It was something i wanted to do on my own but i said forget it. I asked for some help from a buddy that used to work in the industry.
The car was a Honda Pilot. and it was a 2018 EX-L with NAV.(Navigation)
Their first number they threw at me was 1500 down for 600 a month for 39 months. I was like um hell no. My buddy said "dont say your number." ask them for their best offer. They came back with 1500 down(which included taxes and fees) 380 a month for 39. Would be 38 more payments as first payment was in the 1500 down. My buddy said "now you have their attention. But you can get lower and still save. Ask the Money factor and the residual number. Ask for 415 a month and zero out of pocket money". I said "screw it. give me 400 a month with no out of pocket"
The manager came out and said they couldnt and they would be losing money. The lowest they can go is 415 a month with no out of pocket. I said ok then im not interested. . Manager "do you really want to lose a deal for 500 bucks?" i said "no do you want to lose a deal for 500 bucks?"
So after calculations that my buddy did. He said to make them wait. They will go even lower if they want your business. Your credit is good but wait til the end of the month when they get desperate. So they caved again after i threatened to leave. 400 is now what they wanted. First payment right there. Basically the bottom line deal with them was no out of pocket cash.
So, this car is MSRP 41235... the residual was 27225.45 for a 39 month lease. There were no rebates or anything.
But i have to say, i almost pulled the trigger but my buddy knew how they worked. He knew they would cave because he knows the business and basically they were caving in just the car msrp. He wanted them to go lower. So we go back on the 28th.
Man this shit can be annoying but it was good i had someone with me that knows the business. And if they dont want my business i already have a deal in place with Nissan.
figure i share with you peeps
That's where they get you.
crazy shit right?
Once you feel like you've gotten the dealers best offer, call another dealer local and negotiate(best to search the lot and find a dealer that has the same car). Say "Dealer A just offered me X(exaggerate their offer a tad if you want), I will come sign paperwork right now if you come in at Y". It's really that simple. If the second dealer says no, you know dealer A offered a fair deal. Always play 2 dealers against each other.
Once you feel like you've gotten the dealers best offer, call another dealer local and negotiate(best to search the lot and find a dealer that has the same car). Say "Dealer A just offered me X(exaggerate their offer a tad if you want), I will come sign paperwork right now if you come in at Y". It's really that simple. If the second dealer says no, you know dealer A offered a fair deal. Always play 2 dealers against each other.
where is the message boards as i am searching the website and cant seem to find it
Find out the Residual and Money Factor (MF) ahead of time
Find about any lease incentives.
Negotiate the price of the car only without rebates.
Apply rebates to negotiated price.
Once you have that final price apply the Residual and the MF and you have a monthly payment.
Always go 0 down.
If you get under 1% of your purchase price you have done very well.
Crazy - $16000 to drive a car for 3.25 years and then turn it in.
I will be contacting my dealership soon but wanted to see what the opinion was.
Crazy - $16000 to drive a car for 3.25 years and then turn it in.
i think 12k or 15k are also allowed but i dont need that many. should i just get that for the better deal?
Quote:
That is important. And what is the overage $0.25/mile?
Crazy - $16000 to drive a car for 3.25 years and then turn it in.
i think 12k or 15k are also allowed but i dont need that many. should i just get that for the better deal?
Big difference in pricing between 12K and 15K. Some leases are only 10K - that way the residual is higher and your monthly payment is less. The more miles allowed per year the more you pay.
Hard to believe your friend didn't mention this as it is important. I upped my daughter's lease from 12k to 15k and it added $20 per month to the lease. Worked out perfectly as she came in within 400 miles under the allowance at 15k per year.
Quote:
In comment 13916110 section125 said:
Quote:
That is important. And what is the overage $0.25/mile?
Crazy - $16000 to drive a car for 3.25 years and then turn it in.
i think 12k or 15k are also allowed but i dont need that many. should i just get that for the better deal?
Big difference in pricing between 12K and 15K. Some leases are only 10K - that way the residual is higher and your monthly payment is less. The more miles allowed per year the more you pay.
Hard to believe your friend didn't mention this as it is important. I upped my daughter's lease from 12k to 15k and it added $20 per month to the lease. Worked out perfectly as she came in within 400 miles under the allowance at 15k per year.
he knows that but i am returning my nissan pathfinder with 20k miles as opposed to 36 miles.
Link - ( New Window )
Quote:
In comment 13916196 GMAN4LIFE said:
Quote:
In comment 13916110 section125 said:
Quote:
That is important. And what is the overage $0.25/mile?
