2019 Volvo S60 Lease Deals and Prices

kyfdx

artashat said:

MF, residual and incentives for the following please

T5 Inscription
T6 AWD Inscription

12K/36, 98012 and 98424

Thanks

T5: .00025 MF and 54% residual
T6: .00077 MF and 56% residual

$2000 Volvo Allowance
$1750 lease bonus

yguhb567

Have been offered a lease deal 2019 S60 T6 AWD Inscription loaded (advanced package, luxury seat package, etc.) for 36 months, 18K/year, RV 54%, MF 0.00107 in zip 21401. Trading in 2015.5 S60 for $14K ($8K still owed). Is this a good deal?

Michaell

yguhb567 said:

Have been offered a lease deal 2019 S60 T6 AWD Inscription loaded (advanced package, luxury seat package, etc.) for 36 months, 18K/year, RV 54%, MF 0.00107 in zip 21401. Trading in 2015.5 S60 for $14K ($8K still owed). Is this a good deal?

What payment have you been quoted?

Generally, we don't recommend using trade equity as a down payment - just drive off costs, and get a check for the balance.

yguhb567

$500/month for 15K, $547/month for 18K.

qbrozen

yguhb567 said:

$500/month for 15K, $547/month for 18K.

wait... $6k down and $500/mo? Is this a Volvo Porsche 911??

yguhb567

qbrozen said:

yguhb567 said:

$500/month for 15K, $547/month for 18K.

wait... $6k down and $500/mo? Is this a Volvo Porsche 911??

Not sure what that means.

qbrozen

it means you could get a far nicer vehicle for that kind of money. What is the MSRP on this solid gold Volvo?

yguhb567

Michaell said:

yguhb567 said:

Have been offered a lease deal 2019 S60 T6 AWD Inscription loaded (advanced package, luxury seat package, etc.) for 36 months, 18K/year, RV 54%, MF 0.00107 in zip 21401. Trading in 2015.5 S60 for $14K ($8K still owed). Is this a good deal?

What payment have you been quoted?

Generally, we don't recommend using trade equity as a down payment - just drive off costs, and get a check for the balance.

$500/month for 15K, $547/month for 18K.

yguhb567

qbrozen said:

it means you could get a far nicer vehicle for that kind of money. What is the MSRP on this solid gold Volvo?

MSRP is $55,760.

qbrozen

An effective $667/mo on a $56k car is just plain awful.

yguhb567

qbrozen said:

An effective $667/mo on a $56k car is just plain awful.

This is helpful and appreciated. So what would be a good lease price?

yguhb567

yguhb567 said:

qbrozen said:

An effective $667/mo on a $56k car is just plain awful.

This is helpful and appreciated. So what would be a good lease price?

The Edmunds lease calculator (https://www.edmunds.com/calculators/car-lease.html) indicates this is a great deal, btw.

qbrozen

I did not realize the Edmunds calculator rates lease deals. Where are you seeing that?

Ok, let's try it this way ... is the MF for you supposed to be .00077? So they are marking it up to .00107? Is that correct? And you should be getting a $3750 total incentive, yes?

Backing everything into your payment, and I'm guessing at some of the fees, it looks like you are getting maybe a 6% dealer discount before incentive. Folks are seeing double digit discounts on these at this point.

yguhb567

qbrozen said:

I did not realize the Edmunds calculator rates lease deals. Where are you seeing that?

Ok, let's try it this way ... is the MF for you supposed to be .00077? So they are marking it up to .00107? Is that correct? And you should be getting a $3750 total incentive, yes?

Backing everything into your payment, and I'm guessing at some of the fees, it looks like you are getting maybe a 6% dealer discount before incentive. Folks are seeing double digit discounts on these at this point.

Appreciate all of this. Thank you. I've never leased before so I'm learning all of this in real time.

MF is 0.00107. That's equivalent to an interest rate of 2.568, which I thought was good given new car interest rates seem to be 3.0-4.0+ these days (I thought).

Residual percentage is 54%.

Lease term = 36 months. 15K miles/year.

Discount quoted so far is $6,910, so that's a ~12.39% dealer discount (off a $55,760 MSRP), if my math is right. Add that to the trade-in value ($6,000), total incentive is $12,910.

Total fees = $680. That does not include sales tax (6%).

So given all this, I'm calculating a monthly payment of $478.66 (includes sales tax) for 10K/year, which is close to their $500 price for $15K. That's why I didn't think $500 was that egregious. But like I said, I'm a rookie at this so looking to more experienced folks for guidance.

Michaell

yguhb567 said:

qbrozen said:

I did not realize the Edmunds calculator rates lease deals. Where are you seeing that?

Ok, let's try it this way ... is the MF for you supposed to be .00077? So they are marking it up to .00107? Is that correct? And you should be getting a $3750 total incentive, yes?

