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Lease a 2006 Hyundai Azera Limited for $299/month for 27 months, $2,999 customer cash down plus $1,500 HMFC origination support*, and $3,598 due at signing. See your local dealer for lease details. This program is effective from March 01, 2006 through March 31, 2006
Does the $2,999 customer cash include the $1,500 HMFC support? The key word I see is "plus", which indicates you actually need the $2,999 cash to which HMFC will add the $1,500 to. Is this right? :surprise:
Yes, plus a little more. HMAC will reduce the cap cost by $1500 (rebate) You will need the $2999 down (although you don't HAVE to do that if you don't want to, but your monthly payment will go up substantially), plus you will probably pay a $595 acquisition fee, plus title, registration, plus a possible security deposit, plus the first month's lease payment, plus a possible documentation fee. So, your "out of pocket" costs could be:
$2999 (down payment)
595 (Acquisition fee)
250 ? (title, registration)
300 security deposit
299 ? doumentation fee
325 First month's lease (includes tax)
$4768 Total
That would be a fairly accurate possibility. Of course you have control over the down payment. You do not have much control over the other things and the charges can vary from dealer to dealer.
One dealer in my area charged a "dealer name fee" of $350. LOL I asked what that was and he said it was the charge to display the name "Ken Garff" on the dealership. LOL Okay.
Hopefully, the dealership you go to won't have ridiculous charges such as that. But the other charges are very common.
Plate fees, doc fees etc.. will be seperate. I'm surprised to see a security deposit this time around.
Dealer name fee is perhaps the best mark up I've ever heard.
I'm assuming that the residual is still at 53% and the money factor at .00119 (2.86). Maybe Dan, you can confirm that. The residual at 53% is still a problem, though. It's low for a car in this class for 27 months. Most cars are up in the 60% or higher range. But, I guess for a Hyundai, that's about all we can expect right now. It should be rising some as their popularity increases.
Invoice $24,811.00
Gross Margin $0.00
Acquisition fee $595.00
Gross Cap Cost $25,406.00
HMFC Origination Support $1500.00
Cap Cost Reduction $2,999.00
Net Cap Cost $20,907.00
MSRP incl Freight $27,495.00
RV% (12,0000 mi./yr) 52%
RV$ $14,297.4
Money Factor .00153
Monthly Depreciation $244.80
Monthly Rent Charge $53.86
Monthly Base Payment $298.66
1st Monthly Payment $298.66
Cap Cost Reduction $2999.00
Security Deposit $300.00
Due at Lease Signing $3,597.66
I hope you have better luck this month. The dealer still isn't making more than holdback, but hopefully some of their arrogance or incompetence will disappear this month.
At the end of 27 months one can buy the car for $14,297.40 :confuse: ?
Leasing a car can be less expensive if you don't put a lot of miles on a car and want a new car every few years. Now if you put a lot of miles, say over 12-15,000 a year then you want to buy as leasing then becomes more expensive. Or if you want to keep a car a long time buying it tends to be less expensive than leasing it and buying it out at the end of the lease.
2011 Hyundai Sonata, 2014 BMW 428i convertible, 2015 Honda CTX700D
Money Factor .00153
So, it appears as if the residual went down slightly (53% to 52%) and the money factor went up (.00119 to .00153) -- which offsets the additional $500 support from HMAC. So, it is really the same as last month.
Might as well buy the car and if you want to get another sell it privately and get another in 27 months or so.
I'm seeing lease payments here almost as much as my car payment.
I had mine removed and actually even with the sunroof open the car is still relatively quiet.
Let the dealer remove it - no scratches on mine.
Let's look at the Azera. With leasing, you pay for the depreciation (about $9,000 over 27 months) and the finance charge (about $1700)
Lease Monthly payment (for 27 months) = About $400/month
With buying, you will pay for the WHOLE vehicle -- which is about $28,000 plus the finance charge.
Buy Monthly payment (for 27 months) = $966
Bottom line is that leasing over 27 months is less than half the price of buying because lease payment pay only for the depreciation plus finance charge.
Either way results in a loss of money by about the same porportion. Although buying is much more per month, the value (equity) left at the end of the purchase payments allow you to recoup some of the cost. After recouping, however, the amount paid out is very similiar to what the lease required.
Actually it is pretty much the same thing. It is called a capital lease which has all the economic characteristics of a purchase. Think of it this way your buying a vehicle with the intention of selling it back after a period of time.
You still have to maintain it.
You still have to pay all the licensing and taxes on it.
You still have to insure it.
You still are at risk for any lose in case of theft or damage.
You bought it, its just packaged differently.
2011 Hyundai Sonata, 2014 BMW 428i convertible, 2015 Honda CTX700D
I've been driving Asian and European cars since 1968, and the best dealer I've ever encountered is our local Hyundai dealer - bar none! It's far better than the local Honda or Toyota dealer, and Ford - don't even go there.
I've never been treated as well, nor has my Hyundai, at any other dealer in my nearly 40 years of owning imports.
I've had the opposite experience, personally. Lots of lies, deceit, hidden fees, rudeness. Been to three Hyundai dealers. But it's good to hear there are good ones out there. I hope the service department is better than their sales departments have been.
During a period a couple of years ago, I sold new cars for a living at a local Dodge dealer. I came away with a substantial amount of knowledge - an excellent learning experience, especially for "how to buy a new car."
The local dealer couldn't care where I bought the car. And, of course, this is exactly what the Hyundai Warranty Manual says how it should be. The place of purchase is irrelevant - it's a factory warranty applicable at any authorized Hyundai dealer.
Their service department has shown me very personalized service, and total professionalism, and cordiality. One really couldn't ask for more. On the other hand, except for routine maintenance, the car has been dead reliable since purchase.
Hmmmm. Out of 4 dealerships(Hyundai) I went to for minor or major repairs over 7 years, only 1 was horrible. The rest were above avg, compared to GM Ford and Chrysler, and even Toyota(we own a tC).
When we traded in our horribly built 1997 Nissan 200sx at a Hyundai dealership, they gave us 250 over pay off! Ford, on the other hand, tried to rip us off, by offering 1,500 Less than Hyundai paid. Guess Ford did not want to sell their Focus back in 01,m for conquest sale?
The others are good. One was horrible. like the places they report about on the old Dateline shows.
Crooks.
Can get those from any maker. Had a major issue with Chevy dealership from Aug of 89-March of 90 in Virginia, while I was in the military.
Anyhow.... All cars over 20K are a rip off, IMHO.
10 years ago, you could get Buicks under 20K. in 1990, you could get that Infinity "J" model for under 30K(try to buy an Infinity today for 30K).
I checked out a Caliber, but to get what I wanted(leather and sunroof), I would have to go form the reasonably priced SE model, to 2K more, next model(before adding extra/options)up, the sxt,and when loaded, 19,535.
150HP I-4 GEMA engine(Hyundai, Mitsubishi, Chrysler), and CVT. They have a "Chill zone" as std on sxt( why do i need a refrigerator in my glovebox area, for 4-20 ounce drinks, at extra cost to me, when i do not want it?).
Anyhow, cars ain't worth what they are asking. Not when you drive 35,000+ miles per year. Just go buy a Mazda3 or Scion tC for under 18K.
When you buy a car every 4-6 years... why bother paying sooo much?
Later. PS: my experience with my current 2004 GLS V6 Sonata? going on 26K in 18+ months, speedo is 1 mph off.
Only other gripe is mixed fuel is 24-25 mpg, and 27.9 was the best for all hwy trip. My 99 Sonata got 31 hwy, all hwy trip, and 26-27 mpg mixed, and only 10 HP difference.
:mad:
Quality? Above Avg. Zero issues.
Like the auto-manual shifter. Not offered on anything else but maybe the upcoming Optima, for under 20K. Maybe Caliber? I dunno.
Like the tilting headrests(I have Not seen these in any other sedans under 20K, even as optional).
Got mine for under 15K on sale, everything but ABS and leather, in sept 04.
Even though I like other cars, when i compare them, Hyundai usually wins.
I can not get 8 way adjustable seats in G6, for example. I can get those in even the Accent or Kia Rio! :surprise:
What gives?
G6 coupe is cool, but No Hatchback, which is really great for hauling odd items in your vehicle, versus a trunk.(versus a Tiburon, which is more of a "apples to apples comparison for the G6 coupe).
