Last post on May 15, 2013 at 1:00 PM
You are in the Prices Paid - Buying & Leasing Experiences
What is this discussion about?
Mercedes-Benz C-Class, Car Leasing, Hatchback, Sedan, Wagon
#1145 of 1650 Re: 2012 Mercedes C 300 4 dr luxury - lease [oddsr]
Nov 21, 2011 (12:09 pm)
Seems like you are getting a good deal, but something in your numbers seem to be off. I would recommend that you get the detailed breakdown of the $2,500 as you mentioned.
I ran your numbers ($43,195 MSRP, $39,133.50 Sale Price, .00156, 73%, 24mos) and get a monthly payment of ~$427 (before tax).
If you put $1,500 as a down payment towards the lease, you will lower your payment to ~$362 (before tax).
If you have extra cash, would suggest that you look into putting the money into multiple security deposits, instead of a down payment. You can lower your money factor by as much as .00049 (max reduction) - could be roughly $30 in savings per month. You can find more info on how to do this from other posts.
In terms of lease inception fees ($1600 to $1900 rough total):
- $795 bank acquisition fee (some dealers mark it up to $995).
- $289 dealer doc fees
- $123 registration, plates, etc
- $5 title prep
- $49 - tax on bank fee
- $x for first month payment
#1146 of 1650 Re: 2012 C250 Coupe Lease [fourizonly007]
Nov 21, 2011 (4:39 pm)
Wow, that's great number. Which CA dealer you are dealing? Someone just total my 03 C32AMG and I need a car soon.
#1147 of 1650 MB lease to get out of negative
Nov 21, 2011 (7:56 pm)
I have a 2010 Ram that I owe 32k on and is worth about 20k. I'm looking at getting a C300 under the current lease specials. I am eligible for a 2K USAA discount and my only real concern is trying to stay under my current $620/mo payment with minimal down. Am I nuts or is this possible? I'd really appreciate any help anyone could offer. I'm military and I'd really like to be able to walk away from this negative equity towards the end of my enlistment which coinsides nicely with a 3 year lease. Thanks!
#1148 of 1650 Re: 2012 Mercedes C 300 4 dr luxury - lease [soupaman]
Nov 21, 2011 (11:30 pm)
Thanks for the reply soupaman.
Called the dealer and got a (somewhat better) breakdown and more numbers.
The sales price is actually $38,133 (incl. conquest). Invoice is $40,933
The $2500 at signing breaks down:
$995 - acquisition fee (incl. gap insurance)
$125 - doc. fee
$89.55 - Sales tax (am guessing that is on the $995???)
$94.90 - registration, tags (I think)
$380 - 1st month
$815 - down - cap cost reduct. I chose to lower payment
If I don't put out the $815 my payment will be $417 a month instead of $380 and I guess a small reduction involved with the tax on it. Also using auto pay will reduce it a bit.
The dealer seemed a little unsure about msd's and finally said that because of the low rate I am getting I can't do msd's. I assume he meant the money factor maybe combined with a fairly high residual but why would there be a restriction on it?
Do these numbers still make it sound like a decent deal? Thanks again.
#1149 of 1650 Re: 2012 Mercedes C 300 4 dr luxury - lease [soupaman]
Nov 22, 2011 (6:49 am)
I am new to leasing and am trying to figure out a monthly payment,
I ran the numbers you provided($39,133.5 Sale price, .00156, 73% 24 mos) Your saying the payment should be $427 (Before tax),
but I am getting $440 before the money factor, and taxes.
What formula are you using to calculate the monthly payment?
#1150 of 1650 Re: MB lease to get out of negative [shackalackal]
Nov 22, 2011 (8:56 am)
......also, as an add-on to my lease question a couople posts ago, I am also considering the C250 if the price or lease variables are better on that and I'm eligible for the conquest discount if MB lets you combine USAA and Conquest cash.
If you see these post, Soupaman, I would really appreciate your take on my situation.
#1151 of 1650 Re: 2012 Mercedes C 300 4 dr luxury - lease [oddsr]
Nov 22, 2011 (12:58 pm)
Looks like a decent deal, but could be better. Here are my thoughts.
1) The numbers you are being quoted are aligned. Meaning, the money factor plus residual plus cap cost plus term all result in the two monthly figures ($380 and $417 respectively) so their math is good.
