2013 and earlier Volkswagen GTI Lease Questions

CarMan@Edmunds

Hi everyone. Please use the following discussion to post any questions that you have about leasing a Volkswagen Golf. Thanks.

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roundie

Is the current lease for the 2005 Golf GTI good? The numbers are:
36 Month Term
$219 Monthly Payment
$1250 Down Payment
$575 Acquisition Fee
$225 Security Deposit
12000 Annual Mileage
$2269 due at signing

CarMan@Edmunds

Hi roundie. Yes, Volkswagen's lease program on the 2005 Golf GTI is fairly attractive this month. VW is using a money factor of .00038, which is equivalent to an interest rate of less than 1%, to arrive at this payment. Furthermore, Volkswagen is providing a $500 bonus on leases of this car through VW Credit this month. I suspect that if you shop around a little bit you will be able to beat the selling price that this lease is based upon by a little bit, lowering this car's monthly payment even further.

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roundie

Thanks, Car_man! That's exactly what I wanted to hear! Now, I just have to work on the purchase price!

CarMan@Edmunds

You're very welcome, roundie. Let me know if you have any other questions and if you wouldn't mind stopping back I'd love to hear how everything turns out.

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herbie53

Hey Car_Man -

Any new leasing programs popping up for November? I have an Accord now i leased 3 years ago with a great rebate option, and hoping to get a Golf with payments cheaper than the 280 I pay now for the accord. What are my chances?

Thanks for the input!

Herbie53

CarMan@Edmunds

Hey Herbie53. That's a good question. My initial reaction is that it is probably unlikely that you would be able to lease a 2006 VW Golf for less than you leased your Honda Accord for several years ago, but the only way to tell for certain is to do some calculations. If you let me know the exact trim level Golf you want, its full MSRP, approximate selling price, how long you want to lease it for, and how many miles per year you need to be able to drive it I can estimate what this car's payment should be using VW Credit's current lease program.

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dl7265

2006 GTI DSG 24 and 36 month MF and residual please ? 12 and 15 K miles if avaiable thanks.

DL

CarMan@Edmunds

Hi dl7265. If you were to lease a 2006 Volkswagen Golf GLS TDI through VW Credit right now for 36 months with 15,000 miles per year, its buy rate lease money factor and residual value should be .00286 and 56%, respectively. The money factor for a 12,000 mile per year lease would be the same, but the residual value would be 2% higher.

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dl7265

Thank you Sir. That GTI is a 2.0 Turbo charged gas motor. Don't know if thats any difference from the Diesel or not.

Thanks again,
DL

CarMan@Edmunds

You're welcome, dl7265. Oops sorry about that, the diesel does have a different lease program than the 2.0T. If you were to lease a 2006 Volkswagen GTI 2.0T through VW Credit right now for 36 months with 15,000 miles per year, its buy rate lease money factor and residual value should be .00215 and 55%, respectively.

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dl7265

Thank you so much for your quick replys as usual.

DL

CarMan@Edmunds

No problem, dl7265. I;m glad that I was able to help you out. Let me know if you have any other questions.

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stvnhrt

hi this is a question regarding a 2006 GTI with zero options except the 18 inch rims 36/12k,
Is 350 a month and 1000 down a good deal?

ericw2

Hello, Car_man. I live in the Seattle area, and I'm thinking hard about leasing a new 2006 GTI 2.0T with manual transmission, Package 1, and mats. What is the current VW money factor for the lowest-mile-per-year 24 month lease? I have excellent credit, so please provide the lowest rate. Also, what is the current residual on that lease? Finally, are there any special deals I should know about? Any incentives?

Thank you very much for your help.

lostinatl

Hi all, I have a 02 Passat GLS w/ 2 months left on the lease, its got a some damage to it, had a couple minor accidents, (probably around 2k worth of damage) and was looking at leasing the new 2.0GTI MkV w/ package #1, manual trans.
Went to 1 dealership in the Atlanta area, and was offered $499 w/ no money down for 36 month lease, which seemeed alramingly high. Just got an internet quote from another dealer who offered 360/36 months, and 326/48 months, no money down. (Both are 12k milesper year) I assume the 1st guy was just trying to rob me, but wanted to know if anyone knew if the 309/month offer on Edmunds is still being offered since both offers were above the one listed on the site. I know turning my car in w/ the damage is going to bump my pmt up, but both of those quotes are w/out looking at my curent car

bdubb123

Is the current offer of $309/mo 36mos(good through 3/31) for a base manual GTI actually a good deal? What will the payments be for the same car after the deal has expired? I looked into the offer and there doesn't seem to be any real discount off the MSRP.

