Price Paid For 2015 Genesis

[carltonsisk]

Yes, that was before rebates. Actually contract lists it as $41,575. They have to skim off every last dollar you know!

 

[Hoidy]

Just brought home my 3.8 Ultimate AWD Montecito/Gray with mud guards, cargo tray, bumper applique, wheel locks, and first aid kit.

MSRP: $52,800
Negotiated Price (before incentives): $47.884
Incentives: $3,000 ($1,500 lease cash + $1,500 conquest lease cash)
Net Price: $44,884
Money Factor: .00081 (1.94% APR)
Residual Value: 58% MSRP ($30,624)
36 months/12k miles
Monthly Pymt: $488

I put $1,600 down including first month (mainly to pay the taxes, which in IA are due in full at lease inception and I didn't want to pay interest on it).

 

[DrNotes]

V6 AWD Ultimate

I am very close to pulling the trigger on this deal:

Empire Grey with black, V6 AWD Ultimate with cargo tray/1st aid/wheel locks
sticker 52,635
price 47,386 + tax and title at 1.9% financing for 60 months.

Based on what I am reading in here, that seem pretty reasonable. Has anyone ever negotiated to get some of those $99 BlueLink annual fees thrown in for 3 or 5 years? They are included for 3 months and I believe you have to get the "plan" to be able to remote start the car via smartphone and things like that. I notice that it does include SiriusXM for 3 years already, kind of nice. I am also definitely going to rebadge the trunk and probably add fog lights down the road. I think it would look good with 19 or 20 inch black rims and brake caliper covers as well. Thoughts anyone?

 

[Hoidy]

Re: V6 AWD Ultimate

I am very close to pulling the trigger on this deal:

Empire Grey with black, V6 AWD Ultimate with cargo tray/1st aid/wheel locks
sticker 52,635
price 47,386 + tax and title at 1.9% financing for 60 months.

Based on what I am reading in here, that seem pretty reasonable. Has anyone ever negotiated to get some of those $99 BlueLink annual fees thrown in for 3 or 5 years? They are included for 3 months and I believe you have to get the "plan" to be able to remote start the car via smartphone and things like that. I notice that it does include SiriusXM for 3 years already, kind of nice. I am also definitely going to rebadge the trunk and probably add fog lights down the road. I think it would look good with 19 or 20 inch black rims and brake caliper covers as well. Thoughts anyone?

My understanding is the blue link costs are through blue link itself and I doubt the dealer will be willing to eat the cost for you, but can't hurt to try. One thing you might want to look at is doing a lease instead of the financing. They're doing 1500 in lease cash on the genesis through march 2 and the money factor equates to about the same apr so all you're really out additionally is the acquisition fee (595) but are getting 1.5k from Hyundai. At the end of the lease you can buy the car for the residual left and just use a credit union to finance at a good rate.

 

[greekgeek]

^interesting approach. I think there is also a turn in fee at lease end, not sure if you buy it at the end. I considered it but bought outright, thinking back I probably should have leased and bought at the end because of the $1.5k and the 5.0's lease at essentially 0.0% interest.

Doh!

 

[Hoidy]

^interesting approach. I think there is also a turn in fee at lease end, not sure if you buy it at the end. I considered it but bought outright, thinking back I probably should have leased and bought at the end because of the $1.5k and the 5.0's lease at essentially 0.0% interest.

Doh!

I don't think you pay the fee if you purchase at the end of the lease, but this is my first lease with Hyundai. I know BMW did not charge it when I purchased at the end of my lease. Disposition fee on the Genesis is $400

 

[ksoze]

You may however also have to pay taxes on the cars purchase price when you buy it out. If your intention is to buy the car, then buy it. Without running the numbers, I do not think it is as financially sound to lease than buy as as buy out the gate. Also, the buyout amount is a gamble - with no historical record for the G2 cars depreciation yet, it is a crap shot at this point. If it is way off (too low) at lease end, a buy out may could more sense.

