to incur that or rid myself of the car unless it's a "walk away" kind of thing. Do these offers typically work out that way or is it a comparable swap for a new vehicle (same model, same payment)?
#740 of 1484 Re: Early Lease Turn-In? [kilo35]
Sep 22, 2010 (3:23 pm)
It works same way regular trade works: dealer gets a payoff amount from the leasing bank, appraises the vehicle, and applies the difference to the new deal, positive or negative. There are no lease termination fees, but in most cases you will have negative equity.
You can do some homework on your own: call your leasing bank, and ask for the payoff, then get an estimate for your car through Edmunds.com or KBB, this should give you an idea of where you stand.
The only way to know for sure that you will "walk away" is to wait until the end of the lease.
#741 of 1484 Re: Early Lease Turn-In? [micosilver]
Sep 23, 2010 (4:58 am)
Thanks, I appreciate you taking the time and giving me some insight.
#742 of 1484 money factor confusion
Sep 23, 2010 (8:27 pm)
I'm told that for 3 yr 12000 mile lease, on A6, MF is .00065 for 3.2, and .00036 for 3.0 Quattro. Correct? If so, then wouldn't the reduced money factor practically cancel out the added cost for the car, and end up with the same monthly payment?
For example, I'm told, with no cap reduction, and folding auto reg and acquistion fee into the lease, adding it to the monthly, that it's $585 for a 3.2 49,355 MSRP and $618 for a 3.0 quattro $52.665 MSRP.. I don't know capitalized cost in each instance but, regardless, shouldn't the payments be about the same for both cars?
Or is the residual the problem?
If so, I'd consider the quattro, and just pay extra for the reduced mileage.
But I think they should throw in AudiCare, because isn't the money factor reduced when they do AudiCare.
In sum, what is the MF for both cars?
#743 of 1484 Re: money factor confusion [asteinberg]
Sep 24, 2010 (12:16 pm)
The money factor you have is correct, residual is the same, but I cannot help you beyond that, there is not enough information in your post, and I am not sure what you are asking.
I personally would get the Quattro regardless of a higher payment, because it is just a joy to drive, especially with the supercharged 3.0.
AudiCare raises the residual by one point, but it doesn't affect the MF.
#744 of 1484 Re: money factor confusion [micosilver]
Sep 24, 2010 (12:37 pm)
So, if it raises the residual, it should lower the monthly payment.
So, I should ask for AudiCare for free, since the net cost to them is not that much.
#745 of 1484 Here is the deal I took
Sep 25, 2010 (7:24 pm)
2011 PP+ w/cold weather matts, BMW conquest. $53,125 MSRP, got it for $48,165 including Audicare. 36 month,12K ~ $640/mo. No money down except MV and doc fees.