CarMan@Edmunds

Hi stvnhrt. You never mentioned the selling price or MSRP of the car that you are interested in leasing. These are important numbers for you as a consumer to know for two reasons. First, the selling prices of leased vehicles can be negotiated, just as if you were paying cash for them. Without knowing this car's selling price in relation to its MSRP you don't know how much of a discount you are getting on it. The second reason is that one needs the selling price and MSRP, including the destination charge, of a vehicle to calculate its lease payment. I would be more than happy to give you my opinion of this deal if you let me know what these numbers are.

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CarMan@Edmunds

Hello ericw2. If you were to lease a 2006 Volkswagen GTI 2.0T through VW Credit right now for 24 months with 12,000 miles per year, its buy rate lease money factor and residual value should be .00215 and 57%, respectively. VW is not currently providing any cash incentives on leases of GTI 2.0T models, other than $500 loyalty cash for returning owners and lessees.

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CarMan@Edmunds

Hi lostinatl. Volkswagen is still advertising the 2006 GTI 2.0T with manual transmission at $309 per month for 36 months with a $1,250 down payment. Like most manufacturers' advertised lease payments, I suspect that a smart shopper who is in an area where there is a decent level of competition would probably be able to lease a car for a little less than this by negotiating a lower selling price than the one that the ad is based upon.

You never mentioned the selling price or MSRP of the car that you are interested in leasing. These are important numbers for you as a consumer to know for two reasons. First, the selling prices of leased vehicles can be negotiated, just as if you were paying cash for them. Without knowing this car's selling price in relation to its MSRP you don't know how much of a discount you are getting on it. The second reason is that one needs the selling price and MSRP, including the destination charge, of a vehicle to calculate its lease payment. I would be more than happy to give you my opinion on the deal that you were quoted if you let me know what these numbers are.

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CarMan@Edmunds

Greetings bdubb123. Like most manufacturers' advertised lease payments, I suspect that a smart shopper who is in an area where there is a decent level of competition would probably be able to lease a car for a little less than this by negotiating a lower selling price than the one that the ad is based upon. It is difficult to say what Volkswagen's April lease program for this car will be like at this point. I suspect that it will try to maintain a similar lease payment on this car, but a lot will depend upon how well it sells in March. If the GTI has a good month, VW might ease off on its support and if it has a bad month VW might crank up its support a little bit.

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subiedubie

Car_M

Can you please work mine up for 36 and 39 and 48 mos-12,000 mi per yr.?
ZERO down-roll all charges into lease----but I'd like to know what those charges are---breakdown. Money factors and residuals, too.

2006 GTI MKV
6-SPEED MANUAL
PKG. 2
18" HUFFHEISEN WHEELS/TIRES

MSRP=$26,530
I can buy for: $23,500
Both include dest.

I'm in Newark, DE

Many thanks~!

lostinatl

Thanks for reply Car_man. I couldnt wait, (and may have paid for it), but I got the new GTI for 350/month 12k per year, no money down, $782 due at sign for tax/title/etc... I had 2 months left on my current Passat lease at 340/month along w/ about $500 in damages to the body. The price of the car was 22k, w/ sirius radio, and the 18inch rim and manual trans
I figure w/ the damage to my car,the last 2 payments remaining, and not putting any money down, the deals not too bad, but always feel like the dealership is high fiving each other like the realtors in the "Money Pit" after they sell the house to Tom Hanks and Shelly long lol

edit: I will say the car is a blast to drive, and lots of fun blowing thru the 6 speed manual tranny

trdmatrix88

Looking to lease a 2006 GTI MkV DSG with an MSRP of $23,695 (hopefully I could get it for 2% above invoice and I'll be putting $1500 down, so after all that I would get it for $21,066). I know its longer than most but I was looking to lease for 5 years (60 months) so I wanted to get some insight on the residual percentage and the money factor for this car and this lease term from VW credit.

irebound

The dealer quoted me for a GTI MkV 6 speed with package 2 and 18" wheels lease for 48 months 12k per year

"MSRP of the GTI $26,530.00--selling price $23,790.00 +tax,tittle,lic.,and fees. The residual is 50%, the money factor is .00248"

is this a good deal?

