YACarT

[trilks]

When dealers have monthly lease payment incentives (like "$239/mo for 36 month lease" or something), is the advertised lease payment actually what you pay every month? Or are there a lot of taxes/fees/other costs that get added on? Never leased a car before, and I was thinking about doing it, but I was just wondering if those advertised deals would actually fit into my budget after all the added costs.

Cheers :beer:

 

[JeffCos]

Sometimes it's what you pay, but in other cases you have to read the fine print at the bottom of the page to see if there are any other things factored into that price. They might factor in $1000 of recent college grad, $500 of brand owner loyalty, and $1000 armed forces discount. If you don't qualify for those you have to factor those back into the price of the car and recalculate the lease payments.

 

[Cerebus451]

There will be taxes added on. Not sure about other fees. However, the other item to watch out for is they often advertise those low payment leases, and the fine print usually includes a rather large downpayment that you also have to pay up front. Never pay a down payment on a lease. Stick a match to your money if you want to burn it, just don't put a downpayment on a lease.

 

[trilks]

Originally posted by: Cerebus451
There will be taxes added on. Not sure about other fees. However, the other item to watch out for is they often advertise those low payment leases, and the fine print usually includes a rather large downpayment that you also have to pay up front. Never pay a down payment on a lease. Stick a match to your money if you want to burn it, just don't put a downpayment on a lease.

The VW leases I have been looking at usually required a $1000 down payment...but I suppose that would allow lower monthly payments, no?

 

[Cerebus451]

Originally posted by: trilks

Originally posted by: Cerebus451
There will be taxes added on. Not sure about other fees. However, the other item to watch out for is they often advertise those low payment leases, and the fine print usually includes a rather large downpayment that you also have to pay up front. Never pay a down payment on a lease. Stick a match to your money if you want to burn it, just don't put a downpayment on a lease.

The VW leases I have been looking at usually required a $1000 down payment...but I suppose that would allow lower monthly payments, no?

Putting a downpayment does lower the lease payments, but you don't get the full return on your money. If you remove the $1000 down payment a recalculate the lease, 99 times out of 100 you will see that the montly payment increase does not amount to $1000 over the life of the lease. If you are covering the down payment through trade-in, then that isn't so bad. Also $1000 isn't that bad for a downpayment. Usually advertised lease prices include downpayments of $3000 or more to get the listed monthly payment.

 

[trilks]

Originally posted by: Cerebus451

Originally posted by: trilks

Originally posted by: Cerebus451
There will be taxes added on. Not sure about other fees. However, the other item to watch out for is they often advertise those low payment leases, and the fine print usually includes a rather large downpayment that you also have to pay up front. Never pay a down payment on a lease. Stick a match to your money if you want to burn it, just don't put a downpayment on a lease.

The VW leases I have been looking at usually required a $1000 down payment...but I suppose that would allow lower monthly payments, no?

Putting a downpayment does lower the lease payments, but you don't get the full return on your money. If you remove the $1000 down payment a recalculate the lease, 99 times out of 100 you will see that the montly payment increase does not amount to $1000 over the life of the lease. If you are covering the down payment through trade-in, then that isn't so bad. Also $1000 isn't that bad for a downpayment. Usually advertised lease prices include downpayments of $3000 or more to get the listed monthly payment.

Hmm, good point, I'll have to run the numbers if I get real serious about a car. $1000 seemed fairly reasonable to me, in any case.

Cheers for the response :beer: