Last post on Dec 07, 2013 at 5:01 AM
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Audi A5, Car Leasing, Car Buying, Coupe
#710 of 766 Application of manufacturer rebate
Apr 29, 2013 (2:58 pm)
I am negotiating with a dealer for an A5 Prestige with S-Line package. I qualify for the $1000 New Customer Acquisition Rebate. The dealer is telling me Audi does not allow the rebate to be applied to the selling price (due to how it changes the tax) so he is using the $1000 rebate as a down payment. I think he may not be correct on the application of the rebate. After all, doesn't the dealer pocket the rebate check? All the "down payment" does is pre-pay my rent to reduce the monthly payment, which makes no sense to do. Your insights would be appreciated. Also, can you give me the MF and RV for a 2013 A5 cab, Prestige with S-Line package; 12k miles per year, 36 months. Thanks
#711 of 766 Re: Application of manufacturer rebate [kechal12]
May 06, 2013 (3:30 pm)
Hi kechal12. Why does it matter if the dealer uses the $1,000 to reduce the vehicle's selling price or as a down payment? Isn't the net effect the same? A capitalized cost reduction aka down payment lowers your vehicle's cap cost just like a dealer discount would.
Audi Financial Services' current buy rate lease money factor and residual value for a 36-month lease of a 2013 A5 Cabriolet Prestige with 12,000 miles per year are .00032 and 48% for consumers who qualify for its top credit tier.
Prices Paid: Buying & Leasing Experiences Forum
#712 of 766 Re: Application of manufacturer rebate [Car_man]
May 07, 2013 (10:20 am)
You're correct. It doesn't matter. I gave it a bit more thought after I posted and came to the conclusion you did. Not sure why I was thinking it made a difference. Anyway, I'm back to looking at Premium Plus since the RV on Prestige is now only 48%
Can you provide me with the current MF and RV for 2013 A5 cab, Prem. Plus; 36 months, 12k miles per year? Does it matter if it has the Sport package or the Comfort package? Can you confirm that having Audi Care adds 1% to the RV? Thanks again
#713 of 766 Re: Application of manufacturer rebate [kechal12]
May 07, 2013 (10:46 am)
In most states, a rebate applied as a down payment is a taxable event. For that reason, I simply reduce the selling price by the amount of the rebate without specifically identifying the rebate in my lease proposals. This has the same effect as a dealer discount which is never taxable and is the way to avoid paying tax if the dealer allows it. The rebate is simply assigned to the Dealer as far as I know unless it's somehow waived which is probably a stretch. I haven't had a problem doing this, at least not yet. So, yes, it does make a difference in terms of tax.
#714 of 766 Re: Application of manufacturer rebate [kechal12]
May 07, 2013 (2:46 pm)
You're right, kechal12, the residual values for the Prestige are pretty rough.
Audi Financial Services' May buy rate lease money factor and residual value for a 2013 A5 Cabriolet Premium Plus FWD with 12,000 miles per year are .00041 and 51% for consumers who qualify for its top credit tier. The addition of the Sport or Comfort packages does not make a difference.
Adding Audi Care does indeed add 1% to vehicles' residual values.
Prices Paid: Buying & Leasing Experiences Forum
#715 of 766 Re: Application of manufacturer rebate [delta737h]
May 07, 2013 (5:24 pm)
that's a fair point about the tax. when I did the calcs there was a slight difference but not really enough to be material. Interestingly, the dealer insisted that Audi does not allow them to use the incentive cash to reduce the sales price. It must be used as a down payment. Makes me wonder how truthful they were being.
#716 of 766 May lease factors A5 Coupe Premium Plus 2.0
May 10, 2013 (8:42 am)
What are the May MF and RV for a 2013 A5 Premium Plus 2.0T 10,000 or 12,000 miles on 36 months lease? Also, 42 month?
#717 of 766 Is this a good lease deal?
May 13, 2013 (5:04 pm)
Hello, I just received a lease offer for a 2013 A5 Prestige S-line quattro tiptronic:
Location: Southern California, zip code 92408
Purchase Price $51,275
45% residual (12k miles per year)
Money factor 0.00087 (tier A credit 750+)
$0 out of pocket (first payment, DMV, state fees rolled)
Total payment $772.21 per month plus tax.
Can you please tell me if this is a fair deal?
#718 of 766 a 5 lease stats and review
May 14, 2013 (10:20 am)
Thought you'd be interested in my experience in leasing and reviewing a 2013 A 5 which I just got over the weekend (5/11); Black Pearl metallic/black int; Prem +; Nav, B&O, Key, Walnut trim, Metal tips/exhaust, and I got a "sealant" (forgot the name) thrown in w/o the contract (but not otherwise sold separately). I'm told this sealant will keep the car looking like new, even out of multiple car washes, which, being black, it'll need. It is simply gorgeous. Got it from Paul Miller Audi in Parsippany, NJ (W of NYC). Terrific experience with Don, salesman and Steve, finance manager. I recommend both highly as professional, honest, thorough and just good guys.
Traded in a 2010 Inf G37X (a terrific car as well, with 328 hp). Although not quite as fast, of course, but with close in torque, the A5 was more than adequate and hard to believe it's only a 4 cyl. And flicking the gear selector to the sport mode (the triangle below D, not sure why they use that icon), the car really takes off. (Didn't yet try the manual tiptronic.) So no worries on speed deficiencies. The only time you know it's a 4 is when going uphill at highway speed, where you have to press down on the accelerator to maintain speed. The G37X didn't need to do that. The A5 has a smoothness/refinement/and quiteness that the G37X didn't quite have. The stering of the A5 is very light at low speeds (I'm starting to get used to it as compared with the G37X), but it tightens up dramatically at highway speed, maybe even more than the G. Wow!
The B&O sound system is the best I've ever heard in a car, including the very good Bose in the G37X and even the Acura TL I had before that and the Lexus IS 350 before that. Where the Bose emphasizes base (all their products are that way), but with consequent slight (or more) muddying of mid range (which I didn't realize until I heard the B&O), the B&O is crystal clear with much better resolution of mids and highs, and still has good base, but w/o the Bose "thump." While I'm not an "audiophile," I do appreciate good sound. In fact, an excellent sound system is as much a priority for me as any of the other car stats. I look forward to riding just to hear the music. So, people, if you can get the B&O, you'll be in for an audio thrill, including with sat and fm, not just cds. And, although I was nervous about the ease of use of the MMI, it's a breeze, after only a day playing with it. From Radio to Media and back, and to setting up and finding the favorite presets, etc., it really is no sweat.
Now to the lease. Given that I was close to someone at the dealership, I was able to get, I think, a good deal. Bottom line: 36 mo, 10k miles -- $670/mo, includes all fees, taxes, etc., and the first month's payment (so I only have 35 left). The "sell" price was about $1100 under invoice.
Bottom line: just an overall great experience getting the A5 and the lease deal.
#719 of 766 Re: a 5 lease stats and review [cls03]
May 14, 2013 (10:35 am)
Hi, again, I forgot to say Quatro, of course. 8-speed auto. The MSRP for my A 5 (discussed above) was $49,150. Gross Cap Cost $45126. My lease was complicated because I owed a few $K in the G37X trade (due to Infiniti very high residual to get customers) and some of that was included in the lease so I can't give further lease-only figures (that I can understand).