CarMan@Edmunds

Excellent choice, subiedubie. The latest object of my desire is the Volkswagen GTI. It's a neat car. I was at the press days for the New York Auto Show this week and VW had a cool display for it, complete with a man-size "Fast." I need to get one of those things :shades: . If you were to lease a 2006 Volkswagen GTI 1.8T through VW Credit right now for 36 months with 12,000 miles per year,, its buy rate lease money factor and residual value should be .00140 and 55%, respectively. The numbers for an otherwise identical 48 month lease of this car should be .00186 and 48%. Using these numbers, an MSRP of $26,530 and a selling price of $23,500, I estimate that this car's zero down, pre-tax monthly payments should be around $301 for 36 months and $292 for 48 months. If you opt to have your car's security deposit waived, which I personally would not do, the money factors that are used to calculate this car's lease payment would be .00015 higher. You can either add VW Credit's $575 acquisition fee into your car's cap cost, pay it at signing, or have it waived in exchange for a .00060 money factor increase.

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CarMan@Edmunds

You're welcome, lostinatl. Congratulations on your new car! Enjoy it (it's a good one so I know you will).

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invaliduser

Car_man, I think you quoted 1.8T money factors and residuals by accident. Your suggestions on the security deposit and the acquisition fee are golden. Are these numbers (acq and sec deposit) the same on the 2.0T?

Thanks,
IU

CarMan@Edmunds

Hi trdmatrix88. You definitely should not lease a car for 60 months. That's way too long. A lot can change in your life to cause you to need to get out of your car before the scheduled end of a five year lease...and doing so is almost always expensive. Your family situation could change causing you to need a larger vehicle, your commute could change causing you to go way over your mileage allowance, you could just plain get sick of your car, etc... Not to mention the fact that the interest rates for a 60 month loan would be more than double the rates for a 36 month or even a 48 month lease. In fact, I'm not even sure if VW Credit leases vehicle for 60 months. I've never seen any information on 60 month leases through it.

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CarMan@Edmunds

Hi irebound. The selling price that you were quoted for this car looks reasonable to me, and the money factor looks good as well. If you like the car, and I don't see how you couldn't , you may want to go ahead with this deal. For additional feedback on this selling price, make sure to stop by the following discussion: "Volkswagen GTI: Prices Paid & Buying Experience".

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rowflyrs

Hi Car Man, I am interested in leasing a 2006 GTI. Dealer quoted me a cost of $25,870? What should be the present residual on this car? Is it negotionable? He quoted me with $2200 down and 415/month for 36 months, 10,000 miles per year. :mad: I realize that this well above market, where should the monthly payments range? Thanks.

jpierce26

Hi Car_man,

I hope you are well. Glad to see you are still around... You helped me a couple years ago with my VW. I think it is time for me to ask for some more help.

I am looking at the 2006 VW GTI with option #2 and NAV. Looks like the MSRP is about $27,580 (Base, Dest, Package #2, NAV)

The dealer I have been working with is giving me $300 over invoice off the bat, didn't need to negotiate anything. This makes the car cost me $25,646.

What would the MF and residual be for a 3 year lease. I tried to use some of your other numbers above, but not sure if they are correct for this month. I have .57 and .00215 which makes a $390.17 payment.

Can I assume those numbers or are there updated numbers?

Thanks,

JP

racerx00

Hello Car_Man, you are a hero to car buyers everywhere!

Well me anyways..

This is the deal my dealer is giving me on an '06 GTI MK V w/ Package 2 and no additional goodies:

MSRP: 25,780
Price: $25,100
Money down: $1250 (+tax and DMV)
Term: 36 Month/12k a year
Money: 0.00215
Residual: 54%
Monthly Payments: $339

How am I doin here? He seems to be pretty confident I wouldn't be able to get better numbers elsewhere. Thanks Car_Man!

