[traydenbellean]

I was quoted $1220/mo on a 36 mo lease with ~$3k down and 12k miles/yr. Then, two days later, they came back with $1045/mo for the same terms stating the residuals were up 5pts.

Has anyone that got a lease through Audi earlier than this week received a notice from the dealer about this? I feel like this is pretty shady, although they said I would have been notified and received the reduced rate.

Also, what does this say about the S5? That they got the original residual far too low or that they are very optimistic about it's appeal and it holding it's value?

I ultimately decided to pass for right now due to a number of reasons, but would still LOVE to get one in the future. It's a beautiful car and my allocation is just sitting at the dealer waiting to be loved. Sad.

Anyone have any thoughts on the leasing system and how there would be such a HUGE discrepancy?!

 

[gtlexec]

I was quoted $1220/mo on a 36 mo lease with ~$3k down and 12k miles/yr. Then, two days later, they came back with $1045/mo for the same terms stating the residuals were up 5pts.

Has anyone that got a lease through Audi earlier than this week received a notice from the dealer about this? I feel like this is pretty shady, although they said I would have been notified and received the reduced rate.

Also, what does this say about the S5? That they got the original residual far too low or that they are very optimistic about it's appeal and it holding it's value?

I ultimately decided to pass for right now due to a number of reasons, but would still LOVE to get one in the future. It's a beautiful car and my allocation is just sitting at the dealer waiting to be loved. Sad.

Anyone have any thoughts on the leasing system and how there would be such a HUGE discrepancy?!

Sounds like a scam to me.

I believe you can check with your bank... who also has auto lease residuals. That way you can get the straight story.

 

[andrewaw]

Lease numbers

If you look at the following website, http://www.leaseguide.com/calc.htm , you can calculate Exactly what the lease payment should be, including tax and all fees. Using money factors and residuals posted online, including leasecompare.com, you should be able to get a relatively fully loaded S5, around $58K, (make sure you include gas guzzler) for about $1030/month with NO money down (that is using my sales tax in Colorado at about 6.65%). Just punch all the accurate data in. I think the latest I saw for Audi S5 was around 54% residual and a money factor of .0029. If you plug these numbers in, you should get much lower payments than what they are quoting. Also verify that they are selling you the car at MSRP and not a premium. Your numbers you pouted seem very high.

Hope this helps!!

 

[gtlexec]

If you look at the following website, http://www.leaseguide.com/calc.htm , you can calculate Exactly what the lease payment should be, including tax and all fees. Using money factors and residuals posted online, including leasecompare.com, you should be able to get a relatively fully loaded S5, around $58K, (make sure you include gas guzzler) for about $1030/month with NO money down (that is using my sales tax in Colorado at about 6.65%). Just punch all the accurate data in. I think the latest I saw for Audi S5 was around 54% residual and a money factor of .0029. If you plug these numbers in, you should get much lower payments than what they are quoting. Also verify that they are selling you the car at MSRP and not a premium. Your numbers you pouted seem very high.

Hope this helps!!

Andrew -

From one fellow Coloradoan to another, good advise and source!

 

[shivan150]

I would be a little suspicious of the information provided. I've been told by an audi dealer representative on Audiworld.com that the 2009 Audi leasing program, including residuals, would not be released till Aug 8th. I've also been told by independent lease brokers that bank lenders they usually work with (US Bank) have not released 2009 A5/S5 residuals yet and another large source of residual values, the automotive lease guide stated to me that 2009 residual values for these cars would not be available from them till Aug 5th at the earliest.

 

[andrewaw]

GTLEXEX- Thanks. I just ran the numbers again and can't get anywhere close to as high numbers as he was quoted. there aer just not that many variables in the equation, and unless they are using a 10% interest rate, then I think they are markedly increasing the selling cost of that car!

as an aside, still waiting for my 2009 S5 from prestige Audi!!! (trying to be patient!)

 

[andrewaw]

Shivan- Even with taht info, and THANK YOU, unless the RV and MF change dramatically, there is no way the lease payments given above fit into any reasonable scheme unless they are pocketing a bit on the cap cost of the car..dont you think?

 

[andrewaw]

Also, the following (sorry can't format it better) is from cars.com, and it refers to current residuals and MF specifically for S5, based on lease duration. Granted, these numbers are for 2008 S5, but I would not think they would be significantly worse for 2009. But what do I know??