Anyhow, take care, not offense.
I'd rather drive a Eclipse with leather, and I-4, but they do not offer em with leather at the "cheap" price. :mad: Nice Sporty Tourer.
10 years ago, you could get Buicks under 20K. in 1990, you could get that Infinity "J" model for under 30K(try to buy an Infinity today for 30K)
But you CAN get the Azera for under thirty and man is it sweet. :P
" The front-wheel-drive Azera replaces Hyundai's flagship sedan, the XG350. The smooth 263-hp, 3.8-liter V6 offers good power. The roomy interior is well finished and quiet. Controls are straightforward. The ride is generally comfortable and steadier than past Hyundais'. All in all, the roomy Azera is refined, quiet, and well equipped. Standard equipment includes head-curtain air bags and electronic stability control. At its price point the Azera undercuts a comparably equipped Buick Lucerne or Toyota Avalon." :surprise:
We bought two cars from that dealership and our daughter bought one. Yes they are a good dealer and I would recommend them. Sales and service were both very good.
2011 Hyundai Sonata, 2014 BMW 428i convertible, 2015 Honda CTX700D
Buy, lease?
More car for less money for a given time period then you do it again and again which keeps in you in a new ride but monthly rent/fee is a constant.
Vehicles with lesser warranties are ripe for this advantage. The Hyundai and KIA have the best warranties, soooooooo...
If you drive more than 12 to 15k per year lease may be costly. If you are under 12 to 15k per year lease may be good.
But, consider if you have a trade in or can put cash down you can lower monthly payment and with Hyundai you can own/drive until close to warranty limit, trade and do again.
The window of opportunity is based on your driving habits, finances and future plans or how often you like to get a new vehicle.
Frind of mine in NH drives >120 miles per day, maintenance on 'any' other make was very costly after warranty. The Hyundai warranty plays into this hand well. He can drive until close to warranty end, trade and do it again. Repair costs fall to oil, tires, brakes (for the most part).
Currenty has 11,900 miles (since Oct) and loves it. No complaints, no problems... does it get any better?
Before I buy from any dealer I take time to walk through the service waiting room, might even ask a couple questions from customers, did they buy here, hows the service, any problems with car? Look at service drive area, how many vehicles are there, look into the work area, how many vehicles and does the work being done look simple or complex?
Typically, the BIG 3 service dept always seems to be crowded, lots of warranty work, not a good sign when the warranty is 36/36K or similar. Asian made dealers, typically not crowded, mostly simple work, oil changes, etc. The exception is a questionable dealer service area where one will see more vehicles in for unscheduled work.
Sadly, some $ervice dept$ work on commision, the more they $ell you the more they make. $o they try to sell you what you don't alway$ need or they, lets say, fix one thing only to have $omething else needing to be repaired within the next week or two that is not covered by warranty.
If, for some unfortunate reason, the leased car is wrecked or stolen, the insurance company will pay off the lease company who owns the vehicle for the balance of the vehicle. YOU GET NOTHING. All of that lease money you paid up front is completely lost.
It's like paying all of your apartment rent money up front for two years and then the apartment burns down. Insurance will pay for your lost of possessions, but it won't reimburse your pre-rent payments. And the apartment owners are certainly not going to reimburse you.
The same is true with leasing. If you pay your lease up front and then your car is stolen or wrecked, you just lost all of that up front down payment or trade in money.
With buying, you own the vehicle and, therefore, it's not risky to put money down or have a trade-in. With leasing, you don't own the vehicle and, therefore, any down payment or trade in money is at risk for loss.
Just something to consider with weighing the advantages or disadvantages of leasing and buying.
The reason I leased it is, even If I end up buying at the end of lease at the price suggested my HMFC, it would still end up costing almost the same as No one would give u a 2.85 % APR on the new car, which I got for the lease. No one is selling the car for invoice at present and the HMFC origination support of 1000 Bucks comes in handy.
And most likely, I may be able to buy it for less than what they have suggested.
About the dealers: Maybe we can start a small list of which 1s are good for buying and/or servicing. I bought my car in NYC after going through 5 dealers, and it was not a pleasant experience. WOuld not want to repeat the same experience
I don't think thats the case. A lease is pretty much looked at as a financed purchase. In case of the car being wrecked or stolen the insurance company will first pay off the lease company. If the amount owed on the car is less than the value of the car (the insurance settlement) you will get the difference.
