Trying to make sense of these lease terms

Turzo999

The dealership in Texas is offering me 10% off msrp and 9900 lease credit on a money factor of 0.00066 for 3 years and 15K miles per year. When I plug in these numbers in various online lease calculators, I get monthly payment values about 300$ less per month than what the dealer estimates(see pictures of dealer estimates below). What am I doing wrong? Also I should add that another incentive the dealer is offering is 1% sales tax instead of the usual 6.25%.

Michaell

Turzo999 said:

The dealership in Texas is offering me 10% off msrp and 9900 lease credit on a money factor of 0.00066 for 3 years and 15K miles per year. When I plug in these numbers in various online lease calculators, I get monthly payment values about 300$ less per month than what the dealer estimates(see pictures of dealer estimates below). What am I doing wrong? Also I should add that another incentive the dealer is offering is 1% sales tax instead of the usual 6.25%.

So, you're only getting $600 off MSRP, then they are adding a package for $990? I think you can do better than that.

And the MF is marked up the max from the .00026 base rate.

Yes, the sales tax credits help - a lot - but there is still room to bring that payment down.

Turzo999

Help me understand where you are getting the value of 600$ from msrp. My understanding is the 10% off msrp brings it to from 105075$ to 94575$ and then when you factor in the 9900 lease credit, isnt that a good deal? Also, They told me that the 990$ package is optional.

@Michaell said:
So, you're only getting $600 off MSRP, then they are adding a package for $990? I think you can do better than that.

And the MF is marked up the max from the .00026 base rate.

Yes, the sales tax credits help - a lot - but there is still room to bring that payment down.

kyfdx

@Turzo999

This is an iX 50, correct?

For starters, the residual they quote along the top of the different mileage allowances is wrong. 36/15 residual is 50%, and the residual dollar amount they list is 52%.

If the line with $0 customer cash is accurate, you have to add the first payment back into the CAP cost.
Also, I don't see a line showing the 1% sales tax (about $950)

But, even making all those adjustments, I only come up with $1150/mo for 36/15 and $0 customer cash.
(vs. their $1330) A $180/mo. difference

The money factor markup is adding about $60/mo. to the payment, but you have other things to sort out, first.

The simplest explanation (since no tax is listed) is that the payment calculation includes the full 6.25% sales tax. (another $5000 or so in tax). That would put the payment pretty close to their quote.