Lease Questions - Ask Here

dpriwin · May 2003

CarMan:
I wish more people in the industry shared your enthusiasm and great attitude. Thanks for the help.

You mention that BMW Financial Svces allows to make up to 9 additional security deposits. Can you provide details on how that works?
Thanks again for all the guidance.

2003help · May 2003

New Leasee
Has anyone leased an Altima 2.5 out there for 230 to 250 a month. My wife has tried to explain and show me in the newspaper that now is the time to get one. With 1500 to 2000 down is there an Altima for that, she seems to think so.
Need some help

lponz7 · May 2003

I am in a city with only one BMW dealer. I went in and negotiated a cap cost of about $100 below Edmunds TMV on a 325i sedan (2003). That was fine. When I asked for MF and acqusition fee, I discovered they marked up the former by about 100 basis points and the latter by $200. Sales manager argued that they had to pay the salary of their finance person. I asked would they sell the car if I wrote a check today for the cap cost we agreed on. The answer was "yes," to which my response was "then how will you pay for that finance person"?

Anyway, I ripped up my deposit check check and walked out. Guess what? Next day I receive a call that they'll accept BMW Fin. Servs. base money factor and the standard $525 for the acquisition fee. I ordered the car.

Two morals to this story: (1) thank goodness for this forum, and (2) stick to your guns.

Happy motoring!

nas43 · May 2003

Hey Iponz7, what city is this dealer in? I got the exact same type of response. The dealer quoted me a MF of .0019. When I told him the base MF should be .0015, he called me back and said the finance people have to make a profit too. Maybe that's what BMW trains all their sales managers to say!

rodwilliams · May 2003

Could you please calculate the payment as well. Thanks in advance.

MSRP W/Options: 62,033

CAP COST: 57,249

Term: 36 Months

State: Virginia

CarMan@Edmunds · May 2003

Hi natived. Well, if you have to return to the dealership to sign a new, lower contract that reflects a new residual value, in order for your payments to remain the same, something else has to change as well. This is because the lower a vehicle's residual value is, the higher its monthly payments will be. In order for you to keep this same lease payment, the dealership has to either lower the price that they are charging you for this vehicle, or lower its lease money factor (the interest rate that you are being charged). The latter is impossible unless they marked up this vehicle's base money factor in order to add additional hidden profit to your deal. The bottom line is, be very careful when you go back to the dealer. Make sure to read and understand every single document that they make you sign. You always have the option to refuse to sign a new lease and give the car back. Of course, if you traded a car or truck in, this could get complicated.

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CarMan@Edmunds · May 2003

Hey kbolton. Infiniti has already terminated their lease support on the 2003 QX4. If you were to lease this car through Infiniti Financial Services now, you would have to use its standard lease money factors. This truck's lease program is already fairly unattractive and it will only get worse as time passes. Fortunately, in lieu of this lease support, Infiniti dealers were paid $3,250 closeout cash on any 2003 QX4s that they have left in inventory. This money should help anyone who is in the market for one negotiate a pretty attractive price. In order to lease one, you actually may be better off using the dealer cash to negotiate a low price and then lease it through a bank other than IFS. I am not sure what Infiniti has planned for the QX4, but I have heard rumors that it will go away now that Infiniti has the FX35 and FX45. If this is the case and there is no 2004 version of this truck, the supply of QX4s will probably be pretty low by the time that August rolls around.

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CarMan@Edmunds · May 2003

Thanks for the compliments, dpriwin. I would be happy to tell you about BMW's multiple security deposit program. BMW allows consumers to put up to 9 security deposits on a leased vehicle Each additional security deposit decreases the the vehicle's lease money factor by 0.0001. So when leasing a BMW, it is much much better to lower your monthly payment by giving them a huge security deposit than it is to make a large down payment, because assuming that your car is in good shape and you are not over your allotted mileage you will get the entire security deposit back. Unfortunately, this program is being cut way back on July 1st, so if this is something that you think that you might be interested in doing make sure to lease one before then.

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CarMan@Edmunds · May 2003

Hello 2003help. The monthly lease payments of a car will vary depending upon a number of factors, including how long you lease it for, how many miles per year you need to be able to drive, the price of the vehicle, how much money you put down, etc.... So if is difficult for me to generalize about how much money it will cost you to lease an Altima without knowing more information first. I can tell you that now is an excellent time to lease one. On May 20th, Nissan enhanced its lease program on the 2003 Altima for the Memorial Day weekend. They are now advertising a 2003 Nissan Altima 2.5S w/automatic transmission for $279 per month for 36 months with $720 down and with 12,000 miles per year. If you are interested in a slightly different Altima, or length lease, let me know and I would be more than happy to calculate a sample payment on it for you.