Now the important thing is if the settlement will not cover what is still owed on the car you will have to make up the difference out of pocket. Because of this if you put little or no down on a lease a leasing company may require gap insurance.
2011 Hyundai Sonata, 2014 BMW 428i convertible, 2015 Honda CTX700D
Unfortunately, it IS correct. Most leasing information sites will describe this scenario.
Look at it this way. Let's say you buy a car and decide to rent it to you neighbor for $300 a month. Your neighbor pays you $1800, in advance for six months of rent. Then he totals the car. Will the insurance company pay anything to YOUR NEIGHBOR? No. Since YOU own the car, YOU get the money for the value of the car. Do you have an obligation to buy ANOTHER car? No. Do you have an obligation to reimburse your neighbor for the rent pre-payment? Unfortunately, no. You're neighbor is out the pre-payment.
This is something that is not commonly known with those who lease and sometimes they get caught in this scenerio. Here's a quick reference to this point.
Link to Lease Down Payments
Look at it this way. Let's say you buy a car and decide to rent it to you neighbor for $300 a month.
Not the same thing, renting a car and leasing are two different things, especially when you are renting from an individual To many things would be different in the situation you described. Remember that leasing a car is the same thing as buying, just packaged a little differently.
Here's a quick reference to this point.
The quick reference is a case where the driver was upside down on the loan/lease. This is pointed out with this phrase "The client's insurance paid its portion of the lease payoff and Gap Insurance paid the balance". If he didn't have gap insurance he would be liable for the difference.
Now if he were right side up on the loan/lease (the value of the car was more than what was owed) he would have gotten the difference from the insurance company not the leasing company.
Its the same thing if you bought the car outright and financed the purchase. If you are upside down on the loan you are out of luck, and still owe money unless you have gap insurance. Which is exactly what your link details. Absolutely no difference between the lease and the purchase.
2011 Hyundai Sonata, 2014 BMW 428i convertible, 2015 Honda CTX700D
Car is totaled six months later. The insurance company determines the “value” of the car at $25,500. The leasing company was expecting $15,000 value at end of lease, plus there was still $7,000 owed on the depreciation and $2000 on the finance charges – all of which would need to be paid to the leasing company. Total owed: $24,000. So, the Insurance company pays the Leasing company what? The WHOLE $25,500 (of which $24,000 is still owed) and the LEASING COMPANY pays the leaser a $1500 check for the difference?
OR . . . Does the insurance company pay off the Leasing Company the amount owed FIRST ($24,000) and then any remaining amount is paid directly to the Leaser? ($1500). Is that how it works?
Either way, most of the $5000 down payment is lost.
Now . . . WITHOUT a down payment, there is a LOT less risk. Same scenerio:
Beginning price $30,000 NO down payment. Cap of $30,000. Over the lease term, you pay for $15,000 of depreciation – ending value is $15,000. The finance charges are $3000.
Car is totaled six months later. Value at that time is $25,500. The leasing company was expecting $15,000 value plus maybe $10,000 still owed on depreciation, plus maybe $2,000 on finance charges. Total owed: $27,000.
Insurance company pays the Leasing Company $25,500 (value of vehicle) and “Gap Insurance” pays the other $1500 still owed over the value. The Leaser is not paid anything, but he also didn’t lose any down payment money paid up front.
So, in that scenario, it’s better NOT to put any money down (or trade in) because you may lose SOME of that money in the event of a theft or total wreck.
I’m no expert, but that is what I’ve read. Am I missing something. I think this is a VERY VERY important point to understand BEFORE one decides to lease or buy. Please help correct me if I’m missing something
In that senerio the Insurance company pays the leasing company $22,000, the $15,000 end of lease value and the $7,000 owed "depreciation" (basically you owed $22,000 on a loan). You would get $3,500. Remember once you pay the loan off you stop paying interest.
Insurance company pays the Leasing Company $25,500 (value of vehicle) and “Gap Insurance” pays the other $1500 still owed over the value.
True, if you have gap insurance. If you don't you owe the difference. But remember you won't pay the additional interest since the "loan" is paid off.
