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You are in the Prices Paid - Buying & Leasing Experiences
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Honda Civic, Car Leasing, Coupe, Sedan
#1011 of 1599 Confused about lease quote
Jun 25, 2010 (5:25 pm)
I am shopping for my first car, having just graduated from college. I saw that Honda has a special financing program for recent college grads, so I stopped at a dealership to talk to them about financing/leasing options. I wanted to get a basic idea of what it would cost me to lease a Civic, so I got a quote for a Civic LX. I didn't think it was the time to worry about price negotiations, so the price is sticker.
Here is the specific information:
Selling Price: $19,020
Down Payment: $2,000
Term: 36 months
Residual Value: 61%, $11,660
Monthly Payment Quote: $246
When I got back home, I looked up how monthly payments on leases are calculated. Here is what I did:
Depreciation Cost = [(19,025 - 2000) - 11,660] / 36 = $149.03
Financing Cost = (17,025 + 11,660) * .00200 = $57.37
Monthly Payment = 149.03 + 57.37 = $206.40
I live in Ohio, where, from my research, I understand sales tax is paid up front in full. So, I don't think that is included in the monthly payment.
So, my calculation and the quote are not even close. Did I make a mistake, not have enough information, not understand what's going on here...? I am going to graduate school in math, so this is driving me crazy.
Thanks in advance for any help.
#1012 of 1599 Re: Confused about lease quote [analyticbuyer]
Jun 26, 2010 (10:59 am)
Use this leasing calculator:
it's easy to use.
Looking at your deal you should be negotiating down to around $15,800 for a decent deal on a Civic LX auto. Just leased one in upstate NY at this price. With putting tax and $2000 down you should at a much lower monthly payment. Use the calculator to figure it all out. Don't forget about all the fees (DMV, dealer fee, acquision fee - $595, etc)
#1013 of 1599 Honda Civic LX lease in TX
Jun 29, 2010 (11:27 am)
I'm in Richardson, TX. Credit score 690, first car purchase. Got the following deal for a Honda Civic LX:
A money factor .00245
$2,000 down (bc of first purchase) + $1,000 down for TTL (it's Texas )
There is an acquisition fee of $595 included
MSRP: 19155, although I think they may have jacked up the price a bit bc of add-ons.
Residual value 61%
I negotiated a monthly payment of $185.
Is this a good deal? I'm thinking it's OK since it's my first purchase.
#1014 of 1599 Re: Honda Civic LX lease in TX [czphd]
Jun 29, 2010 (7:47 pm)
The featured lease deal is at 0.00127 (3.06%) but requires top tier credit, so paying more with a lower score / no car credit history is to be expected.
The residual is correct and can't be changed by the dealer or your score.
Even if you qualified for the featured deal as written you would need to pay TX taxes and put money down and put down nearly $2k, so your payment is not that bad compared to the featured deal.
That said, there is a $1,000 incentive to dealers that can be combined with the lease deal, so selling prices of $1k under invoice are possible. Plug in your numbers into a lease calc and see what you are paying for the car, I would bet you can whittle the price down lower. With no car credit you may not can help the money factor, but you always try for a better price.
#1015 of 1599 Honda Civic DX Sedan 2010 in NY
Jun 30, 2010 (11:33 am)
I'm trying to help my brother out who lives in NY. He recently traded in his 2001 Honda civic to lease a 2010 Honda Civic DX Sedan. His payments are only $150 per month for 36 months at 12,000 mile per year. Is there any way he can purchase the car prior to the end of his lease? His problem is that he should have negotiated the lease for 15,000 miles per year instead of the 12k per year and he's worried about the penalty at the end of the lease. He just completed this lease around 2 weeks ago. Does he have any chance to re-negotiate this transaction or is too late? He has a very good credit rating.
Thanks for taking the time to answer these questions.
#1016 of 1599 Re: Confused about lease quote [fuelcellguy]
Jun 30, 2010 (2:32 pm)
Hi, I'm curious what dealership you were working with... I am trying to lease a civic lx, but in my neck of the woods, they won't budge from a $16,900 cap cost ... which puts my monthly lease payments at $259 (15K miles, 24 month lease, $0 down). I will gladly go upstate to get a better deal, but need to get the car this weekend.
(sorry if this message posts twice ... not sure if it went through previously)
#1017 of 1599 Re: Confused about lease quote [cathsiobhan]
Jul 01, 2010 (5:05 am)
I worked with Dick Ide in Rochester. They were advertising $199/month for 36 months with taxes and fees included. I did however get good prices from Keenan Honda in Doylestown, PA. The salesman at Keenan sent me prices for all trim levels. The LX automatic was $15,756.
#1018 of 1599 My Civic Lease deal
Jul 01, 2010 (3:01 pm)
I picked up a Civic LX sedan w/auto last night for my son.
Sell price: $15,999
Doc fee: $398
Acquisition fee: $595
Net Cap: $16,992
Term: 36 months / 12k miles per year
MF: 0.000127 (3.05%)
Payment: $183.85 plus tax
Due at signing: first payment w/tax + tags + title
One dealer was doing $199 + tax + tags + title with a sign and drive.
Another dealer was doing $179 + tax + tags + title with $240 due at signing (the best deal), but this dealer was several hours drive away.
I e-mailed the sales manager of a local dealership and asked for a price. I mentioned the $1k incentive and the stepped dealer money that ended at the end of month (yesterday) and asked if he wanted or needed to sell one more. I guess he did, based the price I got. Counting the doc fee as part of the price (I always do) put it at about $1,300 under invoice net, I think the step was at least $300 and may have been $600 or more. So a break even or make money deal even at that price, and 100% of holdback as well.
My son is very happy as am I
#1019 of 1599 Is this a realistic possibility?
Jul 02, 2010 (6:27 pm)
OK so I basically need to know if it's realistic to think I can lease a Corolla (manual transmission) for under $200 a month for 36mos with no $$ down and 36K miles for lease term in NJ. Can anyone give advice?
#1020 of 1599 Re: Is this a realistic possibility? [jleve1974]
Jul 02, 2010 (8:35 pm)
This is the Honda Civic lease forum, you might want to post this in the Corolla lease forum.
If you want a Civic, yes it is possible to lease a new Civic for under $200 per month with only the first payment down up front. Or at least it was last month and it of course depends on your tax rate and state.