2014 Audi S4 Lease Questions

kyfdx · June 2014

@emailbraddavis said:
If I put my $5000 toward MSD's as opposed to cap cost reduction, how will this effect my monthly payment?
At the end of the lease, I plan to sell the car and collect the equity. Does paying in to MSD's have any effect on that plan? Do I have to turn the car back to Audi to receive a refund?

Thanks!

The payment will be higher with MSDs, than with a CAP cost reduction, but the overall cost will be lower, because you get the MSDs back at lease end.

If you sell the car, the MSDs will lower the payoff by an equal amount, so you'll still realize the same amount of profit.

emailbraddavis · June 2014

what is the discount in MF for each MSD? How many can I do?

kyfdx · June 2014

@emailbraddavis said:
what is the discount in MF for each MSD? How many can I do?

I don't have current information on the Audi MSD program, but the last I saw... .00008 per deposit, up to 9 deposits, for a total discount of .00072.

Those programs seem to change every couple of years, so that might be old information.

briguy312 · June 2014

Are there any changes to the MF and Residual for June? I'm looking at a 2014 Audi S4 with 10K miles over 36 months. Thanks

Michaell · June 2014

@briguy312 said:
Are there any changes to the MF and Residual for June? I'm looking at a 2014 Audi S4 with 10K miles over 36 months. Thanks

Still waiting for the Audi numbers to arrive in our inbox ... sorry.

kyfdx · June 2014

@briguy312 said:
Are there any changes to the MF and Residual for June? I'm looking at a 2014 Audi S4 with 10K miles over 36 months. Thanks

.00051 MF and 56% residual for Premium Plus model.

briguy312 · June 2014

Thank you !!!

janesays19 · June 2014

Can you please comment on the deal below --

2014 S4 Premium Plus with Navi
36 months
10k/year

MSRP: 53,445
Invoice: 50,505
Sale Price: 49,315

$563/month
Residual: 56%
Money Factor: .00051

Closing costs:
$563(first month)
$695 acq fee
$400 plates
$1742.35 taxes (New Jersey)
$75 dealer doc fee

Total: $3,475.35

Thanks!

Michaell · June 2014

@janesays19 said:
Can you please comment on the deal below --

2014 S4 Premium Plus with Navi
36 months
10k/year

MSRP: 53,445
Invoice: 50,505
Sale Price: 49,315

$563/month
Residual: 56%
Money Factor: .00051

Closing costs:
$563(first month)
$695 acq fee
$400 plates
$1742.35 taxes (New Jersey)
$75 dealer doc fee

Total: $3,475.35

Thanks!

I can confirm the MF and residual match what I have. But, when I run the numbers, I get a pre-tax payment of $578.91. Not sure why my numbers are higher than the dealer quote.

jmg32 · June 2014

Hi guys, quick question. I'm looking at a '14 S4. Is the June MF still 0.00051? Is that what I can expect to pay in a good deal?

Michaell · June 2014

@jmg32 said:
Hi guys, quick question. I'm looking at a '14 S4. Is the June MF still 0.00051? Is that what I can expect to pay in a good deal?

S4 MF is .00051 for the month of June. I wouldn't sign any deal where that number has been increased by the dealer.

jmg32 · June 2014

Thanks!

glayfan40 · June 2014

@janesays19 said:
Can you please comment on the deal below --

2014 S4 Premium Plus with Navi
36 months
10k/year

MSRP: 53,445
Invoice: 50,505
Sale Price: 49,315

$563/month
Residual: 56%
Money Factor: .00051

Closing costs:
$563(first month)
$695 acq fee
$400 plates
$1742.35 taxes (New Jersey)
$75 dealer doc fee

Total: $3,475.35

Thanks!

Does the sale price include any sort of Audi incentives available for June (for P+ S4's) which include loyalty/conquest ($1000), and preferred equipment credit ($1500 for MMI+Side Assist, $1290 for just MMI)?

Thanks!

thelantern · June 2014

Can anyone give the MF and residuals for the Audi S4 Manual Prestige as of June 24th? This would be for 42 Months and 12K miles. Please assume pristine credit.

