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2013 and earlier-Mercedes-Benz M-Class Lease Questions

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Comments

  • dwwsdwws Member Posts: 14
    Hi dazzman:

    I was just wondering: what was the outcome of your issue with the $795 acquisition fee? Did you get them to waive it, and if so, how? I ran into this when I was considering a lease on an R350 this Spring.

    DWWS
  • agwagonagwagon Member Posts: 11
    I'm looking for current money factors and residuals on 2008 ML320CDIs. 36 months or so with 12K/year. Also, I'd like to know if the numbers are the same as for gas ML350s. Thanks.
  • jennykrjennykr Member Posts: 1
    I live in Northern California and have never leased before.....I need some help as the payment seems high to me.

    MSRP 54845.00
    2007 ML350 with P2 package, trailer hitch, ipod, tv screens, nav, 6 disc changer...
    36 month lease
    15k miles
    payment 1015.49 inc tax
    money factor .00410
    3000 down
    residual 29067
    net cap 51228
    Tier one FICO

    Please advise!!!
  • exhaloprezexhaloprez Member Posts: 6
    Tier one and a .00410 money factor. Seems much too high!
  • marcopolo1marcopolo1 Member Posts: 6
    Your residual value looks to be about 53% - this is pretty low (higher is always better) but probably related to your mileage terms plus end of 2007 year. Also your money factor (tier 1) should be closer to .00205. Ask your sales representative to show you Mercedez Benz Financial's official Lease schedule (if they're honest - they'll show it.)

    Also, make sure you are negotiating from Invoice price Up, not from Sticker price down. Use Edmunds to find out Invoice Prices based on your options. Also note that MB USA is offering dealers ***$3,000 Marketing Support*** (Incentives) so theoritically you should be able to negotiate a price UNDER invoice and the dealer still makes plenty of money.

    You might want to consider a 2008 model as an option. When I was shopping for 2007 vs 2008, the much higher residual values on the 2008 made for a lower monthly payment and better value.

    Good luck...
  • mattermindmattermind Member Posts: 2
    denisavu3,

    sorry for the late reply. i was out of pocket for a while there..

    i got this from a MB dealership in Northern Virginia. hope that helps. email me at matter_mind -----at----- yahoo dot com for more details if you're still in the market. Good luck !
  • rezultzrezultz Member Posts: 12
    Anyone with 2008 ML550 info? $65,900 MSRP, 36 months, 12k/year?
  • rocco50rocco50 Member Posts: 21
    marcopolo1, do the $3,000 incentives apply only to the '07 model, or to the '08 as well?

    I read somewhere that a person with a credit score of above 700 should be able to get 0% APR (i.e. very very low money factor) Is this true? Or do the dealers always go by their schedule?

    Alex
  • marcopolo1marcopolo1 Member Posts: 6
    $3k incentive applied to 2007 only (they're trying to clear out 2007 models). But I think the "Summer Love" event ended Sept 4th so MBusa may have ended their promotion. You'll have to check some other resources.

    Regarding 0% Financing, some auto makers offer this but I've never heard of the European car makers doing this.

    Better hurry up if you want a 2007!
  • agwagonagwagon Member Posts: 11
    The best info on this board are actual deals, so here's mine.

    Black over mac w/ P1, heated seats, CD changer; MSRP $50,335.

    33 months, 12K/yr, MF .0025, residual 65%, $0 down but inceptions/fees/1st month upfront for $2,100. I believe the MF is lower for a gasser but this was the base rate for the special residual of 65% on the diesel, which is great IMO.

    Monthly payment $710, which includes 7% tax.

    I went in offering $1K over invoice, but balked at a $735 monthly. Agreed to $700 monthly, coming out of their gross. Eventually they had to swap for my car in a distant zone with a $200 higher ad fee and $300 shipping. I ate $10 per month and they ate the rest. Believe they're in it with $300-400 gross when all is said and done. Last day of August.

    Frankly, I only see demand for the CDIs going up (which I think is reflected in the residual) so I'm pretty happy with the deal, all considered.
  • rocco50rocco50 Member Posts: 21
    Hi Carman,

    Could you please post the MF and Residuals for '07 and '08 ML350 - 33 or 36 mo. 10K or 12K ?