2011 Hyundai Sonata, 2014 BMW 428i convertible, 2015 Honda CTX700D
It appears less risky on vehicles that hold their value than on those that depreciate steeply. Is that your observation?
It appears less risky on vehicles that hold their value than on those that depreciate steeply.
That could be true. But just remember just because car model 'A' held there value very well from the 1995 to 2005 model years doesn't mean that the model year 2006 will. And visa-versa. You are hedging your bets on past performances which may or may not hold into the future.
One other thing you have to consider, do you plan on totalling the car during the lease? If the car does not get totalled or stolen during the lease then the whole issue is academic. So unless you are speed racer or live in a high crime area the odds of you suffering that sort of loss is slim. I wouldn't give it much consideration when deciding what to do in cases like these.
2011 Hyundai Sonata, 2014 BMW 428i convertible, 2015 Honda CTX700D
Yes. I was debating whether to total it or have it stolen, but I haven't completely decided yet. I'm leaning on totalling though because of the superior air bags.
There is no control over it; it just happens.
Can it be calibrated to increase in volume when my mother-in-law is speaking?
Did ya ever think that the Azera, 1st edition, will be a 'HOT TICKET' and that waiting could cost more in a few months or it may totally flop and you'll be able to buy them cheaper than a used Pinto.
Yeah, some truth to the first model year stuff. I almost didn't buy that 63 split window, or the 64 1/2, 260 c.i., or that cobra the first year either, I'm really glad I didn't buy that Edsel and heaven forbid if 'all' the top rated auto magazines have totally blown the reviews about the Sonata and Azera.
If everyone hedged their bets there would be no Vegas, men on the moon or any of this really cool electronic stuff we all play with.
I don't plan on selling, totalling or having mine stolen soon so depreciation doesn't calculate and stealing it would be a trick given the ignition in the vehicle.
My dad, some years (56, 57, 58) ago was into buying Cadillacs, traded for another every six to nine months with less than 3k on the speedometer. Often told people that his mother-in-law bought them because the ashtrays were dirty.
On another subject, automatic radio volume, increases with song being played and speed required by song intensity.
The Airplane, Starship, ELP, Little Feat, Stones, Who, Moody Blues, Aerosmith, Sting, Queen and more have an automatic influence on volume.
Question is, does the volume go down when you slow down?
So in closing, if you like it buy it, if you don't, don't make excuses.
You are so right on with your last post and funny too lol. All this stuff about buying or leasing,make your best deal and do it for pete sake. Leases aren't good for to many people unless you can write it off your taxes anyway. We drive 20,000+ miles a year so a lease is out anyway. My decision is comming from a Ford Expedation (my wifes car) to an Azera,We drove one and liked it. My question is can we down size safety wise (people here in central California drive like total iditos) and do I want to go foreign from US built? I hope we can start talking about the Azera itself and get past the pricing issue.
AMEN
It turns out that if you disconnect the battery ALL memory settings (radio pre-sets, seat pre-sets and even some other controls like the sunroof) must be re-set. That is absurd. It would certainly be cheap enough to have a "backup" battery for basic memory settings (they are not huge power drains and it would only be used for when the core battery was disconnected.) Actually, at the extreme (and would not expect it on a car at this price level) the VW Phaeton (attempt at Lexus/Mercedes S competitor) had TWO batteries in the car....one of which was devoted exclusively to the starter and the other one was dedicated to all of the other "stuff"....so if you left your headlights on etc. you could still start the car!!
a.) If the buyout price WAS, in fact, higher than reality, you can walk and the manufacturer eats the loss (GM had a lot of this in the later 90's to push their "iron")....OR you can offer to then buy the car at lease end for the "real" market value....and again it is the manufacturer who eats that gap....OR
b.) If the depreciation has turned out to be better than expected (improving reputation, desirable car etc...which happened with SUVs for a while)...then you can always exercise your option and buy the car at under or at market.
You can NOT make general statements about whether leasing or owning is better as the tax status, nature of the lease offer and owner's own objectives must all be factored into the equation (not to mention the attempts of many dealerships to use leasing to obfuscate their real profit!!) The very low APR, high residual-value, subsidized leases often turn the tide and make a lease a VERY attractive situation.
Thanks,
cn