2) Lease acquisition fee of $995 probably includes $200 profit for the dealer, but then again your Doc fee is really low (I was charged $289 for doc fees). You may want to call other dealers to see where they are coming in at? When I called, I was quoted $795 from two dealers and the dealer I went to do the deal with, they charged me $995. I told them what other dealers quoted and they adjusted the charge to match others. I am not sure how the doc fees vary by state - maybe they do and maybe they don't. Regardless, your upfront fees seem okay - no red flags.
3) Think about how you want to handle maintenance. The 2yr/20,000 mile package is priced at $619 on mbusa.com. The dealer may mark this up as well. Regardless, people have posted that when they signed up for auto-pay the dealer included maintenance for "free". Basically, auto-pay would reduce your payments by $7 to $10/month. If you were to capitalize the $619 into your sale price of the car and the MSRP of the car, your extra monthly cost for adding maintenance would be ~$9. Therefore, your increase in payments for adding maintenance would be offset by the savings from the auto-pay option.
4) Lastly, I think you can push harder on the Sale price of $38,133. By knocking off another $500 off, you can save another $25/month. Feel free to look up my post on my deal (MSRP was $42,650 and sale price was $37,000) - and then i added maintenance for $795 to both of those numbers. My discount was $5,650 on a 2012 C300 4Matic Sport - deal done last week. Someone else posted that they have seen $6,000 discounts off of MSRP. That's very aggressive - I know that was done for 2011's without even having to negotiate.
Overall, you are getting a decent deal, but if you push a bit harder, you may get an excellent deal. Also, you may want to consider stretching out the lease term - I ended up doing a 36month because it was like $4 more per month. This way, my upfront costs (lease initiaiton,etc) are postponed for one more year (spread out over 36 months instead of 30 or 24 months). Personal choice of course.
#1152 of 1650 Re: 2012 Mercedes C 300 4 dr luxury - lease [jdls1]
Nov 22, 2011 (1:22 pm)
I have built a simple model in Excel. A disclaimer is that my monthly figures are close, but it will never be exact to a dealer - probably because their rounding may be different than mine.
A good way to check the math is to plug in the variables in the given example (see link) into your calculator and see if you are getting the same monthly payments as they show. http://www.leaseguide.com/calc.htm
Regarding my calculations... The sale price seemed to changed to $38,133, but let's just use $39,133 to be consistent. MSRP is $43,195. To review, I am using 24 months as the lease term, sale price of or $39,133, $0 cap cost reduction, money factor of .00156 (this is about 3.74%), a residual of 73% (or $31,532.35).
Given these variables, the depreciation fee is $7,600 and the finance fee is $2,645. Add these two together, $10,246, and divide by 24 = $426.93.
Also, double check your lease term, money factor, residuals (are you calculating residual off of MSRP or on Sale Price), etc... For example, if I use 72% as the residual in my model, I get a pre-tax monthly payment of $444.
#1153 of 1650 Re: MB lease to get out of negative [shackalackal]
Nov 22, 2011 (1:36 pm)
I am not following your situation exactly. Do you plan to sell your truck to the dealer or will you sell it on your own? Or, are you leasing it and want the dealer to absorb the remaining payments?
In any case, if your goal is to get into a Mercedes C-class under $620/month, you should be okay. Check out the deals others are getting. If you are concerned about paying money upfront to initiate the lease, it's about $1800 due up front typically. If you build this into the lease, just add about $80/month for a 24 month lease or about $60/month for a 36 month lease. These figures would be in addition to your lease payment and taxes.
The other thing you want to pay attention to is the money factor - this will be based on your credit rating. The .00156 is for tier 1 credit. That could be a little catch in determining where your monthly payment ends up at.
If you are leasing your truck and you want to get out of it, check out leasetrader.com as well. I do not work for them nor have I used them. Just heard about it recently and am trying to be helpful.
#1154 of 1650 Re: MB lease to get out of negative [soupaman]
Nov 22, 2011 (1:50 pm)
Thanks for the info, Soupman. I'm actually heading to the dealer later today. Here is the deal they offer on buying my truck and financing the negative:
2012 C250 Sport w/ Command single disc nav, sirius and spoiler
Sale price: 35000
After USAA Discount(2k): 33000
48 month lease payment is $640/mo with 2k down/up front
They didn't give me the lease yet but they have the residual at 63%.
I told the dealer I would like to stay at 36 months or less but he said that would make my payment $755
Is this a good deal or do I need to go back to work? Sorry for the lack of deal info but the email I got from the dealer left a lot to be desired. I'm heading there in an hour or so to lock horns.
Thank you for your help so far!