Also, for @Michaell, I would appreciate your comments on the following deal:

MSRP: 57225
Selling Price: 54650
Fees - 387
Tax - 5224
0 Money Down

Lease Payment @ 42 months and 12K miles: $926.

kyfdx · June 2014

@thelantern said:
Can anyone give the MF and residuals for the Audi S4 Manual Prestige as of June 24th? This would be for 42 Months and 12K miles. Please assume pristine credit.

Also, for Michaell, I would appreciate your comments on the following deal:

MSRP: 57225
Selling Price: 54650
Fees - 387
Tax - 5224
0 Money Down

Lease Payment @ 42 months and 12K miles: $926.

.00071 MF and 48% residual.

Michaell · June 2014

@thelantern said:
Can anyone give the MF and residuals for the Audi S4 Manual Prestige as of June 24th? This would be for 42 Months and 12K miles. Please assume pristine credit.

Also, for Michaell, I would appreciate your comments on the following deal:

MSRP: 57225
Selling Price: 54650
Fees - 387
Tax - 5224
0 Money Down

Lease Payment @ 42 months and 12K miles: $926.

The 42 month term hurts you with residual value - $900/mo seems quite expensive for a car with a sticker under $60K.

Using your MSRP and selling price with the MF and residual provided by my co-host, I calculate a pre-tax payment of $705.49.

thelantern · June 2014

@Michaell and @kyfdx‌ - you are both amazing. If I could trouble you with a few more follow up questions:

1) How confident can I be when bringing these base MF and residual numbers to the bargaining table? Are these official numbers?
2) What would the residual be for a 36 month lease for June? He gave me the monthly payment for that as well and it was $981.
3) It looks as if the dealer is making his margin on the interest (the consumer reports build of my car came out at a dealer invoice of $54420). While I want to get the best deal possible, I don't expect him to take zero margin on the car. What is a realistic MF to shoot for?

Michaell · June 2014

@thelantern said:
Michaell and kyfdx‌ - you are both amazing. If I could trouble you with a few more follow up questions:

1) How confident can I be when bringing these base MF and residual numbers to the bargaining table? Are these official numbers?

These numbers are from Audi Financial Services.

2) What would the residual be for a 36 month lease for June? He gave me the monthly payment for that as well and it was $981.

52% for 36/12. And, I misspoke earlier. The base MF for a 42 month lease is .00071 - .00051 is for leases up to 36 months in length.

3) It looks as if the dealer is making his margin on the interest (the consumer reports build of my car came out at a dealer invoice of $54420). While I want to get the best deal possible, I don't expect him to take zero margin on the car. What is a realistic MF to shoot for?

I would recommend not signing a deal with an inflated MF; rather, target a negotiated selling price at or just above invoice (I've heard that 6% off MSRP is a good number to shoot for). Don't worry about the dealer's margin; if they aren't making money on the deal, they won't agree to it.

thelantern · June 2014

Thank you both again!

john9969 · June 2014

My dealer is giving me the .00051 Mf but say the prem + residual is .55 for 12k miles and .53 for 15k - I thought it was .56?

kyfdx · June 2014

@john9969 said:
My dealer is giving me the .00051 Mf but say the prem + residual is .55 for 12k miles and .53 for 15k - I thought it was .56?

55%/53%.. that's what I have.. 1% higher if you purchase AudiCare maintenance

sweendogy · June 2014

Been on a lot of these pages and this is one of the best- thanks to moderators

john9969 · June 2014

This is an invaluable forum. My dealer is offering an S4 lease....MSRP of 56565. Negotiated price of 52518 including preferred equip and loyalty. I am paying taxes, tags, 695 acq fee plus 199 doc fee with trade. Monthly for 36 month, 12K miles with audi care is 639. This seems like a decent deal can you confirm that? Thanks

kyfdx · June 2014

With residual of 56% and base MF of .00051, I get $622.mo. That's close... Is the cost of AudiCare included in the 52,518 or is it added on?

john9969 · June 2014

It is added on.

kyfdx · June 2014

The numbers all add up.

john9969 · June 2014

"The numbers all add up."

Thank you. Prior to finding this forum leasing was a black box to me. I had no idea how numbers were developed nor a strategy for a good deal. You taught me a lot quickly by reviewing your prior comments and knowing the rates. I believe I got a solid deal because of your help....many dealers were giving me inflated MF numbers, bs...etc...and I was able to hone in to those that gave me the lowest MSRP and the lowest MF. Awesome so thanks.

