What was the $5000.00 for. Was it for taxes upfront? My cars MSRP is $111,200. Close to your cars price so I'm trying to get some Intel for dealing with my sales rep next week. Thank you

 

Money down is for one of two things, usually they want the first month payment, license fees, and maybe taxes. Or, something like $5000 usually is just a payment towards the loan. This second item reduces the lease payment, which some people like, but really is just throwing money away since you will never get this money back.


Larry

 

Upfront costs depends on the state/locality to where you are registering the car. For example in Philly we have:

$795 acquisition fee
$245 tire tax
$86 registration / title
$15 filing fees
$160 dealer fees
+ First month payment

So roughly $1300 + first monthly payment.

Some states tax you on the entire purchase price (Texas for example) which would then be included in the upfront cost on a lease. Anything above and beyond would go to cap cost reductions.

 

In NC you can choose to amortize the sales/use tax over the term of the lease, put zero down, and pay just the first month payment plus license fees. In the cars I have leased, the acquisition fee becomes part of the adjusted capital cost, basically just an adder to the price of the car. I am sure all of this varies state-to-state and lessor to lessor.
Larry

 

My residual was 60% of MSRP. And it was vert or nothing for me.

$5K down went towards first month's payment, registration, fees. I wasn't getting $0 down anywhere.

 

I recently leased a 2016 S coupe 84k list with a residual of .64% got the price down to 72k and a 39 mo lease for $840 with taxes and $2400 out of pocket including the first mo payment