Backing everything into your payment, and I'm guessing at some of the fees, it looks like you are getting maybe a 6% dealer discount before incentive. Folks are seeing double digit discounts on these at this point.

Appreciate all of this. Thank you. I've never leased before so I'm learning all of this in real time.

MF is 0.00107. That's equivalent to an interest rate of 2.568, which I thought was good given new car interest rates seem to be 3.0-4.0+ these days (I thought).

Residual percentage is 54%.

Lease term = 36 months. 15K miles/year.

Discount quoted so far is $6,910, so that's a ~12.39% dealer discount (off a $55,760 MSRP), if my math is right. Add that to the trade-in value ($6,000), total incentive is $12,910.

Total fees = $680. That does not include sales tax (6%).

So given all this, I'm calculating a monthly payment of $478.66 (includes sales tax) for 10K/year, which is close to their $500 price for $15K. That's why I didn't think $500 was that egregious. But like I said, I'm a rookie at this so looking to more experienced folks for guidance.

The base MF is .00077, which means the MF has been marked up the equivalent of .72%.

Start there - tell the dealer you aren't signing anything until you get the base MF of .00077.

Second, your trade equity is not an incentive. It's as if you wrote the dealer a check for $6000.

If the total discount is $6910, and $3750 of that is incentive money, then the true discount is only $3160, or less than 6%. You want to target 10% off MSRP, before the incentives are applied.

Those two items alone will shave a significant amount off the monthly payment, and take an awful deal into a better than average one.

yguhb567

Michaell said:

yguhb567 said:

qbrozen said:

I did not realize the Edmunds calculator rates lease deals. Where are you seeing that?

Ok, let's try it this way ... is the MF for you supposed to be .00077? So they are marking it up to .00107? Is that correct? And you should be getting a $3750 total incentive, yes?

Backing everything into your payment, and I'm guessing at some of the fees, it looks like you are getting maybe a 6% dealer discount before incentive. Folks are seeing double digit discounts on these at this point.

Appreciate all of this. Thank you. I've never leased before so I'm learning all of this in real time.

MF is 0.00107. That's equivalent to an interest rate of 2.568, which I thought was good given new car interest rates seem to be 3.0-4.0+ these days (I thought).

Residual percentage is 54%.

Lease term = 36 months. 15K miles/year.

Discount quoted so far is $6,910, so that's a ~12.39% dealer discount (off a $55,760 MSRP), if my math is right. Add that to the trade-in value ($6,000), total incentive is $12,910.

Total fees = $680. That does not include sales tax (6%).

So given all this, I'm calculating a monthly payment of $478.66 (includes sales tax) for 10K/year, which is close to their $500 price for $15K. That's why I didn't think $500 was that egregious. But like I said, I'm a rookie at this so looking to more experienced folks for guidance.

The base MF is .00077, which means the MF has been marked up the equivalent of .72%.

Start there - tell the dealer you aren't signing anything until you get the base MF of .00077.

Second, your trade equity is not an incentive. It's as if you wrote the dealer a check for $6000.

If the total discount is $6910, and $3750 of that is incentive money, then the true discount is only $3160, or less than 6%. You want to target 10% off MSRP, before the incentives are applied.

Those two items alone will shave a significant amount off the monthly payment, and take an awful deal into a better than average one.

So, with 10% discount (off MSRP) + $3750 incentive + $6000 trade equity, and a MF of 0.00077, I should be looking at a monthly payment more like $400....? I'm calculating $381.40.

qbrozen

If you want to get tricky, use your trade equity toward MSDs (multiple security deposits) rather than cap cost reduction. The max 10 MSDs drops the base MF from .00077 to .00027.

Michaell

yguhb567 said:

Michaell said:

yguhb567 said:

qbrozen said:

I did not realize the Edmunds calculator rates lease deals. Where are you seeing that?

Ok, let's try it this way ... is the MF for you supposed to be .00077? So they are marking it up to .00107? Is that correct? And you should be getting a $3750 total incentive, yes?

Backing everything into your payment, and I'm guessing at some of the fees, it looks like you are getting maybe a 6% dealer discount before incentive. Folks are seeing double digit discounts on these at this point.

Appreciate all of this. Thank you. I've never leased before so I'm learning all of this in real time.

MF is 0.00107. That's equivalent to an interest rate of 2.568, which I thought was good given new car interest rates seem to be 3.0-4.0+ these days (I thought).

Residual percentage is 54%.

Lease term = 36 months. 15K miles/year.

Discount quoted so far is $6,910, so that's a ~12.39% dealer discount (off a $55,760 MSRP), if my math is right. Add that to the trade-in value ($6,000), total incentive is $12,910.

Total fees = $680. That does not include sales tax (6%).

So given all this, I'm calculating a monthly payment of $478.66 (includes sales tax) for 10K/year, which is close to their $500 price for $15K. That's why I didn't think $500 was that egregious. But like I said, I'm a rookie at this so looking to more experienced folks for guidance.