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samn · May 2003

CarMan, Can you give me the factors/residuals for the Audi A6 2.7T quattro and the Audi Allroad quattro. Thanks as always. You're a boon to us auto-shoppers.
Lease 39 mth/10,000 mi per yr. or any similar term.

nunuww · May 2003

hey nas43 and iponz7:

similar feeling about BMW dealer. i am close to signing a X5 3.0i

they quoted a 0.0019MF, and asked me to sign and fax back a signuture simply indicating i accept the terms, which i have not seen at all. when i asked for details about the terms, they just seemed unwilling and has not given the terms details yet. i am a first time lessee, can you advise what i should do next about the MF and terms? tks a lot! certainly, carman, can you shed some light on this? tks!

ks10596 · May 2003

Car Man - you stated that Nissan has enhanced its lease program for the Altima for the Memorial Day weekend. Does that mean any difference in the MF you gave me in post 6509 for the 3.5 model?

Thanks!

rwright · May 2003

Car_man -

I hope you're doing well!!

If possible, I need lease numbers for 1 more car....G35 coupe for a 3 year lease with either 10,000 or 12,000 miles per year (not sure Infiniti allows 10K per year).

Thanks in advance

nas43 · May 2003

nunuww,

The money factor I have seen for the X5 is .0015, just like for the 325i. It looks like it is a standard practice for BMW dealers to add extra profit by marking up the money factor. That additional .0004 will add about $22 per month on to your payment which adds about $800 to the total cost you will be paying over 36 months ( if you lease for 36 months). I would point out that you know what the buy rate is (.0015) and try to get that. From what I have read on here, you should at least be able to get them to split it with you (e.g., .0017). Of course, this also depends on how much over invoice you are paying. If you are already getting a big discount on the car, they will probably be less likely to negotiate on the MF. Just my .02 cents worth. I'm going through it right now also and that is the approach I am taking.

JNorthstar · May 2003

Car Man

Can you give me the lease numbers for a CTS, 36 and 48 month lease? Also, I think there is "loyalty cash" for current Cadillac owners?
thanks for your help.

mota1 · May 2003

Thanks carman, I went ahead and did a lease on the acura tsx. The deal I got worked out within pennies of the numbers I worked up on this site using the info you provided. I either got an honest dealer, or they knew I knew my stuff (hopefully a combo of both, heh). I apprecite the help

Thanks!

agalex98 · May 2003

Hey Carman,
it's me again. The numbers for the lexus GX470 with the navigation package and 3rd seats are different from the base model ? If so, can you give me the numbers for 3 and 4 years with 12k miles ? Thanks in advance !!

dpriwin · May 2003

CarMan:

I was lucky enough to be able to test drive both an E-500 and a CLK-500 today. I am having a very difficult time deciding between these two great cars and the M3 I test-drove last week.

Can you help me with MF and residuals for these two cars (36 mos, 12K mi)? If I were to consider the 320 version of those cars, would the MF and residuals change?

Thanks a lot in advance.
Daniel

gold233790 · May 2003

Ok...My brother owns a 2000 Audi A8. Bought with cash, so it's free and clear. He's purchasing the new A8 in a month or two when they come in. Here's the leasing question:

I currently lease a 2001 A6 2.8 with 17 months left. Total payments are a tad over 8k to lease end. Current trade-in at 19,000 miles is about $24,000, with the lease end purchase option sitting at $20,000 and change. Without going into crazy detail, the difference looks to be about $4,250.

He's offered to give me his current A8 for $1 (very generous brother, I know). Now, do we have any leverage with the dealer on trading in my lease while he buys the new A8? It's the same dealership for all 3 cars. If we go in there offering to pay $1,500 to get out of the lease while he pays whatever he does for the new A8 (my guess is in the ballpark of MSRP) will they bite?

At $479 a month, we'd love to drive the A8 around and save a bundle. How much will it cost us to do so? Any suggestions about how to approach the dealer? Thanks.

casams · May 2003

Carman
Can you give me the info on a 03 Odyssey for 48months w/ 12000k with an MSRP at $30360.