I'll be trading in an 08 A4 Avant loaded for a sweet s4 tomorrow.....the dealer just needs to step up on the trade which they have said they will do.

kyfdx · June 2014

I'm glad we could help.. Enjoy the new car!

mcfuzz · June 2014

Hello,

I am looking at a fully loaded 14' premium plus 6 speed with mmi, sports diff, leather, black optics, side assist... the works.

I am being offered a sale price of $53,925 (MSRP is north of $57k) and the following conditions:

56% residual - $32,292.40
$7,500 DP
$550 / month payment including tax
36 month term
10K miles per year.

I believe the money factor is 0.000990... seems to be a bit high? This is in CA bay area.

Is it reasonable to ask for 0.00051 money factor, bring down the DP to 5K and do $550/month? I drove 18.5K miles on my current car in 30 months of ownership...

Any feedback will be appreciated.

Thanks!

Michaell · June 2014

@mcfuzz said:
Hello,

I am looking at a fully loaded 14' premium plus 6 speed with mmi, sports diff, leather, black optics, side assist... the works.

I am being offered a sale price of $53,925 (MSRP is north of $57k) and the following conditions:

56% residual - $32,292.40

$7,500 DP

$550 / month payment including tax

36 month term

10K miles per year.

I believe the money factor is 0.000990... seems to be a bit high? This is in CA bay area.

Is it reasonable to ask for 0.00051 money factor, bring down the DP to 5K and do $550/month? I drove 18.5K miles on my current car in 30 months of ownership...

Any feedback will be appreciated.

Thanks!

I would not sign a deal that includes an inflated MF. Base MF is .00051.

Also, I would recommend against any sort of cap cost reduction; if the car is stolen or totaled, you are out that money. Use the money instead to make MSDs to lower the MF.

With $0 down and the base MF, I calculate your pre-tax payment as $655 (residual is 56%)

mcfuzz · June 2014

@Michaell said:
With $0 down and the base MF, I calculate your pre-tax payment as $655 (residual is 56%)

Thanks for the input. I did some additional digging and the dealer now offered the following:

$6K down, .00051 MF, $565ish per month @ 36 months with 56% residual.

I see that MSDs have been recommended cap reduction -- how does that work and how does it affect monthly payments?

Thanks!

Michaell · June 2014

@mcfuzz said:

each security deposit is in the amount of the base payment, rounded up to the next $25. each security deposit then reduces the MF by .00008. the lower MF then reduces your payment - and, that money is returned to you at the end of the lease

mcfuzz · June 2014

@Michaell‌ -- these MSDs don't count towards cap reduction, correct?

I also heard that they collect interest, like a CD... Is that true?

Thanks!

Michaell · June 2014

@mcfuzz said:
Michaell‌ -- these MSDs don't count towards cap reduction, correct?

I also heard that they collect interest, like a CD... Is that true?

Thanks!

MSDs are used instead of cap cost reduction ... by lowering the borrowing cost, you lower the payment.

And, since you get that money back at the end of the lease, there is a time value of money at play. The deposits themselves don't earn you interest.

mcfuzz · June 2014

@Michaell said:

Pardon for the barrage of questions -- I am just trying to get myself as educated as possible.

Let's assume that in order for me to get payments down to $550 a month, I need to put $5000 down on a lease. If, instead of dropping $5K, I put $3K in security deposits, does that mean that theoretically I need to drop just $2K in down payment to get to that $550/month number?

Thanks again for all your help.

Michaell · June 2014

@mcfuzz said:
Thanks again for all your help.

Not necessarily. It's not wise to put any money down on a lease - if the car is stolen or totaled you are out that money.

But, I do understand wanting to be at a specific payment, so some sort of cap cost reduction will be necessary above the MSDs to get there.

neversatisfied · July 2014

Any changes for July S4 lease rate? Info on the 2014, or if you have it 2015s as well,

I am looking for premium plus, 36 month, 15k miles a year

Michaell · July 2014

@neversatisfied said:
Any changes for July S4 lease rate? Info on the 2014, or if you have it 2015s as well,

I am looking for premium plus, 36 month, 15k miles a year

2014 - .00032 and 52%

2015 - .00140 and 56%

neversatisfied · July 2014

Great, thanks!

zose · July 2014

Can you tell me what the current rates are on a 2014 S4 Premium Plus 36 month 10k per year.

