Car Buying Advice - Are these good deals and which is better?

mc_shirt

Are these good deals and which is better?

A3 Prem+ with Tech Package. MSRP $42,370. Residual 54%. MF .0034. $415 per month. $2800 to walk out the door (it includes first month).

A3 Prem with Cold Weather, Convenience, and 18" wheels. MSRP $38,320. Residual 54%. MF .0034. $379 per month. $2800 to walk out the door (includes first month).

Buying in NJ for license in NY.

Thanks!

mc_shirt

Are these good deals and which is better?

ChaseBellows

Hi @mc_shirt Thanks for reaching out to Edmunds! Right off the bat, I can tell you that the Premium Plus is the better deal here out of the two. You're getting a $4,000 more expensive vehicle for only $35 per month. Typically, you can add $25-$30 per each thousand per month on a 3 year lease.

I'm assuming these are 10k a year leases at the 54% residual. MF is spot on at 0.00034. Audi has a $1,000 rebate on both trim levels. My best guess is they're coming very close to TMV here at $4,000 off the vehicle plus the $1,000 off from Audi. I came up with a payment of $405 so give or take a few hundred on the discount, but it seems like a fair deal and one that's much better than the regular Premium model. As long as the fees are in line with what they should be, it sounds like a solid deal!

mc_shirt

Thanks. Yes, it's 10k/36. Fees are an estimated $210 for registration, $399 for "documentary changes" ($237 Clerical and $162 Document and $162 Document Transmittal) $50 for processing Out of State DMV, and $895 for Bank/Acquisition fee. Is that reasonable?

Also a few questions:

How did you come up with $405?

What do you come up with when you plug the numbers in for the Premium model?

What is TMV?

Does the fact that NY State needs the tax up front affect the monthly cost of the lease?

Thanks again.

ChaseBellows

Thanks for your reply! Our Edmunds TMV (True Market Value) is an average price of what people are paying for that vehicle in your area.
I read NY so I went off of those figures, but NJ will inflate the price a little bit since the doc fee is higher ($75 in NY vs. $399 here). These "Hard Numbers" help get the estimated payment a little more in line as we are going off of averages based on a zip code( I threw in a random NY and NJ zip code for the estimate). Based on your new figures, I got $412 per month. That means that this dealer is giving you the TMV plus the Audi $1,000 rebate for a total of $5k off. Sounds great! The fees are plenty reasonable for NJ.

The Premium and Premium Plus have the same money factor and residual, so it's just a difference of the cost in vehicle. I don't think they're discounting quite as much on the Premium as they are the Plus because with the same discount as the Plus, the payment is $350. This one is about $1,000 less off based on my calculation, for a total of $4,000 off. I'd personally go for the Plus but the budget ultimately dictates that. If you pay the tax up front, it will definitely not alter the payment itself as you're paying for the taxes separate. Hope that helps!

mc_shirt

Thanks a ton for this! How did you calculate to get to $412 per month?

It sound like both are decent deals, but the Prem Plus is the better deal. (Of course I want to be BELOW average )

ChaseBellows

You're welcome! I used your numbers and threw them in the calculator. Since we don't have spots for a few of the fees, I just added some of the values in addition to come to the same result. Check that out on our lease calculator below. If you prefer to do it manually, check out our formula on the second link!

https://www.edmunds.com/calculators/car-lease.html

https://www.edmunds.com/car-leasing/calculate-your-own-lease-payment.html