Just leased a 2103 SL ... Did I pay too much?

[mattb]

Hi,

On 8/17/13 I leased a 2013 Leaf SL with the premium package (I got pushed into upgrading from the SV and other SL but that's another story). My concern is I may have paid too much. After getting pressured to get the deal done the same day I have since done more research/price checking and I feel I may not have missed some things. Can anyone take a look at these numbers and give me their opinion(s)? This is my first car lease though not my first car purchase. THANK YOU!

-I put "$0 down"
-I paid $1,470.00
"Itemization of Amount Due at Lease Signing or Delivery": Capitalized Cost Reduction: $7,502.89, First month payment of $390.65, Registration fees of $307.00, "tax on Capitalized Cost Reduction" of $675.26, "Sales tax paid in advance" $7.20, Document Processing charge of $80.00, CA tire fee of $7.00 total of $8,970.00 minus $7,500 = $1,470.00

"Consumer Leasing Act Disclosure Box":
First month payment of $390.65
35 payments of $390.65
Total of your monthly payments is $14,063.40
**Disposition Fee: $395.00 (I did not catch this when I signed). There's also a $300 Purchase Option Fee. ??

The "monthly payment is determined as shown below":
-Gross Capitalized Cost: $34,928.00 + $595 Acquisition Fee + $29 DMV Filing Fee = $35,552.00
-Capitalized Cost Reduction: $7,502.89
-Adjusted Capitalized Cost: $28,049.11
-Residual Value: $18,122.65
-Depreciation and Amortized Amounts: $9,926.46
-Rent Charge: $2,975.58
-Total of Base Monthly Payments: $12,902.04
-36 month lease
-Base monthly payment: $358.39
-Monthly sales tax: $32.26
-Total monthly payment: $390.65

I'd appreciate any thoughts or concerns. I've already spoken to the Sales Manager about the way the salesman pressured me the day of the sale.

Thanks!

 

[cgaydos]

Please put your location in your profile so people can see where you live - that does affect the prices in your area.

But I see that there was a "CA tire fee" included which means California.

But yes, $1470 initial payment and $390/month for 36 months - even if the $1470 includes one month's payment - is high by California standards for an SL with MSRP around $35k.

 

[derkraut]

For a CA lease, I think you paid too much. Way too much. But, what the heck----you only live once.

 

[mattb]

Please put your location in your profile so people can see where you live - that does affect the prices in your area.

But I see that there was a "CA tire fee" included which means California.

But yes, $1470 initial payment and $390/month for 36 months - even if the $1470 includes one month's payment - is high by California standards for an SL with MSRP around $35k.

Yes, purchased in California. When you say "high", please note how high and if there's anything I can do about it.
Thanks,
Matt

 

[mattb]

For a CA lease, I think you paid too much. Way too much. But, what the heck----you only live once.

Can you be more specific, please. I'd like to know what I did wrong and if there's anything I can do about it.
Thanks!

 

[supra410]

I was looking to lease a 2013 s model before I bought my 2011sl. I do know the sv lease was a bit higher and the sl lease being substantially higher than the S. Maybe they got you at retail price and may have reduced your upfront cost by rolling it into your monthly pmt.? Nonetheless, I wouldn't lose sleep over it. The fact that you aren't buying gas, should offset your monthly pmt quite a bit at CA fuel prices.

I don't know your situation, but credit scores affect what tier you would be placed in. Obviously, the higher the tier, the higher your payment.

 

[mattb]

I was looking to lease a 2013 s model before I bought my 2011sl. I do know the sv lease was a bit higher and the sl lease being substantially higher than the S. Maybe they got you at retail price and may have reduced your upfront cost by rolling it into your monthly pmt.? Nonetheless, I wouldn't lose sleep over it. The fact that you aren't buying gas, should offset your monthly pmt quite a bit at CA fuel prices.

I don't know your situation, but credit scores affect what tier you would be placed in. Obviously, the higher the tier, the higher your payment.

Thanks for the piece of mind. I agree, the car represents my values. That said, I have great credit so I'm a bit confused. I'll get over it. It's a great car. I can't believe it yet.

 

[cossie1600]

I hope you put in your $2500 request.

Just to make you feel better, your SL prem is $7K more than my S. Figure the car is worth about half after three years. $3500/36 is roughly $100 per month or $109 taxed. Your payment is about $150 more than mine, so you probably paid $1-2K too much for the car.

 

[cossie1600]

You paid like $1400 below sticker. It's not the end of the world, but they did make their money.

 

[mattb]

You paid like $1400 below sticker. It's not the end of the world, but they did make their money.

Is there any way I can go back and tell them they overcharged me? I know that sounds so naive but what would I have to lose?

 

[TonyWilliams]

You paid like $1400 below sticker. It's not the end of the world, but they did make their money.

Is there any way I can go back and tell them they overcharged me? I know that sounds so naive but what would I have to lose?

Sure, tell them all you want. They'll get a good laugh.

But, who knows. Maybe they'll feel sorry for you and offer "free oil changes".

 

[DNAinaGoodWay]

A lot of dealers use these tactics, because they work. Sales staff are trained to use them. Your sales manager gave your salesman a pat on the back as soon as you left.