The base MF is .00077, which means the MF has been marked up the equivalent of .72%.

Start there - tell the dealer you aren't signing anything until you get the base MF of .00077.

Second, your trade equity is not an incentive. It's as if you wrote the dealer a check for $6000.

If the total discount is $6910, and $3750 of that is incentive money, then the true discount is only $3160, or less than 6%. You want to target 10% off MSRP, before the incentives are applied.

Those two items alone will shave a significant amount off the monthly payment, and take an awful deal into a better than average one.

So, with 10% discount (off MSRP) + $3750 incentive + $6000 trade equity, and a MF of 0.00077, I should be looking at a monthly payment more like $400....? I'm calculating $381.40.

We do not recommend using trade equity to buy down your payment. If the car is stolen or totaled, you lose that money.

Better, as @qbrozen points out, to use that cash to make multiple security deposits to lower the MF. That money you will get back at the end of the lease.

yguhb567

Michaell said:

yguhb567 said:

Michaell said:

yguhb567 said:

qbrozen said:

I did not realize the Edmunds calculator rates lease deals. Where are you seeing that?

Ok, let's try it this way ... is the MF for you supposed to be .00077? So they are marking it up to .00107? Is that correct? And you should be getting a $3750 total incentive, yes?

Backing everything into your payment, and I'm guessing at some of the fees, it looks like you are getting maybe a 6% dealer discount before incentive. Folks are seeing double digit discounts on these at this point.

Appreciate all of this. Thank you. I've never leased before so I'm learning all of this in real time.

MF is 0.00107. That's equivalent to an interest rate of 2.568, which I thought was good given new car interest rates seem to be 3.0-4.0+ these days (I thought).

Residual percentage is 54%.

Lease term = 36 months. 15K miles/year.

Discount quoted so far is $6,910, so that's a ~12.39% dealer discount (off a $55,760 MSRP), if my math is right. Add that to the trade-in value ($6,000), total incentive is $12,910.

Total fees = $680. That does not include sales tax (6%).

So given all this, I'm calculating a monthly payment of $478.66 (includes sales tax) for 10K/year, which is close to their $500 price for $15K. That's why I didn't think $500 was that egregious. But like I said, I'm a rookie at this so looking to more experienced folks for guidance.

The base MF is .00077, which means the MF has been marked up the equivalent of .72%.

Start there - tell the dealer you aren't signing anything until you get the base MF of .00077.

Second, your trade equity is not an incentive. It's as if you wrote the dealer a check for $6000.

If the total discount is $6910, and $3750 of that is incentive money, then the true discount is only $3160, or less than 6%. You want to target 10% off MSRP, before the incentives are applied.

Those two items alone will shave a significant amount off the monthly payment, and take an awful deal into a better than average one.

So, with 10% discount (off MSRP) + $3750 incentive + $6000 trade equity, and a MF of 0.00077, I should be looking at a monthly payment more like $400....? I'm calculating $381.40.

We do not recommend using trade equity to buy down your payment. If the car is stolen or totaled, you lose that money.

Better, as @qbrozen points out, to use that cash to make multiple security deposits to lower the MF. That money you will get back at the end of the lease.

Good call. How about this scenario:

MSRP: 58,490
Sales price: 52,490
MF: 0.00027 (after $6,000 MSDs)
Incentive: 9,399 (5,849 discount (10% of MSRP) + 3,500 rebates)
Res: 31,584.60 (54%)
36 mos/12K
Monthly payment: 380.39

Thoughts? Good?

Michaell

yguhb567 said:

Michaell said:

yguhb567 said:

Michaell said:

yguhb567 said:

qbrozen said:

I did not realize the Edmunds calculator rates lease deals. Where are you seeing that?

Ok, let's try it this way ... is the MF for you supposed to be .00077? So they are marking it up to .00107? Is that correct? And you should be getting a $3750 total incentive, yes?

Backing everything into your payment, and I'm guessing at some of the fees, it looks like you are getting maybe a 6% dealer discount before incentive. Folks are seeing double digit discounts on these at this point.

Appreciate all of this. Thank you. I've never leased before so I'm learning all of this in real time.

MF is 0.00107. That's equivalent to an interest rate of 2.568, which I thought was good given new car interest rates seem to be 3.0-4.0+ these days (I thought).

Residual percentage is 54%.

Lease term = 36 months. 15K miles/year.

Discount quoted so far is $6,910, so that's a ~12.39% dealer discount (off a $55,760 MSRP), if my math is right. Add that to the trade-in value ($6,000), total incentive is $12,910.

Total fees = $680. That does not include sales tax (6%).

So given all this, I'm calculating a monthly payment of $478.66 (includes sales tax) for 10K/year, which is close to their $500 price for $15K. That's why I didn't think $500 was that egregious. But like I said, I'm a rookie at this so looking to more experienced folks for guidance.