Thank you

Michaell · July 2014

@zose said:
Can you tell me what the current rates are on a 2014 S4 Premium Plus 36 month 10k per year.

Thank you

55% and .00032

zose · July 2014

Thank you!

tke743 · July 2014

@Michaell said:
2015 - .00140 and 56%

Do you happen to have the MF and Residual for 2015 for Prestige and 12k/year? Thank you.

Michaell · July 2014

@tke743 said:

2015 S4 Prestige 36/12 - .00140 and 55%

parris69 · July 2014

What do you guys think about this offer:

2015 S4 Premium Plus w/ Nappa, Navi, B&O, Rear differential, Side Assist, 19" wheels, Carbon inlays, Monsoon color.

$1667 down (includes 1st mo payment)
12k miles / yr
36mo lease
Residual 57%
MF 0.00140
Payments come out to $852 / mo (includes taxes)

Net cap cost 56,701.70
Gross cap 59,201.70
1k in rebates

To me it seems high compared to what other people are getting?

Thanks!

Michaell · July 2014

@parris69 said:
What do you guys think about this offer:

2015 S4 Premium Plus w/ Nappa, Navi, B&O, Rear differential, Side Assist, 19" wheels, Carbon inlays, Monsoon color.

$1667 down (includes 1st mo payment)
12k miles / yr
36mo lease
Residual 57%
MF 0.00140
Payments come out to $852 / mo (includes taxes)

Net cap cost 56,701.70
Gross cap 59,201.70
1k in rebates

To me it seems high compared to what other people are getting?

Thanks!

What state is this in? Some states - Texas, Illinois, Georgia - tax the entire purchase price rather than the monthly payment, making the payments much higher.

What is the MSRP?

The good news is that the base MF is being used.

parris69 · July 2014

Hey Michaell, thanks!

It's in Colorado, dealers quote $59,000
Audi website same car $57,750

Retail price $59000
Sales price $58000
Savings $1000
Proc/doc fee $499.50
Government fee $7.20
Acquisition fee $695
Gross Cap cost $59,201.70
Rebate $1000
Cash Down 1,500
Net Cap Cost 56,701.70

Michaell · July 2014

@parris69 said:
Hey Michaell, thanks!

It's in Colorado, i don't see the MSRP on the dealers quote but on Audi's website if I build the same car it comes out to $57,750

Edit: Actually on the quote it says:

Retail price $59000 (why is msrp on audiusa.com 57,750??)
Sales price $58000
Savings $1000
Proc/doc fee $499.50
Government fee $7.20
Acquisition fee $695
Gross Cap cost $59,201.70
Rebate $1000
Cash Down 1,500
Net Cap Cost 56,701.70

If I use $57,750 as the MSRP and $56,701.70 as the net cap cost with the 57% residual and .00140 MF, I get a pre-tax payment of $786.14 for 36 months.

As I also live in Colorado, I know sales tax is applied based on where you live - it's 7.9% for me - so the dealer quote of $852 isn't that far out of line.

Given that this is a 2015, I wouldn't expect much of a discount from sticker, so not much room to save money there. You can check into using MSDs to reduce the MF and save you a bit of money each month.

parris69 · July 2014

Thanks Michaell!

I just got an email from the dealer saying that he used a MF of .00190 but 58% residual...

Any advice on what I should do?

Not sure why or how it got changed from .00140 and 57% to 58% and .00190

Michaell · July 2014

@parris69 said:
Thanks Michaell!

I just got an email from the dealer saying that he used a MF of .00190 but 58% residual...

Any advice on what I should do?

Not sure why or how it got changed from .00140 and 57% to 58% and .00190

Seems like they could be using a different finance company other than AFS. Residual value cannot be modified by the dealer. MF, on the other hand, can be marked up for extra profit.

Confirm your lease term and miles per year with the dealer as well.

2014 Audi S4 Lease Questions

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