 

[Hoidy]

You may however also have to pay taxes on the cars purchase price when you buy it out. If your intention is to buy the car, then buy it. Without running the numbers, I do not think it is as financially sound to lease than buy as as buy out the gate. Also, the buyout amount is a gamble - with no historical record for the G2 cars depreciation yet, it is a crap shot at this point. If it is way off (too low) at lease end, a buy out may could more sense.

In most states, you only pay tax on the lease amount during the lease and on the residual value when buying the car. This would result in the same amount of tax either way. If your intention is to buy the car and you only lease in order to take advantage of free money through manufacturer incentives, the residual value doesn't matter (during the lease you only pay for the difference between agreed purchase price and residual value)

In most instances it'll cost more to lease and buy than to buy straight out due to the acquisition fee. However, in this instance hyundai is providing 1500 in lease cash (and another 1500 if you also own/lease a competitor such as audi, bmw, etc). These are not avaliable with a straight purchase. Since the interest rates are essentially the same, you'll save 900 by leasing (or 2400 if you own a competitor)

 

[ksoze]

your intention is to buy the car and you only lease in order to take advantage of free money through manufacturer incentives, the residual value doesn't matter (during the lease you only pay for the difference between agreed purchase price and residual value)

The residual amount does matter if buying it out - you will be financing that amount for several more years after lease end and if it is higher than market, you can overpay. Without running spreadsheets, I am not so sure that in the end of 6 or 7 years of payments (3yrs lease +$31K residual loan) is less than a 1.99% car loan for 4 or 5 years, regardless of the cash incentives.

 

[greekgeek]

For the 5.0, lease money factor two weeks ago was 0.00001, so essentially 0% interest. In retrospect it would have been a no trainer to lease then buy out. only unknown is what the interest rate will be for the residual 3 years from now as presumably rates will be higher than today, offset of course by three years interest free...

Oh well live and learn.

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[Alwaysforward]

Do you still have to pay higher car insurance for leased cars? Last time I leased a car (early 90's) the car insurance was almost double what a car was you were buying.

 

[Hoidy]

The residual amount does matter if buying it out - you will be financing that amount for several more years after lease end and if it is higher than market, you can overpay. Without running spreadsheets, I am not so sure that in the end of 6 or 7 years of payments (3yrs lease +$31K residual loan) is less than a 1.99% car loan for 4 or 5 years, regardless of the cash incentives.

If you are entering the lease with the intention to purchase at the end, the residual value does not make a difference in the cost of the car as you are still only paying for the total agreed purchase price plus financing charges. Yes, if you would finance the entire residual over another 3 years (in addition to the 3 year lease) you would end up paying more in interest due to the extended time you are taking to pay the car off (6 years vs your stated 4-5 yrs) but not significantly more than if you took a car loan out for the same time period.

You are also forgetting that your monthly lease payment for those first 3 years would be significantly lower than your financed car loan payment would be. If your intention is to purchase, but you lease in order to get the additional $1,500-$3,000 in incentives, you could put the money you are saving in monthly payments for the first 3 years into a savings account to use to pay down the balance when financing the residual value.

Let me give you my lease as an example. The agreed cost of my 3.8 AWD Ultimate with options was $47,884 and after incentives, $44,884. The residual value at the end of the lease is $30,624. Total principle paid over 3yrs is $14,260, total finance charge is $2,219, acquisition cost $595 for total costs (not included taxes, reg, etc) of $17,074. Monthly payment is $474 for the lease.

A 5 yr auto loan with 1.9% would result in monthly payments of $837.21 and you would pay $1,956 in interest ($263 less than lease) over 3 yrs and the remaining balance would be $19,700. You would also have paid $13,076 more in monthly payments which could be used to pay down the residual upon purchase if you saved it (which would bring residual amount to be financed to $17,548.

In this case, leasing the car saves $2,142 ($3,000 incentives less $595 acq fee less $263 additional financing costs for 3 yrs).