Thanks

landru2 · May 2003

Find out from the leasing company what your current payoff amount is. This is the number you need to compare with the trade-in value. By paying it out early you should save some of the interest built into that $8000 worth of payments you have left.

That said, let's say you do owe $4250 to get out of your lease. If you offer them $1500 then you are really asking for a discount of $2750 on the new A8. I don't know enough about the A8 market to say whether a $2750 discount is reasonable or not. Have you considered selling your car privately? You should get more selling it at retail than as a trade-in.

CarMan@Edmunds · May 2003

Hi samn. I hope that you are enjoying this long weekend. Here is the information that you are looking for. If you were to lease a 2003 Audi A6 2.7T Sedan with quattro through Audi Financial Services prior to June 3rd for 39 months with 10,000 miles per year, its base lease money factor and residual value should be .00050 and 53%, respectively. The numbers for an otherwise identical lease of a 2003 Audi allroad should be .00120 and 58%.

You didn't mention if you are a current Audi owner or lessee, but if you are, Audi currently has $1,750 owner loyalty cash on both the A6 Sedan and allroad. This money may be used to reduce these vehicles capitalized costs.

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CarMan@Edmunds · May 2003

Hi nunuww. You didn't mention how long you plan on leasing this truck for, but right now BMW Financial Services' base lease money factor for the 2003 X5 3.0i is only .00150 for leases of up to 42 months in length. Since you were quoted a factor of .00190, it appears to me as though your dealer is trying to mark up BMW FS' base factor to add additional profit to your deal. This is very typical with BMW dealers. However, if you tell them that you are aware that they are marking up the money factor on you and that you will not lease this truck from them without using the base money factor, they usually cave in. This is especially true if there are other BMW dealerships in your area.

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CarMan@Edmunds · May 2003

Hey ks10596. Nissan did indeed enhance its lease money factors for the 2003 Altima for the holiday weekend. Since this enhancement was just announced on May 20th, the factor that I provided you with in post #6509 is no longer in effect. If you were to lease a 2003 Nissan Altima 3.5 SE V6 through Nissan Motor Acceptance Corp. prior to June 2nd for 3 years with 15,000 miles per, its new base lease money factor and residual value should be .00148 and 53%, respectively.

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CarMan@Edmunds · May 2003

I am doing very well. Thanks for asking, rwright. Let's take a look at the lease program that you are interested in. According to the most recent information that I have seen, if you were to lease a 2003 Infiniti G35 Coupe through Infiniti Financial Services this month for 3 years with 12,000 miles per year, its base lease money factor and residual value should be .00220 and 54%, respectively. The money factor for an otherwise identical lease of this car with only 10,000 miles per year would be exactly the same, but the residual value would increase to 55%.

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CarMan@Edmunds · May 2003

Hello JNorthstar. I can see by your name that you are a big Cadillac fan

. Here is the information that you are looking for. If you were to lease a 2003 Cadillac CTS through General Motors Acceptance Corp. this month for 3 years with 15,000 miles per, its base lease rate and residual value should be 4.95% and 51%, respectively. The numbers for an otherwise identical 4 year lease of this car should be 4.95% and 42%. When calculating a sample lease payment for this car, if that is what you are planning on doing with these numbers, please note that GMAC publishes lease interest rates rather than lease money factors for its vehicles. You can convert these lease rates into approximate lease money factors by dividing them by 2400.

As far as owner loyalty cash goes, even though GM is providing it on some Cadillac models right now, I don't believe that the CTS is one of them. I have heard that they have what is known as conquest cash on the 2003 CTS though. This means that if you are the current owner or lessee of a competing product, you are eligible for a $1,000 cash allowance.

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CarMan@Edmunds · May 2003

You're welcome, mota1. I am glad to hear that everything worked out well for you. Congratulations on your new car and enjoy!

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CarMan@Edmunds · May 2003

Hey agalex98. Lexus Financial Services' lease money factors are the same for all 2003 LX 470 models. The only variation in its residual values is for models equipped with "Night View." The residuals for all other models should be exactly the same as what I provided you with earlier.

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CarMan@Edmunds · May 2003

Hey Daniel. These are all nice cars. If you were to lease a 2003 Mercedes-Benz E500 through Mercedes-Benz Credit Corp. this month for 3 years with 12,000 miles per, its base lease money factor and residual value should be .00275 and 64%, respectively. As far as the 2003 Mercedes-Benz CLK500 goes, if you were to lease one through MBCC this month for 3 years with 12,000 miles per, its base factor and residual should be .00275 and a solid 67%, respectively.

The 320 versions of these cars would have the same base lease money factors. However the residual value for the 2003 E320 would be 66%, the residual value for the CLK320A would be 63%, and the residual for the 2003 CLK320C would be 67%.

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CarMan@Edmunds · May 2003

Hi gold233790. Unfortunately, individual dealerships really do not have the authority to waive lease payments or to reduce the lease-end purchase prices of vehicles. These factors are solely up to the bank that you are leasing through. Sure, the dealer that your brother is working with could pay some of your current leased vehicles' payments or over allow on a trade in for you, but nothing in life is free. Having them do either of these would have a negative impact upon your brother's ability to negotiate a good deal on his new car. Given the fact that the all new 2004 Audi A8 will probably be selling at or very close to full MSRP when it first hits dealers, I highly doubt that you will be able to get out of your current lease for only $1,500 if you still owe $4,250. I am sorry that there is not a less expensive solution to your problem. You will probably end up having to purchase your brother's car and hold onto both it and your current leased vehicle until you are closer to your vehicle's scheduled termination date.

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CarMan@Edmunds · May 2003

Greetings casams. Here is the information that you are looking for. If you were to lease a 2003 Honda Odyssey through American Honda Finance Corp. this month for 4 years with 12,000 miles per, its base lease money factor and residual value should be .00200 and 57% for the EX without the DVD system and the LX models. The residual value falls to 55% for the EX with the DVD system and the EX with leather and to 54% for the EX with navigation.

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boo20 · May 2003

Previously I have paid cash for my cars but have gotten 'sticker shock' at trade-in time when I feel lowballed on the trade in value. As a consequence I am thinking of leasing my next car (and, of course, accepting some interest charges all the while knowing my total cost ahead of time). Specifically I am considering trading in an '00 E 320 4 matic for a '04 S 430 4 Matic. My question is: is it possible for me to pay cash for the sum of the 1) depreciation on the car and 2) the interest on the residual AHEAD of time (no monthy payments)? (I realize that this will not help with trade in value this time but will next time).

cupie9 · May 2003

I'm sure this issue has been talked about at length, but I thought I'd give it a shot.

I lease a 2002 Nissan Altima SE. I am about a year and a half into a five-year lease and my payments are $460. In other words, it's a horrible lease.

I keep hearing about cars I'd love to have that I could lease with much lower monthly payments.

I'm sure my options are non-existent, but is there anyway, short of paying the remainder of the payments, that I can get out of my lease very early? I just feel I could get a better car for less money.

CarMan@Edmunds · May 2003

Good morning boo20. Banks, like Mercedes-Benz Credit Corp. do allow consumers to pre-pay leases. However, doing so does not completely eliminate interest charges. Most banks will provide consumers with a reduction in the interest rate that they charge in exchange for lease pre-payment. The exact amount of this reduction in interest will vary from bank to bank.

As far as your current vehicle goes, you will be much better off if you do not trade it in when you lease a new one. When consumers trade in their old cars when leasing new ones, the trade-in allowance is usually used as a down payment for the lease. Generally speaking, it is a bad idea to make a large down payment on leased vehicles, because if the leased car or truck is stolen and not recovered or totaled, the insurance company pays off the bank that the vehicle was being leased through and the down payment essentially disappears. You are much better off selling this car on your own or insisting that you receive a check for your trade.

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CarMan@Edmunds · May 2003

Hi cupie9. A five year lease of a 2002 Nissan Altima for $460 per month, huh? I hate to say it, but ouch. As you are already well aware, this is not a very good deal. I usually advise consumers to lease vehicles for 36 to 39 months, with 48 months being the absolute longest lease term that is reasonable. There is an excellent article on getting out of leases early here at Edmunds.com. The following passage from it describes your options for getting out of this deal right now:

"1. How do I get out of my lease before the contract has expired?

In some cases, your financial picture might change unexpectedly and suddenly you can't afford those sky-high payments on a BMW 528i. In another common scenario, you lease a fun little Mazda Miata one year, then the next year you and your spouse have a baby. You're desperate to get into a bigger car, but you don't want to take a financial bath. What to do?

