WHS_DarthVADERTL

Hi guys, little background info....I had a 07 tl-s black on black with two toned leather, 85k miles. I loved the car but it did not drive well. When you ran over potholes and such you REALLY felt them (In CT there are potholes in every frickin road). So I decided I wanted a new car....did not expect to buy another Acura given my experience with this one, although I had minimal problems. On to the good stuff....traded my car in and here are the financials....

MSRP 2012 TL-Tech $40,220
PAID- $33,200
Lease down payment $1200
Payment (out the door) $379.98 36 months.
Residual value $21,423
Money Factor .00069
2007 TL-S-PAID OFF

I thought this was one hell of a deal that I couldn't walk away from and they told me that they haven't sold a TL this low as long as he has been there (24 years of employment at this Acura dealership) and that they needed the OWNER to approve the deal, not the GM.

If you guys can weigh in on this it would be fantastic!!! Btw this car is AMAZING, drives like I'm on clouds and the tech package is nothing short of UNREAL. Weather forecasts? Radar? Ipod connection? Bluetooth Audio? Solar system? back up camera with guidance to parK? I could go on and on... let alone the audio system is the BEST hands down I have ever heard in a car. Test drove BMW, Lexus (girl car), Infiniti (gas guzzler), MB (old persons car) and they couldn't come close to value.

I'll share some pics!!!

WHS_DarthVADERTL

BTW I consider myself pretty savvy and knew about money factors, residuals, and cap costs and no bullshit fees that dealers love to throw in. I'm trying to post pictures of the new ride but can't figure out how to resize them....it's telling me they are too large

morbidz

Domm

What was the trade in value? NEVER put money down on a lease.

You already bought the car, so who cares what we think about the deal. Just enjoy your car!

Hogan9166

iTrader: (1)

Uncalled for, Domm. Looks like a good deal to me. Money down is simply. Hyping the payment down and putting him on the hook for less each month. Don't see an issue with that.

Domm

I never said it wasn't a good deal. I think it's a great deal.

Here's why you don't put money down on a lease:
-If you get into an accident and you total the car before the lease is over, your insurance will cover the value of the car and gap insurance will cover the difference between the amount you owe and the value of the car. If you put a down payment, your money is wasted because that down payment was amortized to the life of the lease.
-Your down payment is taxable.

It's still a great deal because he only put $1,200 down. BMW dealerships can mislead you with their lease promotions, which require up to a $5,000 down payment.

acuraw

I got a similar deal in July. Congrats, and enjoy!

Steven Bell

iTrader: (2)

Congrats on the new ride!

SeismicGuy

Then what made them suddenly do a deal that they have never done in 24 years?

morbidz

must have been a pretty savvy consumer who knew about money factors.

JT4

Enjoy the new TL..

What color is it.

omaralt

haha congrats OP.. i love these threads; seems like everybody who buys a new car has a similar story.. these salesmen are good; "i've never sold a car this cheap before, and i'm only doing for you because of your beautiful blue eyes" or the even better "we had the call the owner while he's on vacation in Fiji to approves this deal". all while they're in the back room jerking off.. lol congrats you got a good deal that many others have gotten. congrats and enjoy the car

parasitius

Can someone explain what this means? How do you pay $33k for a car and still lease it simultaneously?

PAID- $33,200
Lease down payment $1200

omaralt

thats the selling price of the car. thats how you negotiate a lease. negotiate the selling price, then the MF. the residual is usually set by the manufacturer

terdonal

Congrats!

parasitius

Thanks!

So, Residual value $21,423 <-- Is that a price he can buy it for at the end of the lease or something then?

WHS_DarthVADERTL

Thanks for all your comments! Yes I know, putting money down is always a bad thing on a lease, but I have this thing in my mind that I don't want a payment over $400 and I'm actually paying less money now than I did in my TL-S. I'm fortunate enough that $1,200 is not much at all for a lease down payment (including 1st month's payment).

The remaining balance on my TL-S was $15,823, and the dealer paid it off which was HUGE. And yes to the previous poster, the $21k number is what I can buy the car at the end of the lease at. Thanks to EVERYONE for their responses and I'm really happy that I'm on here to enjoy all the features and stories that I hear!!

The car is dark grey with black interior, and I'll post pics as soon as I can.

Thanks again

parasitius

Can't wait to see your pics

Interesting to know a deal like this is even possible, it's a first for me hearing of trading in an un-paid-off car and getting into a lease...

Oswald Vater

I also am one who never puts money down on the lease for reasons stated in several posts. That being said, $1200 isn't too much to get you into the car you wanted at a payment you could afford. MOst TL leases ask for more down money if leasing from Acura anyway. Congrats and enjoy your new ride!

Pablo12TL

Sounds like a solid deal to me. Enjoy!

morbidz

Actually its quite simple. Let's just round the numbers a bit. You have a financed car that's worth 20k but you owe 15k. You want a car that's 40k. They take a trade and pay off 15k that you owe hoping to pocket 5k that they estimate its worth when they sell it to the next guy. Then they say you have pretty eyes and they are losing money on your new lease and everyone goes home happy.

WHS_DarthVADERTL

Yeah, you hit the nail on the head morbidz...it's all simply a matter of what the dealer will give you vs the remaining loan on your car that you owe. These are all of course, arbitrary numbers and largely depends on if the dealer wants to make a deal or not. They said that my car was worth $12,000 wholesale which it probably is, but gave me $16,000 for it. KBB said it was worth around $15,500 so I made it good on the trade.

I think more people don't do this because they don't understand leasing and if there is money owed how it works. It's just a matter of research and knowing what to do/say when the dealer tries to screw you.

Another great thing is that the $21k number is a fantastic residual because I was just looking at '09 tl's with nav and the horrible beak and they were selling for 25k, 26k so that means equity in my pocket at the end of the lease (given the used car market doesn't fluctuate too much!)

BTW, I'm going to attach pics when I get out of work!

I love these forums!
Matt

james21_h

To me the deal looks like this:
400*36+1200+21400*(1.08 assuming 8% tax)
=$38712 OTD (assuming 8% tax)
Car you paid before tax = $35844

james21_h

One mistake: Monthly payment is $380 not $400
380*36+1200+21400*(1.065 assuming 6.5% tax)
=$37671 OTD
Car you negociated and paid before tax = $35371 + $1000 incentive = $36371

parasitius

I really wish I'd never seen this thread...
It may cost me $10s of thousands one day in the coming years... I used to be such a cheapass I wouldn't heat my place in the winter and would just put sweatpants on over my jeans and an extra pair of socks when I got home. . .

Fortunately I guess there is no way in hell they'd do this for a TL with 127,000 ^_-

forgonburic

congrats and good luck with the potholes.