The base MF is .00077, which means the MF has been marked up the equivalent of .72%.

Start there - tell the dealer you aren't signing anything until you get the base MF of .00077.

Second, your trade equity is not an incentive. It's as if you wrote the dealer a check for $6000.

If the total discount is $6910, and $3750 of that is incentive money, then the true discount is only $3160, or less than 6%. You want to target 10% off MSRP, before the incentives are applied.

Those two items alone will shave a significant amount off the monthly payment, and take an awful deal into a better than average one.

So, with 10% discount (off MSRP) + $3750 incentive + $6000 trade equity, and a MF of 0.00077, I should be looking at a monthly payment more like $400....? I'm calculating $381.40.

We do not recommend using trade equity to buy down your payment. If the car is stolen or totaled, you lose that money.

Better, as @qbrozen points out, to use that cash to make multiple security deposits to lower the MF. That money you will get back at the end of the lease.

Good call. How about this scenario:

MSRP: 58,490
Sales price: 52,490
MF: 0.00027 (after $6,000 MSDs)
Incentive: 9,399 (5,849 discount (10% of MSRP) + 3,500 rebates)
Res: 31,584.60 (54%)
36 mos/12K
Monthly payment: 380.39

Thoughts? Good?

yguhb567 said:

Michaell said:

yguhb567 said:

Michaell said:

yguhb567 said:

qbrozen said:

I did not realize the Edmunds calculator rates lease deals. Where are you seeing that?

Ok, let's try it this way ... is the MF for you supposed to be .00077? So they are marking it up to .00107? Is that correct? And you should be getting a $3750 total incentive, yes?

Backing everything into your payment, and I'm guessing at some of the fees, it looks like you are getting maybe a 6% dealer discount before incentive. Folks are seeing double digit discounts on these at this point.

Appreciate all of this. Thank you. I've never leased before so I'm learning all of this in real time.

MF is 0.00107. That's equivalent to an interest rate of 2.568, which I thought was good given new car interest rates seem to be 3.0-4.0+ these days (I thought).

Residual percentage is 54%.

Lease term = 36 months. 15K miles/year.

Discount quoted so far is $6,910, so that's a ~12.39% dealer discount (off a $55,760 MSRP), if my math is right. Add that to the trade-in value ($6,000), total incentive is $12,910.

Total fees = $680. That does not include sales tax (6%).

So given all this, I'm calculating a monthly payment of $478.66 (includes sales tax) for 10K/year, which is close to their $500 price for $15K. That's why I didn't think $500 was that egregious. But like I said, I'm a rookie at this so looking to more experienced folks for guidance.

The base MF is .00077, which means the MF has been marked up the equivalent of .72%.

Start there - tell the dealer you aren't signing anything until you get the base MF of .00077.

Second, your trade equity is not an incentive. It's as if you wrote the dealer a check for $6000.

If the total discount is $6910, and $3750 of that is incentive money, then the true discount is only $3160, or less than 6%. You want to target 10% off MSRP, before the incentives are applied.

Those two items alone will shave a significant amount off the monthly payment, and take an awful deal into a better than average one.

So, with 10% discount (off MSRP) + $3750 incentive + $6000 trade equity, and a MF of 0.00077, I should be looking at a monthly payment more like $400....? I'm calculating $381.40.

We do not recommend using trade equity to buy down your payment. If the car is stolen or totaled, you lose that money.

Better, as @qbrozen points out, to use that cash to make multiple security deposits to lower the MF. That money you will get back at the end of the lease.

Good call. How about this scenario:

MSRP: 58,490
Sales price: 52,490
MF: 0.00027 (after $6,000 MSDs)
Incentive: 9,399 (5,849 discount (10% of MSRP) + 3,500 rebates)
Res: 31,584.60 (54%)
36 mos/12K
Monthly payment: 380.39

Thoughts? Good?

Much better structure to that deal. Is that an actual offer by the dealer, or your own math?

yguhb567

Michaell said:

yguhb567 said:

Michaell said:

yguhb567 said:

Michaell said:

yguhb567 said:

qbrozen said:

I did not realize the Edmunds calculator rates lease deals. Where are you seeing that?

Ok, let's try it this way ... is the MF for you supposed to be .00077? So they are marking it up to .00107? Is that correct? And you should be getting a $3750 total incentive, yes?

Backing everything into your payment, and I'm guessing at some of the fees, it looks like you are getting maybe a 6% dealer discount before incentive. Folks are seeing double digit discounts on these at this point.

Appreciate all of this. Thank you. I've never leased before so I'm learning all of this in real time.

MF is 0.00107. That's equivalent to an interest rate of 2.568, which I thought was good given new car interest rates seem to be 3.0-4.0+ these days (I thought).

Residual percentage is 54%.

Lease term = 36 months. 15K miles/year.