I am not saying that leasing is always the best choice, but when looking at the current incentives from Hyundai, I think a lease is the cheapest way to get a Genesis especially if you qualify for the competitive owner $1,500 and have good credit. Essentially not leasing is like giving more money to Hyundai.

 

[Hoidy]

Do you still have to pay higher car insurance for leased cars? Last time I leased a car (early 90's) the car insurance was almost double what a car was you were buying.

I didn't comparison shop insurance rates between leased and financed, but my guess would be no. As long as you would be carrying the same level of insurance either way, I don't think the insurance company cares if your bank owns the car or the leasing company. The additional cost comes in if you are required to carry higher insurance levels than you would otherwise carry. Most banks I've worked with for auto financing require the same or similar level to the leasing company so for me there hasn't been much of a difference (i would carry the same insurance even if they didn't make me)

 

[Hoidy]

For the 5.0, lease money factor two weeks ago was 0.00001, so essentially 0% interest. In retrospect it would have been a no trainer to lease then buy out. only unknown is what the interest rate will be for the residual 3 years from now as presumably rates will be higher than today, offset of course by three years interest free...

Oh well live and learn.

That would've been awesome...if only it came in AWD...

 

[DrNotes]

If you are entering the lease with the intention to purchase at the end, the residual value does not make a difference in the cost of the car as you are still only paying for the total agreed purchase price plus financing charges. Yes, if you would finance the entire residual over another 3 years (in addition to the 3 year lease) you would end up paying more in interest due to the extending time you are taking to pay the car off (6 years vs your stated 4-5 yrs) but not significantly more than if you took a car loan out for the same time period.

You are also forgetting that your monthly lease payment for those first 3 years would be significantly lower than your financed car loan payment would be. If your intention is to purchase, but you lease in order to get the additional $1,500-$3,000 in incentives, you could put the money you are saving in monthly payments for the first 3 years into a savings account to use to pay down the balance when financing the residual value.

Let me give you my lease as an example. The agreed cost of my 3.8 AWD Ultimate with options was $47,884 and after incentives, $44,884. The residual value at the end of the lease is $30,624. Total principle paid over 3yrs is $14,260, total finance charge is $2,219, acquisition cost $595 for total costs (not included taxes, reg, etc) of $17,074. Monthly payment is $474 for the lease.

A 5 yr auto loan with 1.9% would result in monthly payments of $837.21 and you would pay $1,956 in interest ($263 less than lease) over 3 yrs and the remaining balance would be $19,700. You would also have paid $13,076 more in monthly payments which could be used to pay down the residual upon purchase if you saved it (which would bring residual amount to be financed to $17,548.

In this case, leasing the car saves $2,142 ($3,000 incentives less $595 acq fee less $263 additional financing costs for 3 yrs).

I am not saying that leasing is always the best choice, but when looking at the current incentives from Hyundai, I think a lease is the cheapest way to get a Genesis especially if you qualify for the competitive owner $1,500 and have good credit. Essentially not leasing is like giving more money to Hyundai.

Some good points there, thanx everyone. I am having them run the lease numbers now since I do qualify for the competitive $1500. There are no differences between lease and buy insurance prices for the same coverage.

 

[greekgeek]

That would've been awesome...if only it came in AWD...

Yep, can't get any lower. I wonder if they increased the money factor in February since the lease cash came out. I was eligible for the competitive lease cash.

My one consolation is that my loan will be paid off way before term, still would have been nice for 3 years free money...

 

[scooterb]

Naive question on my part here...
looking at the Hyundai web page for specials, I do see the lease promo offered as well as the $1500 'conquest' offer (which I qualify for as a current Caddie driver). What's not apparent to me is how folks are equating these lease specials to $1500 in value themselves. What lines am I not connecting ???

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You are also forgetting that your monthly lease payment for those first 3 years would be significantly lower than your financed car loan payment would be. If your intention is to purchase, but you lease in order to get the additional $1,500-$3,000 in incentives, you could put the money you are saving in monthly payments for the first 3 years into a savings account to use to pay down the balance when financing the residual value.

