Car Buying Advice-2017 Acura RDX AWD Advanced

gramesmith

This is the first time I am planning to lease, and visited the local Acura dealership yesterday and here is the quote with tax rate of 8.25% for 2017 Acura RDX AWD Advanced 7500 miles per year 36 months, the salesperson said it is another $15 per month for 10K miles.

Destination fee is $975 and there is no dealer acquisition fee.

Market Value - $44795
Dealer Discount - $3108
Vehicle Price - $41687
Accessories - $540
Total - $42227

Lease Incentives - $1000 (applies only for the lease)

Monthly Payment with taxes (I think the destination fee is included in the lease payment)-

$3000 down - $537.96
$5000 down - $477.41
$7000 down - $416.87
$10000 down - $326.05

Purchase Option Amount - $26,877 (is this the residual value?)

I believe the monthly payment is really high. Could you someone offer me a suggestion on what I should bargain for?

kyfdx

.00119 MF and 60% residual for 36/7.5K (59% for 36/10)
$1250 dealer cash + $1500 bonus lease cash

First, destination is on the MSRP, just like an option. But, it shouldn't be part of any other calculations. Selling price is selling price. You wouldn't quote a selling price and then say, "oh, another $3000 for the Advance package". Same thing for destination.

Also, the acquisition fee is $595, and you can be sure that's added somewhere.

They've thrown a lot of numbers around, but it's hard to see exactly what is included and what isn't. As noted above, there is $2750 of total incentives on this model.
You need the adjusted CAP cost. This includes the selling price, minus any incentives, plus any additions (acquisition fee, accessories, etc). It's analogous to the "amount financed" on a loan.
Don't put any money upfront, except first payment and DMV fees.
$26,877 is the residual
Keep in mind that accessories aren't residualized and you pay the full cost over the life of the lease.

Which state is this?

Example: With 5% off MSRP, minus the $2750 incentives, adding the $595 acquisition fee and the $540 in accessories, results in an adjusted CAP cost of $40,940. 36/7.5 payment would be $471/mo.+tax, with just first payment and DMV fees upfront. 36/10 adds $12/mo.+tax. Take whatever mileage allowance you need. Miles are more expensive at lease end.

kyfdx

gramesmith said:

kyfdx said:

Illinois taxes the payment, but collects all the tax upfront, so that amount should be in the adjusted CAP cost, as well. Assume about $1400-$1500 in tax, total.

I am looking for $0 down, and first month dealership payment. Could you recommend me the ideal price I should ask for?


In the example above, and with $1500 added in for tax (estimating), adjusted CAP cost of $42,440, the 36/10 payment would be $527/mo.
Just first payment and DMV fees at lease signing (less than $1000).

gramesmith

kyfdx said:

.00119 MF and 60% residual for 36/7.5K (59% for 36/10)
$1250 dealer cash + $1500 bonus lease cash

First, destination is on the MSRP, just like an option. But, it shouldn't be part of any other calculations. Selling price is selling price. You wouldn't quote a selling price and then say, "oh, another $3000 for the Advance package". Same thing for destination.

Also, the acquisition fee is $595, and you can be sure that's added somewhere.

They've thrown a lot of numbers around, but it's hard to see exactly what is included and what isn't. As noted above, there is $2750 of total incentives on this model.
You need the adjusted CAP cost. This includes the selling price, minus any incentives, plus any additions (acquisition fee, accessories, etc). It's analogous to the "amount financed" on a loan.
Don't put any money upfront, except first payment and DMV fees.
$26,877 is the residual
Keep in mind that accessories aren't residualized and you pay the full cost over the life of the lease.

Which state is this?

Example: With 5% off MSRP, minus the $2750 incentives, adding the $595 acquisition fee and the $540 in accessories, results in an adjusted CAP cost of $40,940. 36/7.5 payment would be $471/mo.+tax, with just first payment and DMV fees upfront. 36/10 adds $12/mo.+tax. Take whatever mileage allowance you need. Miles are more expensive at lease end.

Thank you for the detailed answer. This is the quote from Illinois.

kyfdx

Illinois taxes the payment, but collects all the tax upfront, so that amount should be in the adjusted CAP cost, as well. Assume about $1400-$1500 in tax, total.

gramesmith

kyfdx said:

Illinois taxes the payment, but collects all the tax upfront, so that amount should be in the adjusted CAP cost, as well. Assume about $1400-$1500 in tax, total.

I am looking for $0 down, and first month dealership payment. Could you recommend me the ideal price I should ask for?

gramesmith

kyfdx said:

Illinois taxes the payment, but collects all the tax upfront, so that amount should be in the adjusted CAP cost, as well. Assume about $1400-$1500 in tax, total.

Hello,
I am reading that Illinois changed this rule recently.

http://www.chicagotribune.com/classified/automotive/ct-rides-1225-illinois-autolease-tax-20141222-story.html

Will this change the payment to $471+taxes?

kyfdx

gramesmith said:

kyfdx said:

Illinois taxes the payment, but collects all the tax upfront, so that amount should be in the adjusted CAP cost, as well. Assume about $1400-$1500 in tax, total.

Hello,
I am reading that Illinois changed this rule recently.

http://www.chicagotribune.com/classified/automotive/ct-rides-1225-illinois-autolease-tax-20141222-story.html

Will this change the payment to $471+taxes?

That story is over two years old... already happened.