Discount quoted so far is $6,910, so that's a ~12.39% dealer discount (off a $55,760 MSRP), if my math is right. Add that to the trade-in value ($6,000), total incentive is $12,910.

Total fees = $680. That does not include sales tax (6%).

So given all this, I'm calculating a monthly payment of $478.66 (includes sales tax) for 10K/year, which is close to their $500 price for $15K. That's why I didn't think $500 was that egregious. But like I said, I'm a rookie at this so looking to more experienced folks for guidance.

The base MF is .00077, which means the MF has been marked up the equivalent of .72%.

Start there - tell the dealer you aren't signing anything until you get the base MF of .00077.

Second, your trade equity is not an incentive. It's as if you wrote the dealer a check for $6000.

If the total discount is $6910, and $3750 of that is incentive money, then the true discount is only $3160, or less than 6%. You want to target 10% off MSRP, before the incentives are applied.

Those two items alone will shave a significant amount off the monthly payment, and take an awful deal into a better than average one.

So, with 10% discount (off MSRP) + $3750 incentive + $6000 trade equity, and a MF of 0.00077, I should be looking at a monthly payment more like $400....? I'm calculating $381.40.

We do not recommend using trade equity to buy down your payment. If the car is stolen or totaled, you lose that money.

Better, as @qbrozen points out, to use that cash to make multiple security deposits to lower the MF. That money you will get back at the end of the lease.

Good call. How about this scenario:

MSRP: 58,490
Sales price: 52,490
MF: 0.00027 (after $6,000 MSDs)
Incentive: 9,399 (5,849 discount (10% of MSRP) + 3,500 rebates)
Res: 31,584.60 (54%)
36 mos/12K
Monthly payment: 380.39

Thoughts? Good?

yguhb567 said:

Michaell said:

yguhb567 said:

Michaell said:

yguhb567 said:

qbrozen said:

I did not realize the Edmunds calculator rates lease deals. Where are you seeing that?

Ok, let's try it this way ... is the MF for you supposed to be .00077? So they are marking it up to .00107? Is that correct? And you should be getting a $3750 total incentive, yes?

Backing everything into your payment, and I'm guessing at some of the fees, it looks like you are getting maybe a 6% dealer discount before incentive. Folks are seeing double digit discounts on these at this point.

Appreciate all of this. Thank you. I've never leased before so I'm learning all of this in real time.

MF is 0.00107. That's equivalent to an interest rate of 2.568, which I thought was good given new car interest rates seem to be 3.0-4.0+ these days (I thought).

Residual percentage is 54%.

Lease term = 36 months. 15K miles/year.

Discount quoted so far is $6,910, so that's a ~12.39% dealer discount (off a $55,760 MSRP), if my math is right. Add that to the trade-in value ($6,000), total incentive is $12,910.

Total fees = $680. That does not include sales tax (6%).

So given all this, I'm calculating a monthly payment of $478.66 (includes sales tax) for 10K/year, which is close to their $500 price for $15K. That's why I didn't think $500 was that egregious. But like I said, I'm a rookie at this so looking to more experienced folks for guidance.

The base MF is .00077, which means the MF has been marked up the equivalent of .72%.

Start there - tell the dealer you aren't signing anything until you get the base MF of .00077.

Second, your trade equity is not an incentive. It's as if you wrote the dealer a check for $6000.

If the total discount is $6910, and $3750 of that is incentive money, then the true discount is only $3160, or less than 6%. You want to target 10% off MSRP, before the incentives are applied.

Those two items alone will shave a significant amount off the monthly payment, and take an awful deal into a better than average one.

So, with 10% discount (off MSRP) + $3750 incentive + $6000 trade equity, and a MF of 0.00077, I should be looking at a monthly payment more like $400....? I'm calculating $381.40.

We do not recommend using trade equity to buy down your payment. If the car is stolen or totaled, you lose that money.

Better, as @qbrozen points out, to use that cash to make multiple security deposits to lower the MF. That money you will get back at the end of the lease.

Good call. How about this scenario:

MSRP: 58,490
Sales price: 52,490
MF: 0.00027 (after $6,000 MSDs)
Incentive: 9,399 (5,849 discount (10% of MSRP) + 3,500 rebates)
Res: 31,584.60 (54%)
36 mos/12K
Monthly payment: 380.39

Thoughts? Good?

Much better structure to that deal. Is that an actual offer by the dealer, or your own math?

My own math. Dealers are balking at 10% discount. They only want to give $3,500 rebates.

Michaell

yguhb567 said:

Michaell said:

yguhb567 said:

Michaell said:

yguhb567 said:

Michaell said:

yguhb567 said:

qbrozen said:

I did not realize the Edmunds calculator rates lease deals. Where are you seeing that?

Ok, let's try it this way ... is the MF for you supposed to be .00077? So they are marking it up to .00107? Is that correct? And you should be getting a $3750 total incentive, yes?

