Last post on May 15, 2013 at 2:37 PM
You are in the Volkswagen Tiguan
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Volkswagen Tiguan, Car Buying, Car Leasing, SUV
#21 of 603 Re: Money Factors [stoopy]
Oct 23, 2008 (9:21 pm)
The guy didn't actually lease this vehicle. This is just a "QUOTE" he had emailed to him or whatever. I also would like to see a copy of this lease contract, if he ever actually gets the car for this price, which is unlikely.
#22 of 603 Re: Money Factors [indianajohns]
Oct 23, 2008 (10:31 pm)
i don't understand how hard it is to just plug in the numbers. the dealer committed to the sales price, and the MF and residual is what it is.
it's not brain surgery. funny every car i've gotten people have told me i will never get what i said i was going to get and sure enough i do. it's pretty simple, negotiate the sales price (cap cost) and the MF and residual are what they are.
for the record i was not emailed something this is something i went over in person. do yourself a favor and google a car lease calculator and input the numbers i have said and you get that payment. the fact that this is so unbelievable is the reason car dealers exist, consumers that just lay down on what they are told. there is a "skeleton" to any transaction, instead of just fishing for the lowest payment, better to understand how leases work and negotiate inside out as opposed to letting them play smoke and mirrors with payments. same thing with any loan. people 3 years ago that only cared about interest rates never bothered to look at loan amounts, amortization type, the breakdown of the loan, payoffs, closing costs, yield spread, etc. etc.
but hey not my problem. it is possible to get this car at invoice. it's simple logic you tell the dealer they are wasting their time if they don't give you the car at invoice. you can go back and fourth and play dealers against each other or they can cut their losses and cave in right a way. you will be surprised how well this works. the economy sucks and it is a buyers market. they are more than willing when pushed the right way to make little money. and by they way, they are still making money at invoice. don't let them tell you otherwise. they can't always hit a home run though, sometimes you gotta accept the intentional walk. you get on base, it's not fun, and it doesn't help out much. but at least you don't strike out if you are the dealer.
#23 of 603 Re: Money Factors [aramism]
Oct 24, 2008 (10:49 am)
So I take it the advertised sign and drive deal for the S with automatic is not a great deal. It's 0 down / 369mo + tax, title, license if I'm not mistaken. If I wanted this particular vehicle, what would I need to negotiate to get it at or very close to invoice? Any help here? I want to get this car today. Thanks all!
#24 of 603 Re: Money Factors [djaerich]
Oct 25, 2008 (1:06 am)
i mean my best advice is to let them know off the bat you are not "joe consumer" and start talking detailed numbers. simply trying to negotiate payment/front fees is a telltale sign for them that they can play smoke and mirrors with the real numbers. you are better off doing a little research on how leasing works and understanding the scienece behind it this way you can spit out some lease jargon to let them know you are there to deal.
you would also be best advised to ask them for a detailed run through of the numbers. once you get the money factor, residual, the cap cost, how much they are selling the car to you for (even on a lease) you now have the "dna" of the lease deal they are offering and can shop this with multiple dealers. if you want the car that day after you go through the detailed numbers, balk at any price above invoice, or whatever level you wanna pay. just tell them that you are ready to to business right then are there but refuse to get the car for anything over invoice. you can throw in how eventually you can deal with multiple dealers and eventually get what you want anyway or the sales guy you are dealing with can just cut his time spent and give you a deal you are going to get in the future anyway now and save himself the time. the time he saves dealing with you, the shrewd consumer, is more time he has to try to deal with the non shrewd consumer. remember, unless it is like a brand new car that has all types of hype, invoice is pretty easy to get if you push the right buttons. they will tell you they make no money at invoice but there is still a small little cushion for them at invoice. not a ribeye steak but like a cracker. but hey, a cracker is better than nothing when you are hungry. and with the state of the economy, all car dealers are hungry if not starving.
#25 of 603 Re: Money Factors [djaerich]
Oct 25, 2008 (1:13 am)
oh and as far as the advertised deal, just ask them what the breakdown is for that as far as what that lease figure is based off of... that will tell you if it's a great deal. goto edmunds.com and research new cars, and price out the car you want with the options trim level etc. it tells you a pretty accurate idea of what the invoice is. use this as some sort of standard to base off what they tell you. FYI most advertised specials are based off MSRP pricing so you know you have room to wiggle.
i got my mother a jetta in april as part of the sign and drive when it was nothing up front. not even taxes.
i'm pretty sure the deal advertised was $249 with nothing due up front at all except like DMV fee. the advertised car was manual. she ended up getting automatic and the winter package for the same price. $249. i think i posted about it on this forum and someone else said i was full of shit but whatever.
#26 of 603 best deal.
Nov 03, 2008 (7:49 am)
Do you think I can get under $400 a month for an SE Tiguan? With $0 down. My only issue is if I go with this model, is that it has cloth seats. Real bummer, but a real possibility. My mother already has a Jetta, which I really like. I would like this model or the Wolfsburg Edition Jetta!
Nov 03, 2008 (12:26 pm)
Yes! It is possible.
The whole issue for me was the 36 month vs. 39 month periods
That extra 3 months flips you into a new year and really extends the lease term, probably at a time when you can't wait to get out of that 3 year old lease.
