Went into the dealer today and I qualified for the lease special on an 06 but didn't want to put the 3700 down on a lease. The best he could negotiate was 378+tax a month with 1000 down. Not worried on mileage since I will be buying the car after 3 years. He says that with this he is 500 over invoice. I don't think thats right so I walked. What do you guys think? Is my math off?

 

that sounds completely correct. you can figure between 20-30 per thousand... invoice is arround 29,500. so at 30,000 with 1,000 down your payment should be between 360-390...

 

Need more info in order to evaluate your numbers.

Lease term? Annual mileage? Money factor? Residual value? Lease fees?

Andrew

 

its the 299 lease special that honda is running, here it is from the honda site:

FEATURED SPECIAL LEASE: Closed-end lease for 2006 S2000 Manual Transmission (Model AP2146ENW) for $299.00 per month for 36 months with a $2,499.00 capitalized cost reduction available to customers who qualify for the AHFC Super Preferred credit tier. Other rates/tiers are available under this offer. $3,693.00 total due at lease signing (includes first month's payment, security deposit, acquisition fee and capitalized cost reduction; total net capitalized cost and base monthly payment does not include tax, license, title, registration, documentation fees, options, insurance and the like). Not all buyers may qualify.

Money factor is .00059

 

Honda Deal:

299 x 35 months + 3693 = 14158

Dealership Deal:

378 x 36 + 1000 = 14608


So the dealer is off by $450 on the deal.

 

Yeah but I was under the impression that even at that honda deal.... there was some room to go down a bit more

 

<TABLE WIDTH="90%" CELLSPACING=0 CELLPADDING=0 ALIGN=CENTER><TR><TD>Quote, originally posted by G6-Civic &raquo;</TD></TR><TR><TD CLASS="quote">Yeah but I was under the impression that even at that honda deal.... there was some room to go down a bit more</TD></TR></TABLE>

Not that I was aware of

 

<TABLE WIDTH="90%" CELLSPACING=0 CELLPADDING=0 ALIGN=CENTER><TR><TD>Quote, originally posted by Mr. Nishant &raquo;</TD></TR><TR><TD CLASS="quote">Honda Deal:

299 x 35 months + 3693 = 14158

Dealership Deal:

378 x 36 + 1000 = 14608


So the dealer is off by $450 on the deal. </TD></TR></TABLE>

That $450 difference is probably the interest on the $3700 that normally is put down.
$450/3 yrs = $150/yr
$150/$3700 = ~ 4.0% APR interest, which is quite a good rate.

So if all other lease terms are the same as the advertised $3700 down/$299/mo factory lease deal, then the $0 down/$378/mo that the dealer offered is a very good deal.

Andrew

 

Skip the lease and just purchase!!!

 

i wish it was only that easy. its all about that phat down payment cuz were talkin s200 here

 

I don't mind the down payment if I buy the car.... but I don't see putting a huge down payment on a lease. Also, at the lease special, I can lease for 3 years and buy the car outright at the end. The benefit to this is that I pretty much pay 1.4% interest over the first 3 years. Then I can buy the car out at the end of the 3 years. Much better than any interest rate a bank will give me.

I guess I was just hoping that maybe there was a honda sales guy on this board that could give me a bit of help to see if there was any more negotiating room!

 

<TABLE WIDTH="90%" CELLSPACING=0 CELLPADDING=0 ALIGN=CENTER><TR><TD>Quote, originally posted by G6-Civic &raquo;</TD></TR><TR><TD CLASS="quote">I don't mind the down payment if I buy the car.... but I don't see putting a huge down payment on a lease. Also, at the lease special, I can lease for 3 years and buy the car outright at the end. The benefit to this is that I pretty much pay 1.4% interest over the first 3 years. Then I can buy the car out at the end of the 3 years. Much better than any interest rate a bank will give me.

I guess I was just hoping that maybe there was a honda sales guy on this board that could give me a bit of help to see if there was any more negotiating room!</TD></TR></TABLE>

Depends on the price the dealer will sell it back to you, you'll want to figure that out

 

If you can avoid leasing, please do. You will be happier in the end!

 

It says right in the lease.... buyout at 19722 at the end of 36 months

 

i have a dealer in the family his advice to me is that dealers always rape u in a lease...if u dont have the money to finance a purchaase they are gonna take u for a ride and ur gonna be out an extra 5- 10grand longterm. so is that worth it to u for the chance to drive the s?

im coming up on 28k on my 05, just got my beater so now the s will be keeping the miles trimmed...but i just think to myself, theres no reason i couldnt have bought this car used with less miles and saved a huge amount of money...but i wanted to be the only driver...it all depends on your personnal financial options

by me the dealer has the edge with the s2k because if u dont buy it he doesnt care, hes gonna have 3 offers tommorrow, they cant keep s's they sell so fast. when i put down my deposit they parked it inside the garage instead of the showroom...they had three offers the next day from guys sticking their heads in the garage...so the dealer has the leverage and doesnt care if u like it.

 

I have the money and good credit to purchase but even if I did the special lease deal that honda has offered, I would come out ahead by not paying the higher interest of financing the vehicle and buying in 3 years. Just trying to see if anyone has enough knowledge to tell me if there is more room in this deal!