2dr Cpe MT S5
24 months 36 months 48 months 60 months
MSRP $56,290 $56,290 $56,290 $56,290
ALG Residual % 68 56 44 36
ALG Residual Value $38,875 $31,775 $25,175 $20,200
Money Factor .002868 .002992 .003326 .003421
Payments Calculate Calculate Calculate Calculate

Data supplied by Automotive Lease Guide

 

[shivan150]

the monthly payment absolutely looks inflated. Often dealers jack up the money factor from their "buy rate" for additional profits. The July Money factor rate was around 6.7% or 0.00279 for a 2008 S5/A5 for 24-36 months. This dealer, like you said, may have the MF rate set much higher. Insist that they tell you the MF rate they used to calculate the monthly payment quote, then negotiate them down to as close to the buy rate as possible. The residuals they have no control over so that is pretty standard but like I mentioned there is no published residual values for the 2009 models. I forgot to mention AOA said the same thing.

 

[andrewaw]

Agreed! They did not use MSRP and a MF of .00879 for his calculation. As you would probably agree, the things we CAN negotiate are Cap Cost and MF, the rest is out of our control. I think if people are educated about the process, they will have much more success in leaving the dealership a happier customer!

Thanks for all the info.

 

[gtlexec]

Lease clarity...

Agreed! They did not use MSRP and a MF of .00879 for his calculation. As you would probably agree, the things we CAN negotiate are Cap Cost and MF, the rest is out of our control. I think if people are educated about the process, they will have much more success in leaving the dealership a happier customer!

Thanks for all the info.

Andrew& Shivan -

Many thanks for your information... we are all in your debt for educating us in an area of leases - that dealers often times use smoke screens and magic wands to mislead the customer.

Question for Shivan -

If 2009 lease information has not been released, how is Audi selling cars. Has no one taken delivery of a 2009 and leased it yet?

Also, given that the cost of the car went up only $400 (versus "08) how different can the lease variables really be?

 

[shivan150]

I asked a similar question to an audi dealer representative posting on audiworld.com, he mentioned that until the 2009 leasing program is released by AFS or other banks (hopefully early Aug) the car would likely sit at the dealership a week or two if you secured the car with a deposit. If anyone has leased a 2009 Audi A5/S5 already (I don't know any personally) maybe the dealership is using July numbers for the 2008 model to calculate the monthly payment?

I agree the small increase in MSRP is not going to substantially change the monthly lease quotes, and the money factors for the 2009 models are also likely to be nearly same as the 2008 models, but the residuals are likely to be higher for a new 2009 model as the car has not yet depreciated. The 2008 A5/S5 started with high residuals which gradually lowered as the year progressed and the car depreciated, and of course will continue to drop. So the the higher the residual, the lower your monthly payment.

 

[mmaturo]

If you look at the following website, http://www.leaseguide.com/calc.htm , you can calculate Exactly what the lease payment should be, including tax and all fees. Using money factors and residuals posted online, including leasecompare.com, you should be able to get a relatively fully loaded S5, around $58K, (make sure you include gas guzzler) for about $1030/month with NO money down (that is using my sales tax in Colorado at about 6.65%). Just punch all the accurate data in. I think the latest I saw for Audi S5 was around 54% residual and a money factor of .0029. If you plug these numbers in, you should get much lower payments than what they are quoting. Also verify that they are selling you the car at MSRP and not a premium. Your numbers you pouted seem very high.

Hope this helps!!

No one has leased one yet as I am waiting for the AFS numbers myself (car is at dealer), but just to put in my 2 cents a pretty well loaded S5 is now over $60K...mine with phantom black, Stainless inserts, Drive Select, b & o, tech package, (everything but the active cruise control) tops out at $62,900.

 

[Jimmyz]

Yes, the residuals did just go up 2 days ago. I don't think it went up 5%, I think it went up closer to 2-4% at most, but is should make a 50 or so dollar difference, maybe more. And the current MF I believe is .00294 or around there, which is pretty much unchanged. You must of misheard him, or he must of misspoke when he said the MF is .00879... the highest MF I have ever seen, ever, was like .00395, and that was on a Lamborghini lease.