    Thanks in advance,
    Alex
  • nuginugi Member Posts: 4
    Hello everyone,

    Has anyone taken a look a the offer MB is doing for sept. I'm considering the ML350 08 with the package below, but was wondering if MB would even negotiate this since the 08's are brand new and they are running this promo. Thanks

    $559mo for 33months
    $4400 Due at signing.

    2. Available only to qualified customers through Mercedes-Benz Financial at participating dealers through October 1, 2007. Not everyone will qualify. Advertised 33 month lease payment based on MSRP of $48,885 less the suggested dealer contribution resulting in a total gross capitalized cost of $47,416.01. Dealer contribution may vary and could affect your actual lease payment. Includes destination charge, Premium 1 Package, and Heated Seats. Excludes title, taxes, registration, license fees, insurance, dealer prep and additional options. Total monthly payments equal $18,447. Cash due at signing includes $3,050 capitalized cost reduction, $795 acquisition fee and first month's lease payment of $559. No security deposit required. Total payments equal $22,292. At lease end, lessee pays for any amounts due under the lease, any official fees and taxes related to the scheduled termination, excess wear and use plus $0.25/mile over 27,500 miles, and $595 vehicle turn-in fee. Purchase option at lease end for $31,286.40 plus taxes (and any other fees and charges due under the applicable lease agreement) in example shown. Subject to credit approval. Specific vehicles are subject to availability and may have to be ordered. See participating dealer for details. Please always wear your seat belt, drive safely and obey speed limits.

    http://www.mbusa.com/models/main.do?modelCode=ML350
  • marcopolo1marcopolo1 Member Posts: 6
    They've been running this for a few months. I bet you'll be hard-pressed to find a ML350 equipped with such few options though. Once that happens guess what - the figures start going up! They call this "Loss-Leader" advertising (drive them into the showroom on a low price on a car near impossible to find - then sell them on a more expensive car once they come to the dealership.)

    Buying a 2008 this early in the season has some drawbacks --fewer units on the lot and dealers less willing to haggle. Basic supply vs. demand.

    If I were getting an ML now, I'd reseach invoice prices w/options I wanted then shop aggresively to find a dealer willing to deal with an "Invoice + Profit" mentality vs. "Discount off MSRP". I believe ordering a car does not subject it to the typical inventory expenses (flooring costs, etc.)which makes it a little more negotiable from a dealer's perspective.

    Also make sure you're educated with the best Money Factors your credit rating will buy and the lowest Residual Values for the lease term you're interested in. Dealers are notorius for trying to slip in a higher rate to unsuspecting buyers.
  • mark_smark_s Member Posts: 7
    Hello all, below is the most recent lease offer I received from my local dealer, I think I can get them down a little more, but I wanted to get some views. Deal or no deal? THANKS!

    ML 350
    Black
    Premium Pkg. 1, Heating Pkg., Navigation
    and Sunroof

    33 Mos / 12K mile

    MSRP is $50,045
    Invoice is $46,996.42
    money fator is .00215
    residual is 63%.

    $3,000.00 down which includes taxes of $1,452.61,
    bank fee of $795.00, 1st month of $572.77 and NY state dmv fees of $179.62.

    Monthly $572.77
  • samminsammin Member Posts: 39
    I have about 18 months left on a 2007 C280-4matic. Turns out with our expanding family, this car will be too small very soon.

    What are the chances of doing a lease trade-up for a 2007 or 2008 ML350 without getting killed? The C280 lease is with Mercedes Financial has a cap cost reduction of $2500 plus $750 bank fee, DMV fee, and all tax paid up front.

    If it is too soon, at what point should I try?

    Thanks
  • jcortezjcortez Member Posts: 2
    Hi Carman,
    I'm thinking about leasing the ML 350 but don't understand how the money factor and residual get calculated. Current, MB is offering 33 months, $6K down, payments at $499/mo, based on a price of $48,885. But the down payment of $6K seems quite high. Where should the money factor and residual be -- and how do I know if I'm getting a good deal.

    Any help is greatly appreciated!
    :)
  • jcortezjcortez Member Posts: 2
    denisavu3,
    Did you find out where mattermind got this great deal? which dealer?
  • sigor111sigor111 Member Posts: 8
    Hi Carman,

    I am in the market for ML350, but I don't know what are the curent residuals for November for 12 000 Miles, 36 Months lease with Mercedes Benz Financial.
    I saw some rates at leaseguide.com but I think that those are from the banks and not from MBFS.