Backing everything into your payment, and I'm guessing at some of the fees, it looks like you are getting maybe a 6% dealer discount before incentive. Folks are seeing double digit discounts on these at this point.

Appreciate all of this. Thank you. I've never leased before so I'm learning all of this in real time.

MF is 0.00107. That's equivalent to an interest rate of 2.568, which I thought was good given new car interest rates seem to be 3.0-4.0+ these days (I thought).

Residual percentage is 54%.

Lease term = 36 months. 15K miles/year.

Discount quoted so far is $6,910, so that's a ~12.39% dealer discount (off a $55,760 MSRP), if my math is right. Add that to the trade-in value ($6,000), total incentive is $12,910.

Total fees = $680. That does not include sales tax (6%).

So given all this, I'm calculating a monthly payment of $478.66 (includes sales tax) for 10K/year, which is close to their $500 price for $15K. That's why I didn't think $500 was that egregious. But like I said, I'm a rookie at this so looking to more experienced folks for guidance.

The base MF is .00077, which means the MF has been marked up the equivalent of .72%.

Start there - tell the dealer you aren't signing anything until you get the base MF of .00077.

Second, your trade equity is not an incentive. It's as if you wrote the dealer a check for $6000.

If the total discount is $6910, and $3750 of that is incentive money, then the true discount is only $3160, or less than 6%. You want to target 10% off MSRP, before the incentives are applied.

Those two items alone will shave a significant amount off the monthly payment, and take an awful deal into a better than average one.

So, with 10% discount (off MSRP) + $3750 incentive + $6000 trade equity, and a MF of 0.00077, I should be looking at a monthly payment more like $400....? I'm calculating $381.40.

We do not recommend using trade equity to buy down your payment. If the car is stolen or totaled, you lose that money.

Better, as @qbrozen points out, to use that cash to make multiple security deposits to lower the MF. That money you will get back at the end of the lease.

Good call. How about this scenario:

MSRP: 58,490
Sales price: 52,490
MF: 0.00027 (after $6,000 MSDs)
Incentive: 9,399 (5,849 discount (10% of MSRP) + 3,500 rebates)
Res: 31,584.60 (54%)
36 mos/12K
Monthly payment: 380.39

Thoughts? Good?

yguhb567 said:

Michaell said:

yguhb567 said:

Michaell said:

yguhb567 said:

qbrozen said:

I did not realize the Edmunds calculator rates lease deals. Where are you seeing that?

Ok, let's try it this way ... is the MF for you supposed to be .00077? So they are marking it up to .00107? Is that correct? And you should be getting a $3750 total incentive, yes?

Backing everything into your payment, and I'm guessing at some of the fees, it looks like you are getting maybe a 6% dealer discount before incentive. Folks are seeing double digit discounts on these at this point.

Appreciate all of this. Thank you. I've never leased before so I'm learning all of this in real time.

MF is 0.00107. That's equivalent to an interest rate of 2.568, which I thought was good given new car interest rates seem to be 3.0-4.0+ these days (I thought).

Residual percentage is 54%.

Lease term = 36 months. 15K miles/year.

Discount quoted so far is $6,910, so that's a ~12.39% dealer discount (off a $55,760 MSRP), if my math is right. Add that to the trade-in value ($6,000), total incentive is $12,910.

Total fees = $680. That does not include sales tax (6%).

So given all this, I'm calculating a monthly payment of $478.66 (includes sales tax) for 10K/year, which is close to their $500 price for $15K. That's why I didn't think $500 was that egregious. But like I said, I'm a rookie at this so looking to more experienced folks for guidance.

The base MF is .00077, which means the MF has been marked up the equivalent of .72%.

Start there - tell the dealer you aren't signing anything until you get the base MF of .00077.

Second, your trade equity is not an incentive. It's as if you wrote the dealer a check for $6000.

If the total discount is $6910, and $3750 of that is incentive money, then the true discount is only $3160, or less than 6%. You want to target 10% off MSRP, before the incentives are applied.

Those two items alone will shave a significant amount off the monthly payment, and take an awful deal into a better than average one.

So, with 10% discount (off MSRP) + $3750 incentive + $6000 trade equity, and a MF of 0.00077, I should be looking at a monthly payment more like $400....? I'm calculating $381.40.

We do not recommend using trade equity to buy down your payment. If the car is stolen or totaled, you lose that money.

Better, as @qbrozen points out, to use that cash to make multiple security deposits to lower the MF. That money you will get back at the end of the lease.

Good call. How about this scenario:

MSRP: 58,490
Sales price: 52,490
MF: 0.00027 (after $6,000 MSDs)
Incentive: 9,399 (5,849 discount (10% of MSRP) + 3,500 rebates)
Res: 31,584.60 (54%)
36 mos/12K
Monthly payment: 380.39

Thoughts? Good?

Much better structure to that deal. Is that an actual offer by the dealer, or your own math?

