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

raycee

Unfortunatley these vehicles are not leasing well and have now become worse. I was waiting and hoping that they were going to come down as the "newness" wore off but unfortunately they went up in lease pricing. I have decided to lease another vechicle because of this.

CarMan@Edmunds

Hi farhanindc. Mercedes-Bez Financial's February buy rate lease money factor and residual value for a 36-month lease of a 2012 ML350 4Matic with 15,000 miles per year are .00191 and 56%, respectively for consumers who qualify for its top credit tier.

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CarMan@Edmunds

Hi rob524. Mercedes-Benz Financial's March buy rate for the 2012 ML350 is .00191 for all terms. The 10,000 mile per year residual values for this truck are 65% for 30 months and I believe 33 months and 59% for 36 months.

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CarMan@Edmunds

Hi ssabagh. Mercedes-Benz Financial's current buy rate for the 2012 ML350 is .00191 for consumers who qualify for its top credit tier.

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beerad75

Car man

What is the rate & residual for 30, 33 & 36 months for a 2012 Mercedes ML350? Thanks so much!!

ssabagh

ML350 4matic
Msrp $59355
MF 0.00191
30 month
64% residual
12k a year
Inception only. No money down
Includes $769 maintanace
Montly pay including 7% FL tax $ 789
Is it good or still can lower it more?

Thanks

CarMan@Edmunds

Hi beerad75. Mercedes-Benz Financial's normal buy rate lease money factor and residual value for a 30-month lease of a 2012 ML 350 4Matic with 15,000 miles per year are .00191 and 62%, respectively for consumers who qualify for its top credit tier.

The numbers for a 33-month lease would be the same. The numbers for a 36-month lease would be .00191 and 56%.

The last time I checked, Mercedes-Benz Financial provided a .00110 money factor reduction for one-pay leases.

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mbtex

Car_man,
I am in a rush to get a ML350 Bluetec and the dealer is telling me that the money factor for Bluetec is significantly higher than 0.00191. He is offering $3,500 off MSRP (lower than a lot of people on this forum are getting) so I'm not comfortable paying even more on the money factor.
Isn't the money factor the same for Bluetecs? Also, what are residuals for 30 and 36 months leases?
Thank you much,
Alex

dallasman

Hey Alex, I'm in the exact same boat as you. The Money Factor on the diesels is .00225, but the residual is also higher at 60% on a 36 mo. lease. I'm getting about the same discount as you are indicating. Are you in Texas?

mbtex

Yes, I am. Is the .00225 money factor the buy rate from MBFS? I think there is room for a bigger discount. The reason why they probably will not offer more is because they are offering tax credits. What is interesting is that there are close to no diesels in town but it's full of them in other parts of the country; and no xenon lights -:(

dallasman

That is the buy rate. Tax credits certainly help. Are they giving you full tax credits? They are charging me 1.5%. And you are right~ no diesels.

mbtex

I didn't get to negotiate the tax credits yet but in the past, I was charged 1.5%. I need to convince them to lower the money factor first and then maybe I can squeeze another $1,000 from the sales price. Since you are in Dallas, I did find some there but not with the options/ colors I would like. Trying to decide between a deal and a car I like...

dallasman

I'm somewhat resigned to fact that a gas version is going to be the better deal. While I like mileage and torque of diesal, the economics and vehicle selection still favor gas, which is unfortunate. The 30 month leases on gas seem particularly compelling, with a .00191 money factor and 62% residual.

nuttyprofessor

Car-man, could use your response here, and thanks so much in advance.

Lease:
2012 ML350, gas, black.

p1
running boards
heated steering wheel
0 down
NJ tax
$595 total/month / 30 months / 10K miles

How is this deal?

rahulg

Hello
Can you pls share the name of dealership and salesman you are dealing with. Would be a great help as I am also trying to work out a lease today.