Let me give you my lease as an example. The agreed cost of my 3.8 AWD Ultimate with options was $47,884 and after incentives, $44,884. The residual value at the end of the lease is $30,624. Total principle paid over 3yrs is $14,260, total finance charge is $2,219, acquisition cost $595 for total costs (not included taxes, reg, etc) of $17,074. Monthly payment is $474 for the lease.

 

[Hoidy]

Naive question on my part here...
looking at the Hyundai web page for specials, I do see the lease promo offered as well as the $1500 'conquest' offer (which I qualify for as a current Caddie driver). What's not apparent to me is how folks are equating these lease specials to $1500 in value themselves. What lines am I not connecting ???

************************************


You are also forgetting that your monthly lease payment for those first 3 years would be significantly lower than your financed car loan payment would be. If your intention is to purchase, but you lease in order to get the additional $1,500-$3,000 in incentives, you could put the money you are saving in monthly payments for the first 3 years into a savings account to use to pay down the balance when financing the residual value.

Let me give you my lease as an example. The agreed cost of my 3.8 AWD Ultimate with options was $47,884 and after incentives, $44,884. The residual value at the end of the lease is $30,624. Total principle paid over 3yrs is $14,260, total finance charge is $2,219, acquisition cost $595 for total costs (not included taxes, reg, etc) of $17,074. Monthly payment is $474 for the lease.

The lease special listed on the Hyundai website includes $1,500 in lease cash. This is not easy to spot as its not separately listed nor is it specifically identified in the legal info for the lease special. You have to do some calculations to see that it is there. If you look at the lease special and try to get to the Net Cap Cost they are using, you'll see it. Take the MSRP, add the $595 acquisition fee and reduce it by the amount they are using from the down payment for cap cost reduction and you'll see its $1,500 higher than the listed Actual Net Cap Cost. This is not the $1,500 Conquest, but an additional $1,500 available to all so $3k if you qualify for conquest.

Also Cars.com has a pretty good website listing incentives (although its not very descriptive on some of them) http://www.cars.com/go/advice/incentives/index.jsp

 

[scooterb]

Thanks...interesting the the Cars.com link you provided suggests the $1500 cash back is applicable to either lease situations or outright purchases. Do you read as the same ? IOW - if i was going to buy the vehicle outright - would i expect to see $3000 in incentives I could apply against the negotiated price I get to with the dealer ?

Slightly unrelated question ---
Vehicle i'm after is 3.8L AWD with Sign. and Tech packages. MSRP on that vehicle i'm at 49,230. *If* i was paying cash and could get 3k of incentives from Hyundai - how much more do you think i could negotiate ? Said differently - for a cash deal - how much off MSRP should i expect to be able to negotiate ?

The lease special listed on the Hyundai website includes $1,500 in lease cash. This is not easy to spot as its not separately listed nor is it specifically identified in the legal info for the lease special. You have to do some calculations to see that it is there. If you look at the lease special and try to get to the Net Cap Cost they are using, you'll see it. Take the MSRP, add the $595 acquisition fee and reduce it by the amount they are using from the down payment for cap cost reduction and you'll see its $1,500 higher than the listed Actual Net Cap Cost. This is not the $1,500 Conquest, but an additional $1,500 available to all so $3k if you qualify for conquest.

Also Cars.com has a pretty good website listing incentives (although its not very descriptive on some of them) http://www.cars.com/go/advice/incentives/index.jsp

 

[ksoze]

Slightly unrelated question ---
Vehicle i'm after is 3.8L AWD with Sign. and Tech packages. MSRP on that vehicle i'm at 49,230. *If* i was paying cash and could get 3k of incentives from Hyundai - how much more do you think i could negotiate ? Said differently - for a cash deal - how much off MSRP should i expect to be able to negotiate ?

For any deal, you should be aiming for invoice or lower, then subtract any incentives. Do not allow the incentives to become part of your price bargaining.