Howdy, Stranger!

It looks like you're new here. If you want to get involved, click one of these buttons!





Howdy, Stranger!

It looks like you're new here. If you want to get involved, click one of these buttons!

Did you get a great deal? Let us know in the Values & Prices Paid section!
Meet your fellow owners in our Owners Clubs

Car Buying Advice--Ford Explorer XLT w/ Leather in NJ

callybistrocallybistro Posts: 3
edited September 2017 in Ford
Little Help? 2017 XLT for $39,500 with a $2k trade in and $1,000 down. Deprec of 53.4% and MF of .0025. 3 year/12K. My numbers are showing $538/momth. Dealer offered $448/month. What am I missing?

Answers

  • kyfdxkyfdx Posts: 117,412
    edited September 2017

    Little Help? 2017 XLT for $39,500 with a $2k trade in and $1,000 down. Deprec of 53.4% and MF of .0025. 3 year/12K. My numbers are showing $538/momth. Dealer offered $448/month. What am I missing?

    What is the MSRP?
    FWD or AWD?
    Adjusted CAP cost?
    Residual is always a full percentage of MSRP, not fractional.
    It's not a money factor of .0025, it's 0.25% APR (that's very different)

    Did you get a good deal? Be sure to come back and share!

    Edmunds Moderator

  • MSRP: $44835
    AWD
    Adjusted Cap Cost: $36,835
    Residual: 53%
    APR is 6% 6 divided by 2400 is .0025 (is how I understood it at least).

    Thanks so much for your help.
  • kyfdxkyfdx Posts: 117,412

    MSRP: $44835
    AWD
    Adjusted Cap Cost: $36,835
    Residual: 53%
    APR is 6% 6 divided by 2400 is .0025 (is how I understood it at least).

    Thanks so much for your help.

    That's where the disconnect is, and why your calculation is so high.

    The APR is not 6%, it's 0.25%.
    Divide by 2400, and you'll get a money factor of .00010 or .00011.

    Re-do your calculations with the correct money factor, and it should match up (or, at least be close)

    Did you get a good deal? Be sure to come back and share!

    Edmunds Moderator

  • that makes more sense. thanks so much for your explanation.
Sign In or Register to comment.