CarMan@Edmunds

Hi rowflyrs. If you were to lease a 2006 Volkswagen GTI 1.8T through VW Credit right now for 36 months with 10,000 miles per year, its buy rate lease money factor and residual value should be .00140 and 55%, respectively. Neither of these items are negotiable, but make sure that the dealer you are working with does not mark your car's money factor up to add additional hidden back-end profit to your deal. I would be happy to calculate what this car's lease payment should be for you, but in order for me to do so I need you to provide me with its full MSRP (with the destination charge added in). Let me know and I'll do some calculations.

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CarMan@Edmunds

Welcome back jpierce26. $300 over invoice is a great price for this car. If you were to lease a 2006 Volkswagen GTI 1.8T through VW Credit right now for 36 months with 15,000 miles per year, its buy rate lease money factor and residual value should be .00140 and 52%, respectively.

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CarMan@Edmunds

Thanks racerx00 . You aren't getting much of a discount on this car. Have you tried shopping around a little to see if any other dealers in your area are willing to give you a better deal? I would if I was in your shoes. Also, this car's June money factor is much lower than the one that you were quoted for May. If you were to lease a 2006 Volkswagen GTI 1.8T through VW Credit right now for 36 months with 12,000 miles per year, its buy rate lease money factor and residual value should be .00140 and 54%, respectively.

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timdaog

This is what the dealer gave me today:

Car: 2006 GTI 2.0L w/ pkg 2, 18" wheels, candy white, transaction to be in linden, new jersey
Price: $26,534
Lease: 36 month, 15k miles
Down Payment: $7500 (trade-in of 2001 GTI VR6 w/ 76k miles
good to fair condition)
Monthly Payment: $288

Using the lease calculator I estimated the money factor and residual value to be 0.003 and 54% respectively.

Is this a good deal? Any more info needed please let me know. Thanks.

Tim

vwvw1

I'm interested in leasing a 2006 Golf and would like to know the MF and Residual for 3yr/12k, 3yr/10k and 3yr/15k. Since it's the older body style anyone know what kind of pricing I can expect? Are there any rebates/incentive? The MSRP is $20,600 and invoice is $19,200.

Thanks in advance!!

jperedo

Hello!
Would you happen to know the money factors for the individual VW credit tiers?
Also, what combination of credit score and income is required for each?

CarMan@Edmunds

Hi Tim. You definitely should not make such a large down payment when leasing. If your leased GTI (sweet car by the way) is totaled in an accident or stolen and never recovered, your down payment essentially disappears. You can still trade in your current GTI if you want the convenience that doing so provides. Just have the dealer that you are working with cut you a check for it rather than using the proceeds as a capitalized cost reduction for your lease.

I would be happy to give you my opinion of this deal, but it would be a big help if you would provide me with this car's full MSRP first. This number will show me how much of a discount you are being given on it and will enable me to use VW Credit's actual lease program to estimate what your monthly payment should be.

Speaking of VW Credit's lease program, if you were to lease an '06 GTI 2.0L through it right now for 36 months with 15,000 miles per year, its buy rate lease money factor and residual value should be .00198 and 54%. Make sure that you aren't being charged a money factor that is any higher than this.

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CarMan@Edmunds

Hello vwvw1. If you were to lease a 2006 Volkswagen Golf GLS 2.0L through VW Credit right now for 36 months with 15,000 miles per year, its buy rate lease money factor and residual value should be .00077 and 53%, respectively. This car's 12,000 miles per year residual value would be 2% higher and its 10,000 mile per year residual would be 3% higher (than the 15K residual). I don't believe that Volkswagen is providing any cash incentives on this car right now.

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CarMan@Edmunds

Hello jperedo. Volkswagen Credit's money factors vary depending upon the exact model that you want, how long you lease it for, and how many miles per year you are allowed to drive. If you provide me with this info I should be able to give you an idea of what its lease program is currently like for the model that you are considering.

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timdaog

Thanks Car_man for getting back to me. Unfortunately I could not control my urges and bit the bullet before your reply. I prob got a bad deal but I suppose u live and learn. Anyhow, I ended up putting down the trade-in as a capitalized cost ($7500). The agreed upon value was $25,810.15, which I am assuming is the MSRP. My monthly payments are $229.77 for 24 months and 15k miles a year.