My own math. Dealers are balking at 10% discount. They only want to give $3,500 rebates.

Then it's all academic, until you get an actual offer.

You may have to widen the scope of dealers to work with; how far are you willing to travel to get the right deal on the right car?

qbrozen

Scratching my head here.
How did you come up with $380/mo?? The only way that could happen is if you are putting down the $6k cap cost reduction PLUS $4k in MSDs for a total of $10k due at signing. I'm still not coming up with $380, though. Maybe you are forgetting the acq fee. In any case, putting up all that money would be silly.

On a $58,430 MSRP, here is what I am seeing:

$52641 sale price
-$3500 rebate
+$995 acq
+$680 doc/title fees
=$50,816 cap cost

.00027 MF after $6k MSDs
$31584.60 residual

50816-31584.60=$19,231.40 / 36 = $534.20/mo
+$22.25 rent charge
+$33.39 tax
=$589.84/mo

Michaell

qbrozen said:

Scratching my head here.
How did you come up with $380/mo?? The only way that could happen is if you are putting down the $6k cap cost reduction PLUS $4k in MSDs for a total of $10k due at signing. I'm still not coming up with $380, though. Maybe you are forgetting the acq fee. In any case, putting up all that money would be silly.

On a $58,430 MSRP, here is what I am seeing:

$52641 sale price
-$3500 rebate
+$995 acq
+$680 doc/title fees
=$50,816 cap cost

.00027 MF after $6k MSDs
$31584.60 residual

50816-31584.60=$19,231.40 / 36 = $534.20/mo
+$22.25 rent charge
+$33.39 tax
=$589.84/mo

All of this theorethical math doesn't mean anything.

OP needs to get a real quote from a real dealer on a real unit in stock, then we can parse the numbers

qbrozen

sure. but its good to have a target. better than letting THEM dictate the terms. I messaged OP a similar car with a 13% discount. Just sayin.

And, really, come tomorrow, its all moot.

yguhb567

qbrozen said:

sure. but its good to have a target. better than letting THEM dictate the terms. I messaged OP a similar car with a 13% discount. Just sayin.

And, really, come tomorrow, its all moot.

Here was my full hypothetical scenario:

MSRP: $58,490
Negotiated sales price: $52,490
Residual percentage: 54%
Money factor: 0.00027 (with $6K MSDs)
Lease term (months) 36
Fees $680
Incentive package: $9,399
Sales tax: 6%

Followed Edmund's "Calculate Your Own Car Lease Payment" step-by-step article (https://www.edmunds.com/car-leasing/calculate-your-own-lease-payment.html).

Step 1: residual value: $31,584.60
Step 2: gross capitalized cost: $53,170
Step 3: capitalized cost reduction: $9,399
Step 4: adjusted capitalized cost: $43,771
Step 5: depreciation amount: $12,186.40
Step 6: base payment (per month): $338.51
Step 7: rent charge (interest per month): $20.35
Step 8: pretax lease payment: $358.86
Step 9: total monthly payment (with sales tax): $380.39

But yes, this is all academic so therefore moot. I did it so I could dictate terms instead of the other way around, as @qbrozen points out. Very helpful in that respect.

Walked out of the dealer tonight because they were only giving me $7,910 total incentive package on a $55,760 MSRP, 0.00077 MF. Could only get as low as $476/month, and that required me to use my trade equity. Didn't feel like a great deal. I'm okay with it.

qbrozen

well, that's good. You are in control. And who knows? Maybe August will bring better numbers. If you can find yourself an ex dealer demo car, you can do even better.

Don't call your trade equity an incentive, though. At least not in front of the salesperson. Lol. And you wouldn't be able to use it for BOTH cap cost reduction and MSDs. If you are paying both, then you are coughing up $12k total. Definitely not a good idea.

Have you plugged your trade into carvana and vroom to see what they would offer for it?

Kokkomo

Hello happy August!

May I have MF residual and incentives for

T5 mom
T6 Mom
T6 rdes

24 or 36/10 in 33458

e_and_m

Please provide MF RV and incentives for

T5 Momentum, 36/15, 94109

The_Ziaave

Hello! Looking for August residuals/MF/incentives for:

T5 Inscription
T6 Inscription

Both 36/10, ZIP 64106

Michaell

Kokkomo said:

Hello happy August!