Crazy - $16000 to drive a car for 3.25 years and then turn it in.
i think 12k or 15k are also allowed but i dont need that many. should i just get that for the better deal?
Big difference in pricing between 12K and 15K. Some leases are only 10K - that way the residual is higher and your monthly payment is less. The more miles allowed per year the more you pay.
Hard to believe your friend didn't mention this as it is important. I upped my daughter's lease from 12k to 15k and it added $20 per month to the lease. Worked out perfectly as she came in within 400 miles under the allowance at 15k per year.
he knows that but i am returning my nissan pathfinder with 20k miles as opposed to 36 miles.
Ok great, so then you can negotiate at only 10K/yr and maybe get a better rate. If you are pretty certain that you will be close to existing mileage, see what they can do for you. Might save you $15 to $20 per month....
can i negotiate this shit over the phone? i hate going to each dealer to do this.
That's called a pull ahead. Dealer will waive the remaining X number of payments and the lease end fee (disposition) Mercedes pull aheads are 3 or 5 months depending on vehicle coming out of and going into.
Crazy - $16000 to drive a car for 3.25 years and then turn it in.
Gotta look at what the car is going to be worth 3 years down the line if you buy it. Most cars will depreciate about 45-50% over the first 3 years. You need to figure in the costs of maintenance (tires/brakes) when you look at what is the best deal.
Typically...leasing will work out better over the long run if you are one to get a new car every 3-4 years.
Leasing also is great if you are upside down in your trade.
Another question: When you lease, do they at least throw in maintenance , repairs and tires ?
Quote:
and if you are lucky, there is a lot of info about peoples exact deals to compare to. Again though, you have to get another dealer involved to compete. Then, you'll truly know if its their best offer.
can i negotiate this shit over the phone? i hate going to each dealer to do this.
I always go in to the first dealer and negotiate face to face and when they claim they are at their best offer(I go in knowing what that number should be about), I’ll call the second dealer and give them a chance to beat it(has to be by 10-15 bucks per month). If they do(again, for a car in their lot), I’ll drive to that dealer and sign paperwork.
I see a different truck online at a dealer that is half the distance from where I am in Monmouth County. The wife and kids are getting ready to leave the house with me to go get the truck. I call this other dealer and tell him this..
I am leaving the house now to go pickup a truck in northern NJ. I see you have this other truck on your lot. I am willing to pay $X for it out the door but I am not coming in to talk about it. You have about 30 min to call me back and let me know if we have a deal. Once I pass your exit on the highway I am not turning around. Gave the guy my cell phone # and we started driving north.
He called me back 15 min later and said you have a deal. Got off at his exit, walked in and bought the truck for the price I wanted.
I see a different truck online at a dealer that is half the distance from where I am in Monmouth County. The wife and kids are getting ready to leave the house with me to go get the truck. I call this other dealer and tell him this..
I am leaving the house now to go pickup a truck in northern NJ. I see you have this other truck on your lot. I am willing to pay $X for it out the door but I am not coming in to talk about it. You have about 30 min to call me back and let me know if we have a deal. Once I pass your exit on the highway I am not turning around. Gave the guy my cell phone # and we started driving north.
He called me back 15 min later and said you have a deal. Got off at his exit, walked in and bought the truck for the price I wanted.
What did you tell the other guy that was waiting for you up North or did you buy his and hers...?
Quote:
Negotiated a price for a new truck from a dealer in northern NJ an hour from my home. It is Saturday morning and the dealer is waiting for me to arrive later that day to sign the papers and make the exchange.
I see a different truck online at a dealer that is half the distance from where I am in Monmouth County. The wife and kids are getting ready to leave the house with me to go get the truck. I call this other dealer and tell him this..
I am leaving the house now to go pickup a truck in northern NJ. I see you have this other truck on your lot. I am willing to pay $X for it out the door but I am not coming in to talk about it. You have about 30 min to call me back and let me know if we have a deal. Once I pass your exit on the highway I am not turning around. Gave the guy my cell phone # and we started driving north.
He called me back 15 min later and said you have a deal. Got off at his exit, walked in and bought the truck for the price I wanted.
What did you tell the other guy that was waiting for you up North or did you buy his and hers...?
Called that other dealer and just told the guy I changed my mind. They probably hear that every day.
I posted this question:
Can I please get MF, resid % and any Incentives
New Jersey
10k/ 36 Months or 39 months
EX-L w/ NAV
Touring AWD
Elite AWD
Response:
.00159 MF
$800 incentive
No 10K available from Honda - 36/12 residuals are 60%/58%/57% residual, respectively
Subtract 2% for 39/12
I responded back with the paramus dealership offered 10k. The person responded
Subtract 1% from the 12K/yr residual.
