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Ford Fusion, Sedan
#175 of 489 Need Some advice on this price 09' SEL AWD
May 22, 2009 (1:17 pm)
Last one in my state of Ohio for the 09's AWD. I like that I can finance now for 0% 72 months
2009 Fusion AWD w/
Moon and Tune
Heated Leather Seats
Total MSRP with Destination is $28,905
Dealer offer to sell me the car OTD for $29,664 which includes my local 6.75% tax. he said it was being sold for $500 above invoice. Seems there is about $900 in Ford Credit fees, and misc. Please advise on what should be a "sales" price for this.
#176 of 489 Re: Need Some advice on this price 09' SEL AWD [mez4]
May 22, 2009 (1:54 pm)
Edmunds shows the Invoice Price as $26,396. They offer 0% financing for up to 72 months OR a $3500 cash rebate. Too bad it's an either/or deal, but it looks like the 0% APR is a better deal than taking the $3500 cash with a normal interest rate.
Something you may want to consider- the worst part of 6-year (72-month) financing is that you may end up with negative equity in the car. Depreciation often out-paces monthly payments on a 72-month loan. I financed my last car for 72 months, but made the payment as if it was a 60 month loan- with the addiitional paid toward principal. It's on track to be paid off in 58-months (Nov 2010). If you plan to keep the car until it's paid off, it's not a big deal.
#177 of 489 Re: Need Some advice on this price 09' SEL AWD [igozoomzoom]
May 22, 2009 (2:27 pm)
I did consider the $3,500 and with the 0% you are in essence using free money. It is nice to know that the entire payment will be going to principal . I plan on making an extra $1,000 paymetn each of the first 3 years to make sure If i need to trade in I can do so and not roll negative. I looked at the amortization and in 3 years without extra payments Ill owe about $14,500. Hopefully this car will hold about 50% of its value in 3 years. I only drive about 11K a year.
#178 of 489 Re: Need Some advice on this price 09' SEL AWD [mez4]
May 22, 2009 (2:43 pm)
I would aim for a lower price than the $29,664. That seems too high considering all the 2010's are starting to fill lots now. I think you should shoot for a target of around $26,000 with tax, title, and fees, $27,000 at most, along with the 0%. I bought a 2010 at the end of last month and ended up paying $200 less than invoice with a $500 rebate applied. (This is minus ttf, just the outright price of the car) Looking at my trade, I must have looked at something wrong, otherwise I could've gotten another $500-1000 taken off I think. But to get back to the main point, I think you could get down to $26-27k range.
#179 of 489 Re: Need Some advice on this price 09' SEL AWD [gth743b]
May 22, 2009 (3:01 pm)
If you aren't going to keep the car the entire time, it is highly unlikely that the interest rate will pay off more than the $3500. I would seriously consider the $3500. Look at the interest paid for just 3 years on the car at your desired payment and I would guess it's far less than $3500.
#180 of 489 Re: Need Some advice on this price 09' SEL AWD [frostbyte3964]
May 22, 2009 (3:37 pm)
Three years seems to be the break-even point, where the 0% APR savings tops $3500. That's based on the assumption of 6.9% for 72 months, which may not be realistic.
#181 of 489 Re: Need Some advice on this price 09' SEL AWD [mez4]
May 22, 2009 (4:05 pm)
It is nice to know that the entire payment will be going to principal
Of course reality is that you are just paying all the interest up front by giving up the $3500.
$29,664 paid over 6 years would be $412 per month. If you took the rebate, you would pay $26,164, financed at 4% for 6 years would give you a payment of $409. So the break even interest rate would be more like about 4%, depending on how much you finanace and if you pay extra as you suggested you would (which makes no sense, btw. It'd be better to put the extra cash in a money market or CD and earn a little interest).
#182 of 489 Need help on Mercury Milan AWD
May 24, 2009 (6:22 am)
I am planning to buy either a 2009 or 2010 Milan AWD with most of the popular options including navigation. However, there is very little information, if any, on the Milan. I need all the help I can get from this forum.
I live in central New Jersey. What would be a good starting point of negotiation, the MSRP, Invoice or the TMV? There is $3500 cash back on the 2009 and only $1000 cash incentive on the 2010. Which one would be a better buy? What is the going price for a fully AWD, invoice less $3500 plus tax and tag for 2009, or invoice less $1000 plus tax and tag for 2010? Since most AWD cars are not hot sell cars I wonder if the selling price can go below the invoice.
Any suggestion/advice is appreciated.
#183 of 489 Sales Tax Calculation on new Fusion
May 25, 2009 (9:34 am)
I have received quotes from 2 local dealers on a similar '09 Fusion. I was surprised that the dealers calculated the sales tax amount differently. If anyone out there would know which method is correct, I would appreciate it.
Dealer 1 took my X-plan price minus the current $3500 rebate to get their final sales price, and then calculated the sales tax amount from this final price.
Dealer 2 took my X-plan price and calculated the sales tax amount from it, and then subtracted the $3500 rebate.
So Dealer 2 is collecting about $260 more in sales tax from me than Dealer 1.
Which dealer has the correct and legal method for collecting sales tax? Thanks.
#184 of 489 Re: Sales Tax Calculation on new Fusion [fusionguy]
May 25, 2009 (11:27 am)
That would depend on the state you live in. Method two is correct for Florida.