 

[shivan150]

Jimmyz: What lease terms did your dealer quote you the residual and MF you mentioned above. Also I'm not sure how they are able to give you a residual value when all other sources state that 2009 residuals haven't been released by AFS or bank lenders that typically work with dealers.

 

[Jimmyz]

Well, my car will be delivered in sept of 08, and since there are no more 08 cars, and the least just changed, I am pretty sure it covers 09 cars, I even made sure with my dealer and he said that those numbers will go towards my new 09 car. Now back to the original posters question, even with the old numbers 1220 a month seems rediculously high. My 09 car is basically the most loaded S5 you can buy, except for the 250 dollars extra for the stainless steel inlays, and the 2100 dollar radar cruse, which I am guessing you didn't get, because no one does for that price on this car, LOL (although it would be nice, as I was told that this is the Audi second gen system that will go to a complete stop unlike the earlier ones that turned off below 30 mph). Anyways, my car,with the current rates, MSRP with dest and gas guzzler is 62665 (61165 with the 1500 dollar discount I negotiated), and for 36 months, 0 down, 12k a year, my car is 987 with tax upfront and 1071 with tax in the payment. The previous numbers wouldn't be anywhere near 1220, even without the 1500 off, and especially since you are putting 3k down, and my numbers were for 0 down. I would have to say that your dealer is trying to get some more money from you. I would go to one or two other Audi dealers, sit down, spec a car like yours is, and ask them how much the lease will be, I am sure it will be at least 100 less a month than what your dealer is quoting, if not more, and then bring those numbers to your dealer and ask why there is such a big difference when all the dealers go through Audi financial. If he says he can't change the numbers, than leave, but if you really want the car, then threaten to lease through leasecompare.com, which isn't as good as Audi Financials current numbers, but pretty close. Good luck!

 

[shivan150]

Jimmyz: Can you tell me what residual and MF your dealer is quoting you for your lease terms?

My Audi dealer has told me the residual for 2009 S5 Tiptronic for 39 months, 15k miles a year is 53%. The residual is nearly the exact as it was listed by AFS for the 2008 S5 in July. I don't understand how the residual value for a new 2009 model is listed the same as an outgoing 2008 model?

 

[traydenbellean]

Has anyone heard more news on rates & residuals coming out tomorrow? I'd be curious to know if the leases are now more or less.

Also, has anyone heard of a dealer not allowing an outside leasing company? I was looking at leasecompare.com and if you find the car yourself, the company gives you the check (I believe) and doesn't try to negotiate w/ the dealer... so why would the dealer care?!

 

[mmaturo]

I know too much on the subject as it just killed my deal...the very lucky people that picked up their cars between 7/28 and 7/31 had fantastic residuals for leasing...the base was 58% on a 36m/12K yr deal +2% for the 12K yr and another 1% for Audi Care) for a total of 61%. F'me. This week and going forward the residual is 55% period. I'm pissed as my car was here and could have done the paperwork last week. Oh well. Leasecompare's banks are using the same 55% residual so that seems to be it on that end. The MF from the dealers is .0279 to .003 so going leasecompare makes sense as their MFs are much better. The dealer should not care how you do the lease. They used to have issues with financing that way, i.e. CapitalOne checks but honestly they cannot refuse it, it is a check afterall. They will try as much as they can to talk you into their lease or financing as they make the $ off of it.

 

[Jimmyz]

I know too much on the subject as it just killed my deal...the very lucky people that picked up their cars between 7/28 and 7/31 had fantastic residuals for leasing...the base was 58% on a 36m/12K yr deal +2% for the 12K yr and another 1% for Audi Care) for a total of 61%. F'me. This week and going forward the residual is 55% period. I'm pissed as my car was here and could have done the paperwork last week. Oh well. Leasecompare's banks are using the same 55% residual so that seems to be it on that end. The MF from the dealers is .0279 to .003 so going leasecompare makes sense as their MFs are much better. The dealer should not care how you do the lease. They used to have issues with financing that way, i.e. CapitalOne checks but honestly they cannot refuse it, it is a check afterall. They will try as much as they can to talk you into their lease or financing as they make the $ off of it.

Please be wrong, lol.... I was quoted my lease numbers on 7/30, but he hasn't called me since to tell me that they went up. And even if they did go up, here is hoping that they will go back down by the time I get my car in 2 months. Also, is 55% resid with 12k miles and audi care?