According to Shebesta, you still have some options:

Find someone to assume the lease. Call the leasing company and ask if they allow 'assumptions.' Make sure you locate a new lessee who is credit worthy. Expect to pay a fee to do the assumption  about $300. Check to make sure the mileage is appropriate for this point in the lease. And also make sure you provide the car in good condition so the new lessee isn't taking over hidden problems.

Sell the car yourself. Call the bank and ask for the current buyout amount. Once you get that number, look at the Edmunds.com True Market Value® price for a private party. Make sure to adjust the figure for mileage, color, options and region. If the current market value is close to the buyout number, try to sell the car yourself and pay off the bank. Even if you have to take a $1,000 or $2,000 loss, you are better off than continuing the payments or walking away from the car. Remember, in addition to your lease payment, there are insurance payments, too. (Note: Sales tax can cause a problem if you buy the car, then have to resell it immediately. The bank may help you by arranging to transfer the title directly to the new owner. A dealer might also help you arrange this transaction, but they will want reimbursement for their trouble.)

Turn in the keys and walk away from the lease. This isn't a good option. If you give the car back to the lessor, and walk away, it will go on your credit report as a 'repo.'"

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gold233790 · May 2003

Thanks Carman. My buyout # is $28,957 with the most recent blue book value at private party of $27,625. Is this the way to go? Sell privately and buyout the lease? Thanks.

dave_h2 · May 2003

Hi Carman - love the info you give here.

I am new to the site and would like to lease a new ('03) Odyssey for three years.

I am interested in the EX with DVD system. I live on Long Island in NY state.

What kind of realistic numbers should I expect? Purchase price (to base lease on) and ballpark monthly lease payments.

Thanks in advance for whatever info you can provide. If this has already been answered, perhaps you could point me in the direction of that discussion.

Thanks.

rbroyles · May 2003

Hi Carman,hope you can help?Lookng at 03/SE murano awd, listing for $35452,and buy for $32200 Could lease for $399+tax,and he indicates the mf is.0216,and the residual at 53%.Would put down 3000, for 15000 mile lease?Any help would be appreciated

CarMan@Edmunds · May 2003

You're welcome, gold233790. Assuming that its purchase price is reasonable, purchasing your current car from the bank that you are leasing it through and then selling it on your own is probably the least expensive way for you to get out of your lease at this time.

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CarMan@Edmunds · May 2003

Hi dave_h2. I am glad that you enjoy this discussion so much. Let's take a look at how much money it should cost to lease this van right now. Let's say that you were to lease a 2003 Honda Odyssey EX with leather and the rear entertainment system (MSRP: $30,360 / Selling Price: $29,440 - Edmunds.com True Market Value) through American Honda Finance Corp. this month for 3 years with 15,000 miles per, according to my calculations your zero down, pre-tax monthly lease payment should be right around $412. Of course, this payment will vary if you lease a vehicle with a different price, for a different length of time, or with a different mileage allowance. Also, your payment will be higher once tax is added in.

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five0_4tluv · May 2003

how come on the BMW board's i am seeing buyers get much better deals than what i see on the BMW FS site. I am looking at a 325i at @ 33K, FS says lease payment 600+ w/ 2500 down. what gives?

neil55 · May 2003

Hello Car_Man and all,

Here is my situation:
I am in the process of relocating from PA to Florida and have arranged for the sale of one of my 2 vehicles in June.I will actually move end august and will only need one vehicle till september.
Ideally I would like to take advantage of the MSD program to bring down the money factor to less than 0.0005.
Can I lock in a lease rate before 7/03 or will I have to take delivery before that day ?
Alternatively , can I order a vehicle before 7/03 and then take delivery once it arrives? (I suspect with this option , my negotiating room for the price over invoice may be limited)

thanks

neil

(ps i will probably go with a 3 series , but with rates this attractive may even go for a 5 ( will test drive one later on today)

dave_h2 · May 2003

That's just the sort of info I was looking for. The numbers don't look too bad (I know the Odyssey is in-demand so there isn't a whole lot of negotiation room).

I could probably handle that payment. What about if I can afford some kind of cap cost reduction? Is that a wise financial move - or is it better to just let it all go into the monthly payment?

nunuww · May 2003

Thanks a lot!