I don't know CA law, but here contracts have a 3 day period in which you can change your mind and negate the sale, enacted to give recourse to people who cave to pressure, amongst other things. But you'd be past that now, and you'd still lose registration and probably other fees.

Chalk it up to a learning experience, in future, negotiate by email, never, never step into a showroom.

Sorry.

 

[RonDawg]

I don't know CA law, but here contracts have a 3 day period in which you can change your mind and negate the sale, enacted to give recourse to people who cave to pressure, amongst other things. But you'd be past that now, and you'd still lose registration and probably other fees.

In California, you can purchase an optional plan which allows you to rescind a used car purchase within I think 72 hours or 500 miles. I believe it's around $250.

But with a new car, "all sales are final." There are even signs at the dealership telling you this.

 

[DNAinaGoodWay]

Pressure sales fascinate me. It seems a mild form of torture, where the victim can end it at any time, yet don't. They feel trapped, and end up signing for what they'll regret later, just to "make it stop".

The salespeople, sanctioned and encouraged by management, seem to derive a twisted pleasure at being able to manipulate people. Can't be good for their karma.

And it's so prevelent.

mattb, if you're stuck with a lesser deal, you're not the first, and won't be the last. I think you won't buy any more cars in that way.

Take some comfort in the fun this car is, the gas and maintenance savings, and that you're part of the solution.

 

[TULeaf]

You paid under $35k for a SL w/ premium that likely had a sticker over $37k. That's a decent deal.

You're monthly payment is so high because you put nothing down and rolled taxes into it. Even the base S model requires $2k down and prepayment of all taxes to get $199/month. Roll the taxes and down payment in and it would be $300/month.

 

[cgaydos]

Pressure sales fascinate me. It seems a mild form of torture, where the victim can end it at any time, yet don't. They feel trapped, and end up signing for what they'll regret later, just to "make it stop".

The salespeople, sanctioned and encouraged by management, seem to derive a twisted pleasure at being able to manipulate people. Can't be good for their karma.

And it's so prevelent.

mattb, if you're stuck with a lesser deal, you're not the first, and won't be the last. I think you won't buy any more cars in that way.

Take some comfort in the fun this car is, the gas and maintenance savings, and that you're part of the solution.

Yes, the best you can do is learn from it. I got a rotten lease deal in 1994 at a CA dealership - same thing, high pressure tactics, long negotiation, but the worst part was I didn't understand leases. I did a couple days later get them to convert it to a purchase but it was still a bad deal.

I learned from that. I don't do negotiations in the dealership anymore - it's all by email/phone now with multiple dealers.

 

[cgaydos]

Pressure sales fascinate me. It seems a mild form of torture, where the victim can end it at any time, yet don't. They feel trapped, and end up signing for what they'll regret later, just to "make it stop".

Regarding this point I read a book over 20 years ago called "Car Buyer's Art". The author described how dealerships function to maximize profit on each vehicle - amazingly even with the internet most dealerships today still follow the same approach when they target buyers who walk in off the street.

One of his key points is that the customer has all the power in the transaction, in that the customer can walk at any time, but the dealerships are experts and making the customer feel like the dealership has the power.

The key always is when in doubt walk away. The author pointed this out several times. Sometimes, you go through the negotiation process, agree to a figure, then before signing realize that you didn't get a good deal. Usually people are so tired then they just sign anyway (I know I did that in 1994 - and I'd read the book and used the advice in two earlier successful car purchases!), and let's face it the dealers know every psychological technique in the book to keep you from walking. But you have the power - if you don't like the deal, walk.

 

[mattb]

Pressure sales fascinate me. It seems a mild form of torture, where the victim can end it at any time, yet don't. They feel trapped, and end up signing for what they'll regret later, just to "make it stop".

Regarding this point I read a book over 20 years ago called "Car Buyer's Art". The author described how dealerships function to maximize profit on each vehicle - amazingly even with the internet most dealerships today still follow the same approach when they target buyers who walk in off the street.

One of his key points is that the customer has all the power in the transaction, in that the customer can walk at any time, but the dealerships are experts and making the customer feel like the dealership has the power.

The key always is when in doubt walk away. The author pointed this out several times. Sometimes, you go through the negotiation process, agree to a figure, then before signing realize that you didn't get a good deal. Usually people are so tired then they just sign anyway (I know I did that in 1994 - and I'd read the book and used the advice in two earlier successful car purchases!), and let's face it the dealers know every psychological technique in the book to keep you from walking. But you have the power - if you don't like the deal, walk.

Thanks. I'll remember it next time. Just because they're selling wonderful Leafs doesn't mean you don't get hosed. And it appears I paid way too much.

 

[DNAinaGoodWay]

Maybe not, there's truth in what TULeaf writes here:

You paid under $35k for a SL w/ premium that likely had a sticker over $37k. That's a decent deal.

You're monthly payment is so high because you put nothing down and rolled taxes into it. Even the base S model requires $2k down and prepayment of all taxes to get $199/month. Roll the taxes and down payment in and it would be $300/month.

You did, after all, get all the bells and whistles. How's the Bose?

 

[Boourns]

^ Agreed. You didn't get the best deal in the world, but I don't think you got hosed.

With the low residual value and a relatively high money factor, even for good credit, the Leaf is just kind of an expensive car to lease right now.