2013/2014 Nissan Leaf Lease Information

[abhik]

A bit long winded - but here's a summary of our deal which I think is pretty great!
About 6 weeks ago, three of us Washington staters got together and started shopping as a team for the best lease deal we could find... A huge tip of the cap to Kumar (user name Abhik on this forum!), who scored a fantastic quote of zero down, $219 per month for an SV with the QC/LED package.

Well, a quote is one thing, but getting the actual deal? The challenge was that the dealership with this quote had to order the three cars in. So of course we gave other stores with stock on the ground an opportunity to match, but no one would get down as low as we needed... So, we confirmed as best wee could with Olivia and Adam at Advantage Nissan in Bremerton that the deal was real, there were no hidden gotcha's, and we waited...

Yesterday, the first of the three cars ordered arrived - it was for my brother in law, so the two of us trekked down to Bremerton (about 120 miles from our homes up in the Bellingham area). I was still skeptical - since we got the quote, the money factor had changed, and the residuals had changed - how was this going to work?

Well, I was very pleasantly surprised! The deal was exactly as we had agreed, with the only fee outside of $219 per month being the disposal fee ($390) at lease end, which we had already agreed to.

The General Sales Manager, a nice guy, gave props to us for being good negotiators, he had written a confirmation email to me last month when I pressed the sales people Olivia and Adam to put things in writing. I was really impressed by this dealership by the way, very professional and not a hint of sleaziness - highly recommend them! Adam is the Leaf expert and gave us a very thorough walk through of the car.

Here are the details that I could glean from our paperwork:

MSRP: $34,615
Price as agreed: $31,015
No sales tax (Washington state)
Federal rebate on an SV: $7,825
acquisition fee: $595
documentation fees, licensing, local fees: $354
residual - .60
adjusted residual (buyout at lease end): $20,769
24 month lease, 12,000 miles per year

Price paid, including all doc fees, taxes, etc: $219 per month, or $5,256

Couple lessons I learned along the way that might be of help to others:
1) Approach every dealership you can! Your best price might not come from a dealership that stocks a lot of Leafs.
2) Patience will be rewarded - if you have to have a car right away, then you rob yourself of negotiating power.
3) Team up for better bargaining! This dealership was happy to sell three cars at once, and they knew we were serious right from the first phone call (we had done our homework!)
4) This might be the most important - GET IT IN WRITING! We confirmed three different ways with two different dealer employees that our deal was legit. The General Sales Manager told me they had to work with NMAC on our deal because of the changes in the money factor and residual from June when we got the quote till now. If we didn't have every detail squared away, who knows what might have happened!

My brother in law loves his car, and we are going to make the same trip next week to pick mine up (it's supposed to arrive today!) We stopped at the QC station in Burlington on the way home after about 75 miles, and easily made it home after that. Kumar is getting his I think today or tomorrow also

Hope this is of some help to anyone shopping for a lease!

Well said Marty!!

Our hard work paid off. I will be picking up mine slate gray this week or next Sunday.

Btw I also wanna mentioned that on June 30th, anther dealer Tacoma Nissan approached me since they had our original quote request for SV with QC pkg. they called me around 2pm on June 30th saying they will give me awesome deal better that 219 $0 down. I asked what that will be and I was told $199 with $0 down. I was traveling that week. But the other issue was they didn't had my color in stock they had 3 black and 2 red SV. And more over I had $500 deposit with advantage. Tacoma Nissan told me the deal is only valid for that day since they had to report the sale end of the month. Anyway not sure if the $199 deal would have worked since I was not interested in black color.

And I also went to eastside Nissan and pinged other dealers thru carwoo.com. They told me this deal is too good to be true. Now we know its TRUEEE.

So bottomline shop across multiple dealers and choose best deal

 

[aquaman]

Here's an offer that I got today at a local dealership (State= CA; Bay Area)
Model: Base S + QC package & rear view camera
MSRP: $31,120
Price as offered: $27,900 (VPP + negotiation)
Federal rebate: $7500
Cash Cap Reduction/Total Cap Reduction: $6,265.42
Adj Cap Cost: 22,229.58
acquisition fee: $595
documentation fees, licensing, local fees: $271
Upfront Fee: $136
residual - .49
adjusted residual (buyout at lease end): $15,248
Money Factor: 0.00168
36month lease, 12,000 miles per year
Total Sale Tax: $1,357.51
Customer Down Payment: $0
Monthly Payment: $279.35

I am confused about Total Cap Reduction, and the Total Sales Tax.
Also just want to see how good/bad a deal this is, in your opinion.
I

 

[Cindy1234]

I got an offer in the Bay area too and I want your opinion!