Although I already went through the deal, your input would greatly help for future purchases. Thanks.

Tim

jjret

I would love your help.

I am looking at a 2006 Passat 2.0T. Package #1 and Cold Weather Pack. I am looking to lease, 36 m, 15 k p/y.

Thanks

CarMan@Edmunds

No problem, Tim. If you paid full MSRP for your car you didn't get a very good deal. There's no need to let the fact that the dealer you leased from made a couple extra hundred dollars on your deal ruin the wonderful experience of getting a new vehicle, especially one that is as awesome as the new GTI. You know for next time that it is important to negotiate the selling prices of leased vehicles. Hit the road with your Fast (I want one of those things ) and enjoy.

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timdaog

Thanks Car_man. I think it was a little under MSRP. At the time of signing he jacked the price up a few hundred. Kinda under-handed but looking at the big pic, the car is phenomenal...great to drive and earns many compliments

Next time I will be more aware when negotiating but for now I'm just going to enjoy my new purchase...

Tim

hpoohh

Hi Car_man,

First of all, i would like to appreicate your help on my last 2 leases (05 MBZ C230K and 06 Toyota Sienna). My best friend is interested in the VW 06 GTI or 06 Rabbit. Could you please provide the following info?

1. 06 GTI, money factor and residual for 36months 12k/15k
2. 06 Rabbit, money factor and residual for 36months 12k/15k
We are located in S.California just in case there is any special promotion going on.

I checked VW's site and seems like both cars are on promotion.

I will do my own calculation once you help me w/ the info requested. I think the Bank Fee is $525, right?

Last question, please advise if they have multiple security deposit program to lower down money factor.

Thank you again and keep up the good work.

jperedo

Hi Car_man

The 2.0 GTI is what I was looking at as well. Doesn't VW have different credit tiers with different money factors based on one's FICO and income?

storrnyc

Hello Mr car_man and all,

Please treat me with kid gloves as i try to understand the world of leasing.

The setting....My girlfriend currently has a 2003 jetta on a 48 month drivers option lease with only 5 monthly payments to go. This particular car has just less than 20K on the clock and has probably about $500 of bodywork that needs to be repaired(smashed side mirror and a couple of dents etc). She is paying $235 and the car has a buyout price of approx 10.6K.

The Options....We test drove both the GTI and the Rabbit. We were quoted monthly lease prices on both but personally i had no idea about the methodology of calculating these prices. The GTI came to about 475 for automatic with package 2 at approx 28K MSRP and the Rabbit we were quoted 270 a month for a 4 door with sunroof which came to approx 19.7 MSRP.

The workings....I believe that im understanding the methodology to calculate the lease price but the bit im finding difficult to understand is on what costs are upfront Vs what should be in the total capitalized cost. I think sales tax is the one that i seem to be getting conflicting advice from various websites and dealers. If and when i strike a deal in nyc or ny do i pay the total cost of the cars sales tax upfront or is it rolled into the cpaitalized cost? What about taxes titles etc?

When i do return the showroom ill most certainly be negotiating this cap cost down to whatever i can get but would also appreciate if you knew the current money factor and residual value on these two models...btw does the jetta gli have a better deal than these two right now? We are looking to have a deal fo either 24m/10K or 36m/10K.

Many Thanks for all your helping on this newbie question..

graff48

Car_man - my wife and I traded our leased 2003 GTI over the weekend, 4 months before the lease was over. The dealer gave us a trade-in value of $500 less than our purchase price quote from VCI. I read in our VW lease contract that the purchase price is only good for the leasee. Is it possible that VCI will charge the dealer more money than our stated purchased price? I should also note that we were 10,000 under our mileage allowance. The dealer made us sign a document stating that we would be responsible for any difference in price, but implied that it was only to cover cases where there were any outstanding late fees or miscalculated interest charges. Thanks.

CarMan@Edmunds

No problem, Tim. You certainly picked an outstanding car. If I didn't need to have a larger vehicle for my family right now I absolutely would consider getting a GTI.

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