Thanks
Rahul

dallasman

Are you in Dallas?

rahulg

I used to be in dallas but moved to NY 6 mths back.

dallasman

Carman,
Can you post lease rates for April for 30 month and 36 month lease at 15k year on gas and diesel? thanks!!

ang8

I'd like the know the dealership and salesguy for Mercedes in Dallas as well. Please post. Thanks

carlos777

Hey, I'm in market for same terms for ML350. I'm In Kansas City area - Columbia, St louis, Wichita also works. What part of country did you get this quote? Thanks

CarMan@Edmunds

Here's the information that you're looking for, dallasman. Mercedes-Benz Financial's April buy rate lease money factor and residual value for a 30-month lease of a 2012 ML350 4Matic with 15,0000 miles per year are .00191 and 62%, respectively for consumers who qualify for its top credit tier.

The numbers for an otherwise identical 36-month lease are .00191 and 56%.

Mercedes isn't providing any lease support on the diesel right now. If you want to lease one through MB Finance you will have to use its standard lease money factor. The residual for a 30-month, 15k lease of a '12 ML350 Bluetec is 65%. The 36-month resid is 60%.

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dallasman

Thank you for the information. After much haggling and time, I think I've squeezed all of the blood out of this proverbial turnip. Let me begin by saying that there are some very unscrupulous dealers and that they will not hesitate to take advantage where they can. My deal isn't super, but it is fair and is the best I could do given the fact they had to ship the car from out of state. Here it is:

ML350 BLUETECH
MSRP: $57,740
MAINTENANCE PLAN: $1,465 (this gets residualized, making it worthwhile)
ORIGINAL MF:.00225
MINUS 10 SECURITY DEPOSITS: (.0007)
MINUS TIER 0 MF CREDIT: (.0003)
MINUS AUTO PAY MF CREDIT: (.0001)
NET MF: .00115
USAA DISCOUNT: $3,000
TAX CREDITS APPLIED TO REDUCE SALES TAX TO 1.5%
TOTAL CASH TO DRIVE OFF (INCLUDING 1ST MONTH PAYMENT): $2,500
MONTHLY PAYMENT (15k/year): $634.40

Frankly, we had just started negotiating assuming a $2,500 and all of my numbers had assumed that drive off. I completely forgot to reduce that to $0, which would have made my payments $708. That was a mistake because if I total the car, I will lose that money. However, overall, I'm pretty satisfied with the outcome. I'm sure I could have done better, but I did want the dealer to be satisfied too. I highly recommend the Iphone app "Ileasemycarpro". Let me know if you have any questions/comments. Glad to lend a hand. This forum is fantastic.

otello1

Looks good Dallasman. How long was the lease? Also, what are all those minus credits? For example, sales tax credit? How do you reduce a sales tax? And auto pay credit, tier and 10 security deposits? I only thought there might be one security deposit, not 10. I really don't understand these things and what they are. You also assumed a cash down of $2500 as cost reduction beyond the USAA credit off MSRP. But then you say it was a mistake. Did you put nothing down? Thanks for the details, I just don't understand them.

dallasman

Mercedes allows you to put down up to 10 security deposits. Each security deposit will reduce your money factor by .00007. So, with 10, my MF reduced by .0007. After you make application, Mercedes financial will also reduce MF for excellent credit (dealers won't tell you this, as they prefer to keep the savings). Lastly, if you agree to have the payments automatically withdrawn from your account, the MF gets reduced. All of these reductions reduced my MF to .00115, which is equivalent of 2.76% interest on a lease (pretty strong).

Tax credits are unique to Texas, as far as I know. Essentially, MB Financial allocates to dealers and allows them to use tax credits to reduce sales tax from 6.25% to 1.5%. Other makes, like Infiniti and Lexus, often times can reduce your sales tax to 0. BMW will reduce to 0 if you to a single payment lease. I have never leased a car without tax credits.