    Thanks
  • pkbadgerpkbadger Member Posts: 6
    Hi - I'm looking at an '08 ML350 (considering 27-33 mos. lease/12k) and also would like the residuals and money factors for this month and any information regarding lease specials or dealer cash available. Any idea if they're expected to change for December or January? Thanks.
  • e5252ee5252e Member Posts: 1
    This seems a better deal then the one I m getting. Will you please tell me youo are getting it.
    t
    Thanks,

    Frank
    Cypress, CA
  • tzaytzay Member Posts: 2
    I want to do a 48 mos. lease on a 2008 Mercedes ML 350 with P1, heated front seats, voice activation, trailer hitch... MSRP's have been about $52,000 to $53,000 in Texas. I'll drive approx 12k miles/per year.

    What are the best lease factors and residual values? What percentage off MSRP is possible?
  • ocautoseekerocautoseeker Member Posts: 425
    you're better off doing a 33 month lease right now... much better residual and money factor than the 48 month program (if going through MBC)

    61% Residual / .00220 Money factor
  • razor1973razor1973 Member Posts: 5
    2008 ML350
    MSRP = $49,710
    Invoice = $46,285
    Selling price = $46,300
    33 months
    7,500 miles (which is supposed to drop the residual by 2% compared to 10K, 3% compared to 12K or 5% compared to 15K)
    Residual = 64%
    MF = .0025
    $0 down payment (incentives are around $2,500)
    Monthly base = $634
    Monthly (7% tax) = $679

    How does that selling price sound? This is the only factor I think I could get a better deal on. Aren't people paying under invoice for this car? Also, could the residual be negotiated or is .0025 good enough?

    Thanks in advance!
  • ocautoseekerocautoseeker Member Posts: 425
    razor 1973,

    Depending on where you live, there should be $1000 lease cash incentive. If so, they should be able to cap the cost below invoice. You're cap cost/selling price looks like you're right at invoice. If lease cash is available in your area, your cap would be another $1000 less.

    The residual values are correct. You CANNOT negotiate the residual value.

    It does appear that they marked up your rate slightly. MBC buy rate on this lease term is .00220. If you have 700+ credit, you should qualify for that rate.

    Good Luck!
  • razor1973razor1973 Member Posts: 5
    ocautoseeker, thanks for your feedback. I am in Miami, FL and we do have that $1,000 lease cash incentive, but I'm pretty sure they are already factoring this incentive in when they give me that selling price... or so they will claim when I mention the incentive.

    It's good to know MBC is offering a .00022 MF, but I feel once I mention this to them too they will once again tell me they're lowering their selling price too much to not make a profit somewhere; the MF in this case.

    I will, however, use both of these factors when negotiating again tomorrow.

    Thank you again and any further advise will be appreciated.
  • ocautoseekerocautoseeker Member Posts: 425
    Unless you need the vehicle tomorrow, be aggressive and be willing to walk! You don't have to be rude to them, just let them know that you've done your preparation and you're aware of what the market will bear for this vehicle. With the lease incentive, they should cap the cost on this vehicle between $500-$1000 below invoice. Plus, if you have good-excellent credit, there is no reason they shouldn't allow you the buy rate of .00220.

    Car dealers will always get you talking about their "profits", try to stay away from that topic and focus on structuring the deal that you know you can get, especially with this being the last week of the calender year. Right now, more than ever for the dealers, it's about units sold at the end of the month, not how much profit, as the majority of their bonus' are based on volume.

    If you're happy with the price they quoted you and it's in your budget, then there's no need to negotiate any further. However, I believe there's more room on the front-end and a few basis points in the rate that you could use to your advantage.

    One last piece of advice... try to avoid a busy showroom on the weekends. If management sees lot's of potential customers, they become very optimistic, and thus if one deal falls through, they believe another can be sealed. The opposite applies on a Tues or Wed afternoon when you're the only one who has set foot inside their helm.

    I wish you luck!
  • razor1973razor1973 Member Posts: 5
    ocautoseeker, thanks again.

    Last night, I wrote to another dealership and asked them to beat the deal. The deal was $679 after taxes, remember? I just woke up to find an e-mail saying $660 including tax. I thanked her for the offer and asked her to do better, i.e. sell at invoice, apply the $1,000 cash incentive and give me 64% residual and a .0022 money factor, MBC's latest. I mentioned that all I need is a yes and the deal will go through today. I am now waiting for her reply. If she can do this, we'll be talking about a $578 base or $618 after taxes. Quite a difference! Not to mention the first dealer's initial offer was $1,500 off MSRP and a .003 factor, i.e. $788 after taxes! The profits these people make!

