georgehf

Hello fellow Q5 owners,

I have some questions on negotiating a lease as I have always just purchased my vehicles. I am considering leasing but don't want to get screwed in the financing or extra fees that they sneak in on a lease. Obviously the price is negotiable but after that, is the money factor and residual value negotiable? Can the dealership up the rate? What other fees are involved and do they vary? i.e. Acquisition fees, etc. What do I need to watch out for? Thank you for your thoughts!

iamgort

The MF is negotiable but not the residual AFAIK.

Scott Evil

The dealer can mark up the rate (money factor) on a lease. The dealer can also modify the residual, but the lender will adjust the purchase proceeds accordingly--therefore the dealer will make up the difference somewhere else. Changes in the residual are pretty rare for this reason.

georgehf

What is the best way to know that you're getting a decent money factor? Shop the dealers around? Should it be comparable to the finance rate I can get?

iamgort

You can check a site like www.ridewithg.com to get some MF info.

Scott Evil

Multiply your MF by 2400 and that is the comparable interest rate. As mentioned above the web has a lot of info on lease pricing, but shopping around is always good too.

BSee20

http://townhall-talk.edmunds.com/direct/view/.f1cc6db

I used this site for the MF and residual based on the term/mileage I wanted and it was spot on at the dealer. You can also research what other people are actually paying out the door. State tax treatment may be different, but it should give you a ball park idea for negotiating confidence. Good luck!