The $2,500 drive off (including first month payment) was just an oversight by me. You should never pay a cap reduction. You will lose that money if you are in an accident and car is totalled. That is why multiple security deposits are preferred - you would get security deposits back. I was simply in a hurry at document signing and forgot to ask for the last minute change (which was my intent).

dallasman

By the way, the math on the multiple security deposits worked out on my deal like this: $6,500 in security deposits saved me $65 per month on my payment. So, 1% per month return on my $6,500.

A guaranteed 12% return on my money is something that I would do all day long. I only wish I could have done more.

otello1

Thanks Dallasman, that is great information.

CarMan@Edmunds

You're very welcome dallasman. The money factor that you were quoted looks great. That's about as low as you are going to get on a diesel ML right now. I think that you did fine. Enjoy your new ride :shades: !

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mbtex

Car_man,
do you know if the residuals and the money factors are the same in May for the ML350 Bluetecs?
Thank you much

njcars2

Hi Car Man -

What are the Money Factors and Residuals for a 10k mile lease for the ML-350 gas version on 30 and 36 month leases?

If I were to purchase a demo or executive model with low mileage (1-2000 miles) how does it affect the lease? Does it change the purchase price? residual value? or both? Should my lease payments be significantly different than if I bought one w/ no mileage?

Thanks in advance!

dallasman

I can't speak to May's MF's, but with regard to the demo or executive model, Dealers can lease such as "new cars", which means same economics apply. I was quoted on a "brass hat" car with 5k miles. All the same lease terms applied, except they were able to get very aggressive on pricing since they can essentially sell at a used car price. For example, I was quoted on a $64k MSRP and they were willing to sell for $57k. They then were willing to apply USAA against that $57k price. The lease residual was based on original MSRP. So, this made for a very competitive lease.

The lease would still be for 45k miles. They would just start the clock at 5k miles and expire at 50k miles.

CarMan@Edmunds

Hi mbtex. I believe that the ML350 Bluetec's lease program is indeed the same in May as they were in April.

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CarMan@Edmunds

Hello njcars2. Mercedes-Benz Financial's May buy rate lease money factor and residual value for a 30-month lease of a 2012 ML350 4Matic with 15,000 miles per year are .00191 and 62%, respectively for consumers who qualify for its top credit tier.

The numbers for an otherwise identical 36-month lease are .00191 and 56%.

Good question about the demo. Demos are still eligible for new vehicle programs, but it may have an impact upon the residual. It certainly should change your purchase price. You should be able to negotiate a lower selling price on a demo that already has mileage on it than you would be able to on an equivalent brand-new model. If the selling price is lower, then the lease payment should be lower as well.

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njcars2

Thanks for the info carman. What is the residual and MF on a 30 year 10,000 mile lease for the ML-350?

gt2k6

65% and .00191.

otello1

Is 65% and .00191 what Mercedes is using for the lease special they have going on until the end of May? How is this "special" May lease incentive different from what they normally offer?

mbtex

Dallasman,
congratulations on obtaining a fantastic money factor! I have been calling dealers in Texas for over a month and nobody wanted to go below 0.00275, even with excellent credit, claiming that they have to mark it up because they are offering tax credits; they were offering $2,500 off the MSRP (maybe another $1,000 as conquest) but the increased money factor on a car like yours would have cost an additional $1,600 in finance charges.

Based on your numbers and considering the $3,000 USAA credit, they discounted the car by $1,600 (and they might have included here the conquest credit if it did apply to you). Overall, it is an excellent deal!

So I decided to drop the idea of tax credits (and dealing with greedy Texas dealers) and I bought the car South of NY:

ML350 BLUETEC
MSRP: $58,320
Maintenance: $1,465 (this gets residualized, making it worthwhile)
Offered Sales Price: $56,165 ($54,700 + $1,465)
Conquest Credit: $1,000
MBFS Incentive: $1,000
Final Sales Price: $54,165 ($5,620 below MSRP)

Original MF:.00236 (they marked it up for a $1,300 profit)
Minus 10 Security Deposits 10x0.0007: (.0007)
Minus Auto Pay: (.0001)
NET MF: .00156
Full Sales Tax: 6.25%= $3,450
TOTAL CASH TO DRIVE OFF (INCLUDING 1ST MONTH PAYMENT): $5,250 - this is equivalent to yours if we subtract the sales tax difference which is $2,620)
Monthly payment (for 15k/year): $648.