Here's what I was given as a quote for a 36 month which was 20.00/month
more than the 39 month version:
36 month 10k/mi year $395/month incl tax, NY Dealer
with 4motion, Roof & Navighation & Rearshades & Monster Mats Kit
$500 out the door, loyalty money applies
Yes, no leather in the SE is Ridiculous. The color choices are also pretty bad, what were they smoking when the chose that Blue???
Loaed SEL version as above should hit around $430-440 momnth I am guessing?
#28 of 603 Dec. Lease Rates and questions
Dec 15, 2008 (7:21 pm)
Here's what I was quoted tonight and an SE 4Motion with roof and mats 39 mo, 12K/yr:
MSRP $31,484 Invoice $28934, dealer cash for December is $578 on the SE so real invoice is $28,356.
Money Factor 0.00135
Acquisition Fee $575
Cap Red. $624.
Doc Fee: $218
Monthly pre-tax is $375
I know acquisition is non-negotiable, but Doc fee seems high, and what the heck is a runner? I need to get the car to invoice before I will come close to leasing this car. We seem to have a lot of 4Motions in New England, so they're not scarce
#29 of 603 My December Lease Deal
Jan 04, 2009 (6:34 am)
I shopped extensively online. I benefit from having about 6 VW dealers in a reasonable radius of 30 miles or so. Decided I wanted a white 4 Motion SE with panoramic roof. 39 month sign and drive lease, 12k miles/yr. Everyone out there was using standard December VW 0.00135 money factor and 56% residual. I knew going in there is a $578 dealer holdback for December, expiring Jan. 2.
Dealer 1 is the closest to me, right down the street, did the test drive, told them to show me a number. SE with roof, protection kit, and trailer hitch. This is with no negotiation at all:
Buy price: $29813
Doc fee: $258
Down total: $1000
Sales Tax 5%
$393.82/month with tax.
Total Lease cost: $16,358.98
I walked immediately, saying I wasn't interested.
I then solicited 2 other offers on the (almost) same car via email. Really wanted the white SE, so even though there are a lot of cars out there, white SE 4 motions are not all that easy to find around here. No hitch and the others and they had mat kits, not protection. I told all I didn't care about the mats. They could keep them. Was able to sneak about $100 below invoice giving me a monthly of $375 with tax, after a solid week of back and forth and meeting and beating offers. Both dealers wanted $599 on the bank fee though and wouldn't budge, as well as $29 extra for the inspection sticker.
Went back to dealer 1 on Dec. 30. Started with a buy price on the lease $500 under invoice (knowing they still had $78 in the holdback). No dice with the salesman, $400 over best he could do. Brought out the sales manager. I had printouts of the emails from the other dealers showing them that it was indeed possible to get below invoice. Told them I didn't need the hitch. They could keep the mats and take off the mudguards for all I cared. Leave it empty on gas too, gas is cheap right now. $250 over invoice best he could do. Got to the general manager. Spent a good hour just with him, back and forth. Got to invoice finally. Did the whole "do you even know how a holdback works?" game. I walked.
Dec. 31. Back to the dealer #1. Again, closest to home. Didn't want the hitch or mats/protection, but that's what was in stock. I brought a check and laid it on the desk, wrote in the dealer name. Told them $29,213 buy price ($93 under invoice and $600 less than my initial quote with them), I make the check out for $919 now and sign the papers.
Why $919? Aquisition: $575 + Doc fee: $258+ Registration: $86. Did NOT want to roll these into the lease cost and pay interest on it. Also I firmly believe it is never a great idea to use cash as a cap reduction on a lease, for various reasons if the car is totaled.
I got the deal! Lease per month is $372.19 with tax. VW pays first payment per sign and drive, and the inspection sticker is thrown in.
Total lease cost: $15434.31.
My savings: $924.57.
What I learned: The holdback is fairly sacred money. I was able to get $93 of their holdback, so they still got $485. But getting much lower than that was impossible for me. Probably because it's a 2009 model, it's all wheel drive, winter, and a blizzard outside too.
Acquisition and Doc are not set in stone. There must be a minimum VW value for these, but dealers can clearly mark them up a bit to make it seem like you're way under invoice.
VW dealers seem to stick to the published VW lease rates. I've known some BMW dealers who will try to pull a fast one on the money factor to make some cash. Sleazy. I was impressed by this. Also, the money factor isn't that bad right now on these cars. 0.00135 is 3.24% interest.
When negotiting a lease, start with the buy price of the car. As you can see, I will have $924 more in my pocket by negotiating. Wasn't that easy, but well worth it.
#30 of 603 Re: My December Lease Deal [k2chad]
Jan 04, 2009 (9:59 am)
My only criticisim of your deal is that you went in wanting "sign & drive" and ended up dropping almost $1,000. Big mistake. The docmument fee is a bull crap fee. The dealers use it to make easy money. To my knowledge only one state in the U.S. actually even "LIMITS" the fee, meaning the dealers basically have you at their mercy unless you demand they not include it.
The acquisiton fee is legit and you will never get out of paying it. Never put ANY money down on a lease, ever. You could have paid your first 2 payments with that money.