Model: SV
MSRP: $32,670
Monthly Payment: $261 not including tax on payment.
Price as offered: $29,305
acquisition fee: $595
Customer Down Payment total $1400 includes: documentation fees, licensing/registration, tax on federal rebate, first month payment.
residual - .49
adjusted residual (buyout at lease end): $15,248
Money Factor: 0.00168
36month lease, 12,000 miles per year

So is the monthly payment and down payment a good or bad deal or is there room to negotiate them lower?

 

[evnow]

MSRP: $32,670
Monthly Payment: $261 not including tax on payment.
Price as offered: $29,305

How does that compare to invoice ? If you are close to invoice it is a decent deal. You should check with a couple of other dealers to see what they can do, though.

 

[Cindy1234]

Hi Evnow,

invoice $29,810.00

They will put me in one today. I just want to make sure its a good deal?

 

[Corina1231]

Hi Evnow,

invoice $29,810.00

They will put me in one today. I just want to make sure its a good deal?

Hi Cindy,

Glad you are getting an EV.

Cheers!

Ron

 

[Cindy1234]

Good deal then Ron?

 

[Corina1231]

Good deal then Ron?

I sent you a personal message.

 

[cwerdna]

Went to a Bay Area dealer today, mainly to listen to the base stereo vs. Bose. Still torn on which stereo to get. Base stereo isn't terrible and might be acceptable. I got a quote that wasn't very good, IMHO. But the again, deals got worse.

Was looking for a 24-month, 12K mile/year lease on a SV + QC/LED package + premium package.
State : CA
Sales tax % : 8.75%

Money Factor : 0.00178 (they claim this is tier 0, they have a bit of markup at the dealer)
Downpayment : $1457.85 (includes 1st payment, fees, taxes). This is what they gave when I said I wanted $0 drive off.
Monthly payment : $333.41 for 23 additional payments

Total cost over life of lease = $9126.28.

He said if I didn't want the premium package, it'd ~$20/month less. If I could get VPP, it'd knock $1K off the total.

 

[RonDawg]

For $20/month I'd get the Bose stereo if that option is readily available. Over a 24 month lease it's only $480.

 

[cwerdna]

^^^
Yeah... I was thinking that too. My Prius' stereo (is the JBL "premium" stereo) is almost never turned off. Seems like the $480 over 2 years isn't that terrible for the better stereo and "AVM", which actually is pretty cool. I finally tried it out today.

No premium package on '13 SV == no backup camera either. And, I really don't plan to wait until December 2013 for a '14 Leaf.

 

[pghmark]

I'm in Pittsburgh and was quoted $328/mo on a 24 mo lease @ 12k/yr, with $990 down - for an SV (quick charge + LED package). From what I see here on this forum, that seems on the high side.

The dealer keeps telling me its a great deal. There aren't a ton of Leafs coming into Pittsburgh right now, but there does seem to be 2 or 3 at each dealer and they aren't exactly *moving* them immediately from what I can see.

Not sure what I want to do at this point.

 

[thedak]

I sent you a PM

 

[MCStice]

Hi Guys,

I've been checking out this forum since a couple of days ago when a customer of mind told me about it. I decided to join in because much of the information (but by no means all) is somewhat confusing and misinformative. I'm one of the top Leaf salesmen in the country (I won't mention my name or where I work because I don't intend to violate any rules by advertising in the forum), so I'm in a pretty good position to tell you what's right and wrong regarding pricing. That being said, I do work in the Atlanta area, so I can only speak about my own region as not only tax situations but also sometimes rebates and incentives vary by region. So in the hopes that more people don't come and see me with mixed up info, here's everything I can tell you about Leaf pricing-

First- Cap Cost. Cap Cost is basically the selling price of a leased vehicle. When you're negotiating your lease payment what you really talking about is the Cap Cost. It's the only non-fixed number in the payment equation. The other factors which are fixed are as follows: residual, money factor, MSRP. These are all set by the manufacturer and dealerships have zero control over them. Here's a quick summary of each-

Residual- The residual is the percentage of MSRP the vehicle is expected to be worth when the customer turns it in after the lease. On the SV, for instance, the residual this month is .58 (58%) for 12,000 MPY (miles per year) and .57 for 15,000 MPY.

Money factor- The money factor is essentially the interest rate in a lease. It isn't measured in percentages like interest is, so it can be little more confusing to many. Right now the money factor on the SV is .00178. The higher the money factor goes, the more the price goes up. Obviously on a 24 month lease you won't be paying that much interest in total, but it will have some affect on the price.

MSRP- MSRP is the Manufacturer's Suggested Retail Price, better known as sticker price.