May I have MF residual and incentives for

T5 mom
T6 Mom
T6 rdes

24 or 36/10 in 33458

T5 MOM - .00047 and 61% / 56%
T6 MOM - .00079 and 64% / 58%
T6 RDES - .00077 and 60% / 57%

Total Cash of $2750 includes:
$750 VCFS Lease Bonus - SR - FL exp. 09/03/2019
$2000 Volvo Allowance exp. 09/03/2019

Michaell

e_and_m said:

Please provide MF RV and incentives for

T5 Momentum, 36/15, 94109

.00047 and 53%
Total Cash of $2750 includes:
$750 VCFS Lease Bonus - WR exp. 09/03/2019
$2000 Volvo Allowance exp. 09/03/2019

Michaell

The_Ziaave said:

Hello! Looking for August residuals/MF/incentives for:

T5 Inscription
T6 Inscription

Both 36/10, ZIP 64106

T5 INSC - .00025 and 55%
T6 INSC - .00077 and 57%

Total Cash of $3750 includes:
$1750 VCFS Lease Bonus - WR exp. 09/03/2019
$2000 Volvo Allowance exp. 09/03/2019

XC60_Buyer_1

Please provide August # for T6 momentum and inscription. Awd, 36/7.5k, 10036. Thanks

al111174

Hi, can I have the August MF and RV for T6 Rdesign and Inscription for 24/10K and 36/10K for 07626?
Also, can I have incentives?
Thx

kyfdx

XC60_Buyer_1 said:

Please provide August # for T6 momentum and inscription. Awd, 36/7.5k, 10036. Thanks

INSC: .00077 MF and 58% residual. $4000 Volvo Allowance
MOM: .00079 MF and 59% residual. $2000

kyfdx

al111174 said:

Hi, can I have the August MF and RV for T6 Rdesign and Inscription for 24/10K and 36/10K for 07626?
Also, can I have incentives?
Thx

INSC: .00077 MF and 62%/57% residual
RDES: .00077 MF and 60%/57% residual

$4000 Volvo Allowance

sanwilli

May I please have the RV and MF?

2019 Volvo S60 T5 Momentum FWD

36mo./15K

Zip 14610

Thank you!

snaider

May I please have the RV, MF and Incentives

2019 T6 R-Design 36/15K

Zip 11747

Thank you!

mastertrash

May I have the RV, MF, and Incentives for 2019 T6 Inscription, 36/12K for zip 53703 -- Thanks!

Michaell

sanwilli said:

May I please have the RV and MF?

2019 Volvo S60 T5 Momentum FWD

36mo./15K

Zip 14610

Thank you!

.00047 and 53%
$2000 incentives

Michaell

snaider said:

May I please have the RV, MF and Incentives

2019 T6 R-Design 36/15K

Zip 11747

Thank you!

.00075 and 57%
No incentives

Michaell

mastertrash said:

May I have the RV, MF, and Incentives for 2019 T6 Inscription, 36/12K for zip 53703 -- Thanks!

.00077 and 56%
$3750 incentives

firedome1

Am looking for residuals and money factor for 2019 S60 R-Design T6 AWD, 24/10K and 36/10K for zip 45202.
Also, any incentives. Thank you.

kyfdx

firedome1 said:

Am looking for residuals and money factor for 2019 S60 R-Design T6 AWD, 24/10K and 36/10K for zip 45202.
Also, any incentives. Thank you.

.00077 MF
60%/57% residual
$4000 Volvo Allowance

firedome1

Are there any conditions on the $4000 allowance? Thanks.

kyfdx

firedome1 said:

Are there any conditions on the $4000 allowance? Thanks.

For any purchase or lease

It is a Volvo-to-dealer incentive

qbrozen

For a friend...
36/15 for T6 Rdes, mom, and inscr in 08510, please!

The_Ziaave

Got the following offer from a dealer for a T5 Inscription 36/10 (numbers have been rounded slightly):

MSRP: $49,500
Negotiated Selling Price: $38,250*
Gross Capitalized Cost: $39,600 (Acquisition fee $1k, then dealer + govt fees)
Cap Cost Reduction: $1,100**
RV: 55%
Adjusted RV: 53.1%***
MF: .00025
Monthly Payment: $360
Monthly Payment + Tax: $390

*The dealer dodged my questions to break out the total discount into incentives, dealer discount, etc. I know that $3,750 of the ~$11k discount is from the incentives, though. They actually did write $38,250 as the negotiated selling price on the lease agreement.
**Equity from trade in
***This is a loaner car with ~4,500 miles, so my RV was reduced by around $900 (20 cents/mile)

A few questions:
-Should I be concerned that the incentives aren't listed in the cap cost reduction? The total discount is roughly what I was expecting, but that they didn't break the discount out makes me suspicious.
-Are there additional incentives that the dealer or I should receive for leasing a loaner car? I read somewhere else that Volvo gives up to a $2,000 allowance, depending on the number of miles the car has
-Is it generally better to use equity from a trade in to reduce cap cost, towards security deposits, or as a check written to me for the balance? The dealer was pushing me towards a cap cost reduction, and they pointed to the already low MF as their reasoning.

Michaell

qbrozen said:

For a friend...
36/15 for T6 Rdes, mom, and inscr in 08510, please!

Uh-huh. Sure. :laughing:

INSC - .00077 and 54%; $4000 incentives
MOM - .00079 and 55%; $2000
RDES - .00077 and 54%; $5000