Doubtful that you'll get the lower money factor on 39 months... better stick with 36
Dealer A makes me a final offer of $0 down and $400 per month. I tell them that I need to call my wife, I'll let you know today one way or the other.
I then call Dealer B and ask for sales. I say to the guy, listen, I've already been through the motions and I know what I want. You have a car on your lot(give them the specific car you are calling about) and I don't think dealer A is giving me their best deal. They offered me $0 down and $390 a month(please notice I didn't tell them the exact deal). If you can beat that, I will come in right now and sign the paperwork, I'm only 10 minutes away.
Dealer B will then go to his manager and call you right back with an answer. It's that simple.
Personally, I enjoy the game. Dealership has zero power. They have the car I want, but it’s a commodity that several other dealerships have as well. Plus other dealers have competing models. I know the exact car I want. I know the exact price I am willing to pay for it. If financing it, I know the rate I’m going to get or less. And if trading in, I know the minimum value I will get when getting rid of my car.
As long as you know you are the one in control, know what you want, and need the car yesterday - what leverage does the dealership have over you?
Dealer A makes me a final offer of $0 down and $400 per month. I tell them that I need to call my wife, I'll let you know today one way or the other.
I then call Dealer B and ask for sales. I say to the guy, listen, I've already been through the motions and I know what I want. You have a car on your lot(give them the specific car you are calling about) and I don't think dealer A is giving me their best deal. They offered me $0 down and $390 a month(please notice I didn't tell them the exact deal). If you can beat that, I will come in right now and sign the paperwork, I'm only 10 minutes away.
Dealer B will then go to his manager and call you right back with an answer. It's that simple.
gotcha... will play hardball with these cocks.
The best way to make sure this happens is to do the following..
1. Be indifferent as to whether you buy a car or not.
2. Never let your enthusiasm to have a particular car force you into a bad decision.
3. Do your homework.
4. Always leave the building when they think they have you.
5. Before walking into a dealer, get a meal and take a leak.
6. Negotiate a price that is "all in" or "out the door" with all fees including DMV factored in.
Personally, I enjoy the game. Dealership has zero power. They have the car I want, but it’s a commodity that several other dealerships have as well. Plus other dealers have competing models. I know the exact car I want. I know the exact price I am willing to pay for it. If financing it, I know the rate I’m going to get or less. And if trading in, I know the minimum value I will get when getting rid of my car.
As long as you know you are the one in control, know what you want, and need the car yesterday - what leverage does the dealership have over you?
I did the Costco program. Very happy with it.
Quote:
gotta play the game. They will screw you any chance they can get, so give it back to them.
The best way to make sure this happens is to do the following..
1. Be indifferent as to whether you buy a car or not.
2. Never let your enthusiasm to have a particular car force you into a bad decision.
3. Do your homework.
4. Always leave the building when they think they have you.
5. Before walking into a dealer, get a meal and take a leak.
6. Negotiate a price that is "all in" or "out the door" with all fees including DMV factored in.
#4 is huge. As soon as they say they are at their best offer and you say, ok well thanks for your time. You are gonna see their manager jump up and somehow work out a better deal.
You are playing their game - a game you might play 5-10 times in your entire life. The salesman probably plays the game 5-10 times per DAY. No matter what you do, or advice you’ve been given, they’ve already experienced people like you thousands of times.
So remember it is isn’t a game. You can’t win. Find the car you want, at a price you want at a finance rate you want. First dealer that meets or beats it, gets your business.
You are playing their game - a game you might play 5-10 times in your entire life. The salesman probably plays the game 5-10 times per DAY. No matter what you do, or advice you’ve been given, they’ve already experienced people like you thousands of times.
So remember it is isn’t a game. You can’t win. Find the car you want, at a price you want at a finance rate you want. First dealer that meets or beats it, gets your business.
Sorry, but this is old news. The internet has broken their game. You may not want to find the right deal (some on the thread have already said its too much headache) and thats fine, but you can absolutely win at the dealership. I have seen $300/month leases for $50000 cars. For 0 down.
Negotiate the price of the car first with the lease. Then, check out your total lease payments including any money down. If your negotiated vehicle price minus your total lease payments is less than the residual value they are calculating... then red flags should be going up.
I got my number with a lot of 999's in the back, but I was happy. But sitting there for a few hours was not fun at all.