    I will follow your advise once again and, if the answer is a no, I may wait until Monday, although that's pushing it, since that's the last business day of the month.
  • razor1973razor1973 Member Posts: 5
    OK, so the final deal came down to $598 base, $640 after taxes. Which is a far cry from their final offer of $780 after taxes. Picking up the car tomorrow. :-)

    Thanks for your advise!
  • tzaytzay Member Posts: 2
    what was the MSRP and final negotiated price? Did you do a 33 or 48 month lease? Can you tell me the name of the dealer.

    I am interested in doing a 33 OR 48 month lease on a 08 ML350 which has an MSRP of $52,705.
    Thanks,

    Tom Zay
  • razor1973razor1973 Member Posts: 5
    Tom, look at the previous posts. All the data you ask for is there, except for the dealer. The first one was Bill Ussery in Coral Gables. The one where I am getting this is Mercedes-Benz of Ft. Lauderdale. I can recommend you someone in both places if you want; people I have been working with for a while.
  • ocautoseekerocautoseeker Member Posts: 425
    Good job! Just like that... you saved another $1200 over the the life of the lease.

    Congrats!
  • novice101novice101 Member Posts: 4
    does this sound like a good deal...ml350 loaded (nav, heated seats, dvd...) no money down, $819 per month. 33 month lease 15k.
    thank you.
  • ocautoseekerocautoseeker Member Posts: 425
    How much is the car (MSRP) and what are they capping the cost at?
  • novice101novice101 Member Posts: 4
    52900. i feel dumb even asking because you are all so knowledgeable, but what does the cap price mean? do i ask the dealer this? again, thanks.
  • ocautoseekerocautoseeker Member Posts: 425
    Dont' feel dumb. There are all sorts of different terms when leasing rather than buying. The cap cost is simply the agreed upon selling price. To simplify... you say the MSRP is $52,900, so if they decide to lease it too you for $48,900, that would be the cap cost. If you were buying, it would be called the selling price or cash price.
  • ocautoseekerocautoseeker Member Posts: 425
    This is the deal I'd shoot for based on your numbers:

    MSRP: $52,900
    Cap Cost: $47,900 (includes $2000 lease incentive cash)
    Residual: 58% (15k-mi/yr)
    Money Factor: .00210 (5.04%)

    33mo/15k = $687/mo + tax

    Amount due at signing will include: 1st mo payment ($687+ tax), license and registration, doc fee, acquisition fee ($795). Should be roughly $2k to drive out, unless you want to cap the acq.fee into the lease.

    Good luck!
  • novice101novice101 Member Posts: 4
    cap: $48,900. she said that the $819 would include everything rolled in. also said that all we have to pay at signing is $819. what are your thoughts on that?

    p.s. thank you again for taking the time to help.
  • ocautoseekerocautoseeker Member Posts: 425
    If the $819/mo includes tax (assuming ~7.25%), acquisition fee ($795), and DMV fees (~$400), doc fee (hopefully no more than $100) then I'd say that's a decent deal.

    Understand this though... there's about $3500 between invoice and MSRP on this vehicle. Most-likely, there is a regional advertising fee (included on the invoice) making the actual cost to the dealer about $500 more than what Edmunds or KBB list as the invoice. Don't worry, it's a legit charge that they (the dealer) gets billed from the manufacturer.

    There should be a $2000 lease incentive (could vary by region) on this vehicle. So, assuming you are able to negotiate a deal at, or very near invoice (~$49,900 gross cap cost), then subtract the $2000 lease incentive, you should have a cap cost at ~$47,900. Now, add in the acquisition fee of $795 + ~$500 for Dmv and Doc fees and you get an adjusted cap cost of ~ $49,195.

    Based on the current residual (58%) and the base money factor of .00210, your payments should come out right around $758/mo + tax. Depending on your local sales tax (assume 7.25%), you'd end up at around $782/mo. These numbers assume MBC's top tier credit, so depending on where your FICO score is at, you may or may not qualify for the special rate.

