After searching well, I considered to leave BMW and plan to lease the 2018 Audi A5 Cabriolet. I think this car is so perfect for me. Are these numbers considered good deal? It’s my first time to lease and maybe I can get some advice here. Thanks in advance. Any advice is appreciated.
LEASE TERM: 36 Months
MILES PER YEAR: 10,000
PAYMENT:$529
DUE AT SIGNING:$4,018
REBATE:$1,000
Yes, the lease look fine…A good tip about leasing is to never lease a vehicule longer than the car basic warranty. 3-4 year lease at the most. The idea is that you don’t want to spend money on new tires,brakes and maintenance before you return the car.Also, what was the total cost of the car and its residual value after 3 years?
If you feel good about it is all that matters. I would not spend that much to lease anything.
if you return car at lease end and tires are worn below minimum wear specs they might have an issue with that. tires do not have a warranty per se. if you damage the sidewall at 20k miles, you replace the tire. which means you pay for it. your tires might only last 20k miles since they are performance tires. would be annoying to return car and they send you a bill for new tires.
Using my local tax rate of 6%, the monthly cost is appox. $684. This assumes there are no addtional fees other than lease termination. ($400?) If you can afford it, and want at that price; go for it.
Don’t know where you are but a lease payment having a tax ?
All I know is that with a 529 lease payment, 4000 sign up charge and at least 1000 a year for insurance just to drive something 10000 miles a year is not something that makes sense to me.
Are you 100% sure you can stay under 30,000 miles in three years.
The rest is up to you.
An excellent point about the usage . . .
Most people I know drive well over 10K miles/year, thus the lease wouldn’t work for them, unless they’re willing to pay steep penalties at the end
Will you drive this car less than 10,000 miles per year? If not, how many miles will you drive, and what is the extra cost?
Nice car. I hope you enjoy it.
How does that lease work? It’s true, I know nothing about car leases. As I understand it, Carol will pay $529/month for use of the car for 3 years, not to exceed 10,000 miles per year. And Carol will presumably pays for all insurance, gasoline, routine maintenance, repairs other than new car warranty items, and state property taxes & licensing fees. But what is the $3018 for? (4018-1000 rebate). Does Carol get any of that $3018 back when she returns the car at the end of 3 years? What if Carol runs the meter up 20,000 miles the first year, and 10,000 miles over the next two years, for a 3 yr total of 30,000 miles? Any penalty for that?
No, $4018 is due at the time of signing.The $1000 is a rebate on the car.Actually, most people prefer leasing than buying because they can drive a high end car for 3 years with low monthly payments.
When you lease a car, at least here in NY state, you have a purchase price and a residual price. The residual price is the agreed value at the end of the lease and the price you can buy it for at the end of the lease. You pay sales tax on the difference between those prices. You usually have a fee for the lease, it may be called a bank fee or a lease origination fee, there is also interest on the use of the money. It may not be mentioner as such in the lease but if you multiply the monthly payments and check it against the amount thay you paid sales tax on you will discover it. To add insult to injury , some cars also have a lease termination fee.
You are paying $22,062 to drive a new Audi for 3 years. I don’t know how much the car costs nor the residual value at the end of the lease. I can’t say that’s a good deal or not without these numbers.
Online I see the car sells for about $44,000. If the residual value is about $31,000 (70% of value left in the car) you are paying $22K for about $13K worth of value. That is a lease rate (interest rate for the loan) of about 7.7%. That is a bit high.
Calculated here: https://www.bankrate.com/calculators/auto/auto-lease-calculator.aspx
I wouldn’t consider that a good deal.
local dealer has 2 A5 listed and both are premium plus option packages. maybe the premium plus has gold plated trim? they are both 2.0T models. the hardtop is 53k and the conv is 61k. is there a non premium conv available? maybe the conv has all the options? so this conv is 61k and there are other conv’s in the 44k range? thats almost 17k in options
Another place to ask about the specific lease terms is Edmunds, they have discussions on just about every make and model:
Looking at several dealers in the northwest the cheapest one stickers for $55,000 (base trim with all options) base price of just under $50,000 not including destination. But most are around $60,000.
YIPES!!!
And for all this money you get zero equity in the vehicle. Nothing. Nada, Zero. Zip. In three years they get the car back and leave you to start all over again.
A lease is nothing but a long-term rental. The mileage limitations are (at 10K max) pathetic, the constraints overbearing, and the cost (in this case) high. Get a minor dent, and you MUST get it fixed professionally… immediately or when you turn the car in. Exceed 10,000 miles a year and you pay a penalty. Get a lemon and you’re stuck with it, you cannot trade or sell it. It isn’t yours.
You’ll be paying an awful lot IMHO just to be seen in a snazzy car. Once the novelty wears thin, you’ll be stuck with it whether you like it or not.
I think you’d be making a big mistake. But it’s your decision.
Not every one wants to pay for ownership equity and hold it in their vehicle with hope that they will get most of it back in three years, some people would rather use that money for things that they could enjoy.
A person with a leased vehicle wouldn’t be stuck with a lemon, lemon law applies to leased vehicles as well.
$4,018 down and $529/month?
Gimme a break. You can buy a car and build some equity in it a heck of a lot cheaper. Than you’d have even MORE money to spend on other things.
I should comment that the concept is not to try to try to get the equity back in three years, but to keep the vehicle, banking the money you would have spent on payments.
But if one should want to try to get the money back in three years, at least he/she would HAVE the equity! Exactly what can someone with a leased vehicle “get back” in three years? There’ll be absolutely zero equity. None.
You should know that lemon laws vary by state. Without knowing what state the OP is in, it’s impossible to know whether a lemon law would apply to a lease.
Audi estimates the monthly payment of $835 for the purchase of the lowest priced A5 Cabriolet with a $5000 down payment, that is $300 more per month if you really want to have equity in your car.
They didn’t invest in the vehicle so they would still be holding the “equity” money.
This discussion is about driving a luxury car for three years, if you want to discuss driving a cheap car for fifteen years you have chosen the wrong discussion.
As for the lemon law, you’re not “stuck with it” in California;
The Lemon Law applies to most vehicles purchased or leased in California that are still under a manufacturer’s new car warranty. Members of the Armed Forces, who are stationed in or are residents of California, are protected by the Lemon Law even if their vehicles were purchased or registered outside of California.
The Lemon Law also applies to used vehicles when they are still under a manufacturer’s new car warranty. Any remaining time left on the warranty protects the car’s new owner.