And, like you I put $6,500 in security deposits with them for a 1% monthly return.

Our deals are very similar, we just got there in different ways...

dallasman

Fabulous! I know that the dealers are more stingy on the tax credits during the first half of the month and typically are more aggressive during second half of month when pressure is on (at least that's what my dealer told me). If anyone else in texas is looking for a deal, let me know and I will make an introduction.

MBTEX, isn't the car great?! We are just smitten with it, and the gas mileage is unbelievable (21mpg avg).

One thing that I have recently learned that hacked me off -- my maintenance plan only covers 3 years 30k miles. I thought it was the 4 yr. 40k miles. I wish I had caught that!

peterjh

Hi All,

I'm in a market to purchase 2012 ML350.

I know there are two incentives, $1000 conquest and $1000 for MB loyalty. Do you know if both incentives can be combined together?

So far, I have received an offer @48,000 for with P1 and running board. Is this a good deal?

pilldoc

I thought conquest and loyalty were on e and c class only ..Not on ML anyone care to confirm ?

CarMan@Edmunds

You're very welcome njcars2. The money factors are the same for all mileage allowances. Mercedes-Benz Financial's 10,000 mile per year residual values are 3% higher than its 15,000 mile per year residuals.

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CarMan@Edmunds

Hello otello1. Mercedes-Benz Financial's current lease program is scheduled to run through May 31st. That doesn't necessarily mean that it will definitely change in June, just that it might.

The May lease special isn't any more "special" than what Mercedes has been offering on the ML for a while now. I personally wouldn't worry about missing out on any great deal by waiting if you're not ready to lease now. Of course I have to add the disclaimer that is is very difficult to predict what automakers will do with their future incentives programs and I am only making an educated guess about what will happen.

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CarMan@Edmunds

Hi peterjh. I have only seen the conquest offer on the ML, I haven't heard anything about the loyalty. That doesn't mean that the loyalty doesn't exist on the ML, it's possible that Mercedes-Bend made a mid-month enhancement that I didn't hear about.

Typically, conquest and loyalty cash incentives cannot be combined on the same vehicle...but again I don't know for certain because I haven't seen anything about loyalty on the ML.

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pilldoc

Car man, there is a website listing ML350 4matic mf as .00155........http://www.ridewithg.com/index.php/2012/05/2012-mercedes-benz-leas- e-rates-may-2012/

i see it posted here as .00191.....is this site legit? did mf go down ?

njcars2

For our new ML-350, 63 percent residual value, o0.0015 MF with additionial reduction to 0.0014 with autopsy from checking.

pmover

In the market for a ML 350 in the AZ area.

What would be the residual value, MF for a ML 350 with P1?

Thanks

pmover

Can u provide more details on the area, MSRP, invoice and final per month lease rate?

Trying to finalize my lease on a bluetech.

pilldoc

Any word on June 2012 mercedes ml350 money factors/ residuals or other incentives?

njcars2

MSRP $56,185
purchase price $49,500
no money down, no security deposits
monthly $588.97 before sales taxes, $638 w/ sales tax

Good luck on your purchase!

CarMan@Edmunds

Hi pmover. Mercedes-Benz Financial's June buy rate lease money factor and residual value for a 36-month lease of a 2012 ML 350 with 15,000 miles per year are .00150 and 54%, respectively for consumers who qualify for its top credit tiers.

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CarMan@Edmunds

Hi pilldoc. Mercedes-Benz Financial's June buy rate lease money factor and residual value for a 36-month lease of a 2012 ML 350 4Matic with 15,000 miles per year are .00150 and 54%, respectively for consumers who qualify for its top credit tier.

There's some $1,000 conquest certificates out there on the ML, other than that, there isn't any cash incentives on leases of it.

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