    Hope this helps. Keep me posted!
  • andrewframptonandrewframpton Member Posts: 4
    Hi everyone. I am from the UK and this is the first lease I have done in the US. I am in California.

    This is the initial offer I was made on a New 08 ML 63 AMG MSRP $93447

    36 month
    12k miles
    5k down
    $1690+ tax

    I laughed and basically said they were way off and that I had seen examples going for between 5-7 k off MSRP before we even started talking finance. There was a general air of them being flexible, empty dealership, 3 ml63 amg's in stock etc.

    They then came back with the following:

    I have no idea at this point what the invoice or actual sale price is as they are reluctant to give that to me saying that they are giving me such a reduction off the MSRP that it brings them down to 4k below invoice. They also wont confirm the money factor until my credit clears. (it will)

    36 months
    12k miles
    5K down
    $1300 +Tax pcm

    What are your thoughts and advice as to how I should proceed? Is there more room in this deal? or is this great?

    Thanks in advance
  • novice101novice101 Member Posts: 4
    ocautoseeker,
    thanks again. they shaved off a few more dollars. came down to $811 per month. still no money down and everything all rolled in.
  • ocautoseekerocautoseeker Member Posts: 425
    My thoughts are that you definitely should not put down $5k on a lease.
  • ocautoseekerocautoseeker Member Posts: 425
    Like I said in my previous post, I don't recommend putting $5k into your lease.

    After running the numbers based on MBC's current program on 36/12k, they've made you a very good offer it appears.

    MBC has a crappy money factor on the ML63 right now and that's what I'm guessing they quoted you initially. I have a feeling the second offer was from a different lender.

    My advice would be to take the second offer and expect your payments to go up about $150/mo by not putting down the $5k. Just pay drive offs... it makes no sense to make a down payment (cap cost reduction) on a lease.

    There is a spread of ~$6000 between MSRP and Invoice on this vehicle.
  • andrewframptonandrewframpton Member Posts: 4
    Thanks very much for the advice. Do you know why that money factor on the Ml 63 is bad at the moment? Also, I see on edmunds that there is a 5k marketing incentive until 31st Jan. Is that on 08 models?
  • ocautoseekerocautoseeker Member Posts: 425
    I have no idea why the rate is so high on the ML63 right now; it just happens to be MBC's current buy rate. There's probably a better program through another lender right now. Check out leasecompare.com

    As for the marketing support, it's only for remaining '07's.
  • tendrestendres Member Posts: 4
    Just quoted an ML 350 with MSRP of 52,550 (dealer is throwing in about 2,000 in dealer DVD (headrest) DVD player). Cap cost of 51,072 and payment of 849.00. I know this isn't a great deal, but trying to work them down more.

    I told them that they needed to be down to 50,000 on the cap cost, which should lower the payment to about 780, assuming an MSRP of 54550. Seems like the payment is higher for not including the dealer DVD in the MSRP, not sure why that is. I think 4,500 off MSRP is a fair deal, considering the 2,000 lease incentive in February.
  • scpetescpete Member Posts: 5
    Carman (moderator):

    Do you have the current money factor and residual for an ML350 for 33 months?

    It seems this is the national special for this car or is there a better offer?

    Do you know if March has anything better (in terms of offers) for leases comparedt to Feb?
  • ocautoseekerocautoseeker Member Posts: 425
    The 33 month residual on an ML350 based on 10k annual miles is 61% and carries a buy rate mf of .00210.

    The 33 mo term is the best program available on the vehicle currently.

    Won't know March rates 'til March.
  • tendrestendres Member Posts: 4
    P2, Heat etc...
    MSRP 52,520
    33 months, 15,000 miles
    725/month (b/4 sales tax), nothing down (except 1st month payment and title fees).
    I think they are using a money factor of .00220 and residual of 58%.
  • lloguellogue Member Posts: 1
    My current lease will be up in July. Is there a better time to lease the '08 ML350? I would hate to wait until the end of June only to find out that I would have gotten a better deal had I leased earlier.

    Many thanks in advance for any advice! :confuse:
  • bidder5000bidder5000 Member Posts: 17
    I just went into Mercedes today. I was looking at the ML350 with the P1 package. They quoted me $499 a month plus tax with just the basic's down (first months pymnt and fees).

    $499/Month
    33 month lease
    10,000 miles a year ($25 more a month for 12,000 miles a year)
    is this a good deal?
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