My case is a bit special. been in the US for 1- year, i have limited credit history.

the sticker price was $48070 (3 packages,Xenon lights,heated driving wheels, and park distance).we finally reached $44750. i was sugessted to pay without any financing or leasing, unless i could find a co-signer and approved. with 7% tax, the monthly pay is $620, 36 month, 10000miles/yr,0 down, and the MF is 0.0019.
considering my special case and that the deal is OK (i think), i faxed the dealer my signature for accetance of the terms( i am 20 miles from it), without any other details though i asked.
now that co-signer's docs will be at the dealer's tomorrow, and i am supposed to sign the remaining docs. at this stage, is there anything you would suggest?
thank you for kind advice and patience:-)

asdf5607 · May 2003

Hello, I am considering leasing the MB C320. the 2004 model (no style change) is coming out in Sept, it is June now, does the dealer usually offer discounted 2003 model prior the next year model or should i better off and order/wait for the 2004 model?
thanks!!!

CarMan@Edmunds · May 2003

Hello rbroyles. You never mentioned how long you this lease is for in your post. It appears to me as though this is probably a 39 month lease of a 2003 Nissan Murano SE AWD through Nissan Motor Acceptance Corp. with 15,000 miles per year. If this is indeed the case, then the lease money factor and residual value that you were quoted are right on the money, though the factor is actually stated .00216. This is a good sign that the dealership that you are working with is being straightforward with you.

I personally would not put $3,000 down to lease any vehicle. By making such a large down payment, you risk losing it all if your vehicle is totaled in an accident or stolen and not recovered. In the event that either of these things occur, your insurance company would pay off the bank that you are leasing this vehicle through and your down payment would essentially disappear.

Let's take a look at the monthly payment that you were quoted. According to my calculations, if you were to lease this vehicle with an MSRP of $35,452 and a selling price of $32,200 through NMAC for 39 months with 15,000 miles per year right now, your zero down, pre-tax monthly lease payment of right around $371. When tax is added to this figure, it probably is fairly close to the $399 that you were quoted.

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CarMan@Edmunds · May 2003

Hi five0_4tluv. Interestingly enough, I personally have found that the lease calculators that are available on manufacturers' Web sites are often not that accurate. Even when they do use the correct lease money factor and residual value data to calculate lease payments, these payments are usually based on a selling price of full MSRP. The selling prices of leased vehicles can be negotiated just as if you were paying cash. The lease payments that you have seen others mentioning are almost definitely based upon prices that are significantly lower than full MSRP. This probably accounts for most of the difference.

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CarMan@Edmunds · May 2003

Hi Neil. BMW Financial Services does allow consumers to "lock-in" lease money factors on ordered vehicles for a certain period of time. This prevents consumers from missing out on special low lease money factors that may not be in effect when they physically take delivery of their new vehicle. However, I do not know what BMW's policy is on its soon to be changed Multiple Security Deposit program. It certainly is possible that they would allow you to lock in a lease money factor, including a discount for MSDs, for the vehicle that you have ordered, but you need to check directly with them or with your dealer to find out for certain whether they will allow this.

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CarMan@Edmunds · May 2003

You're very welcome, dave_h2. To be honest with you, you are actually much better off leasing this van without making any sort of down payment. I say this for several reasons. The first is that if your van is totaled in an accident or stolen and never recovered during your lease term, your insurance company will pay off the bank that you are leasing it through and your down payment will essentially disappear. Another reason why I am not very fond of down payments on leases is that they do nothing to lower vehicles' lease-end purchase prices. So this vehicle's lease-end purchase price would be exactly the same if you were to make a $10,000 down payment on this lease or if you made absolutely no down payment at all. If you do come up with money for a down payment, just use it to help with your monthly lease payments.

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CarMan@Edmunds · May 2003

Hi asdf5607. All things being equal, i.e. price, lease money factor, etc... it is usually less expensive to lease a newer vehicle, in this case a 2004 model, than it is to lease one from the previous model year. This is because new models will have higher lease residual values than older ones do. Having said this, one can offset the difference in residual values if they are able to negotiate a low enough price on last year's model or if the vehicle's manufacturer is providing some sort of lease support on it. In the past, Mercedes-Benz dealers have been notoriously difficult to negotiate with. However, as of late many MB dealers seem willing to lower their prices below full MSRP on vehicles that are not in high demand and low supply. The C-Class certainly qualifies as one of these vehicles. So in answer to your question, it certainly will be possible for you to negotiate a low price on a leftover 2003 model when the 2004s hit showrooms, but if you are planning on leasing you need to make sure that the discount is large enough to offset any difference in residual values.

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