Again, those three are fixed, so the only way the lease price goes down is by lowering the Cap Cost. If you lease a vehicle with an MSRP of $30,000, and the Cap Cost that you negotiate is $28,000, then you'll paying $2000 (plus the interest on that amount) less throughout the course of the lease.

That being said, here's the juicy part- Actual dealer cost on the vehicle (and yes, if you do some internet research you should be able to verify this information).

Pretty much everyone who doesn't live under a rock knows that dealers don't actually pay invoice for the cars they sell. That's how we sometimes sell cars for thousands less than invoice. Here's how we can do that-

First off- dealer fees (or doc fees or processing fees). The range on these fees can be anywhere from $499-$999, but are usually from $599-$799. Even if a dealer tells you that you don't have to pay the doc fee, it's still going to be factored into the equation. You just won't pay it up front. There is no getting around it and the dealership factors it into their bottom line when doing their pricing.

Second- Dealer holdback. Most car companies, but not all, have dealer holdback. It's a percentage of MSRP or invoice (depending on which brand) that the dealership gets back from the manufacturer when they sell the vehicle. Nissan's is 2.8% of the invoice price. So if a car has an invoice of $30,000, the dealership gets $840 back when it sells the car.

One exception on calculating dealer costs for the Leaf is volume bonuses. For most Nissans, but not all, dealerships get a $500 volume bonus when they hit a certain number of vehicles (this can vary from month to month). The Leaf does not get this bonus. It does get factored into the total count that a dealership needs to reach the volume bonus, but it isn't a model the dealership will actually get bonus money on. That being said, if you happen to be that lucky 99th customer, so to speak, a dealership may cut you a great deal because they'll be getting bonus money on the other models they sold that month. However, if you're at a super high volume dealership (one of those places with 30 salespeople and 1000 cars in stock) they already know they'll hit that bonus.

The only other money that dealerships get is in relation to customer satisfaction score bonuses, but since you never know what kind of survey scores you might get, you almost never see those factored in. I can say that our dealership has tried to do it a few times and ended getting badly burned by a few survey scores out of a couple dozen good ones. Nissan has ridiculous criteria as far as the scores they pay out on, so it's a huge risk when a dealership gambles with this bonus money.

So, all of this being said, HOW DO YOU GET THE BEST DEAL??!!

Easy. Negotiate on the cap cost below invoice price. You now know what the dealer is actually paying for the car, and you know what the real selling price is for a lease. You can either ask for a copy of the invoice from the dealership (most reputable places will provide one) or go to http://www.truecar.com" onclick="window.open(this.href);return false; and find it that way (just make sure you enter the optional equipment like floormats and splash guards and don't actually submit anything with your personal info unless you want 100 phone calls a day). Obviously the dealership has to make some profit to stay in business, but in competitive markets the margins can get surprisingly thin.

Also, doing it this way will eliminate the confusion of pricing changes that the dealership has no control over. Residual and money factor changes have happened twice so far this year (from April to May and from June to July) and it creates big problems when people come in wanting the same deal their friend got before pricing changed.

If anyone has questions, feel free to ask.

 

[evsammi217]

I went to Downtown Nissan in LA and picked up my Ocean Blue SV Leaf with floor mats, Cargo Mat, and bumper protection. I put 2K down, and pay 285 a month for 35 months. I2K miles a year.

I didn't have top tier 1 credit, but I feel like I got a fair deal. I worked with Mia Navarro from the internet Sales. She also handles the Cost Co Auto club, which I was an member. I quoted prices people listed on this forum. 2K down and 270 a month with the QC package. Although nice, I could live without QC package based on my usage. Mia said she could do it. When it turned out my credit tier was lower then what I thought, Mia worked with Nissan Financial to bump my tier. It helped me save a few dollars. She also found the color I wanted. She walked me through all the features and was genuinely happy for me because I got the car and color I wanted at a price that I could afford.

The overall experience was pleasant, where I was treated as a customer not a sale. I think what gets lost sometimes. I feel like DTLA and Mia earned my respect and my business. And that sometimes has its own value beyond money factor, residual, etc.

They even gave me a 25 dollar voucher to buy things in service, so I got a matching shiny blue Nissan travel coffee mug.

Someone chewed me out for mentioning the Spark EV. I test drove that car and it has its merits. The Fiat 500e is an even better deal, as it has all the same features at the SV, but less 1K on the down payment and a smaller monthly payment.

In the end, I love the LEAF because it's the right car for me.

 

[cwerdna]

First- Cap Cost. Cap Cost is basically the selling price of a leased vehicle. When you're negotiating your lease payment what you really talking about is the Cap Cost. It's the only non-fixed number in the payment equation. The other factors which are fixed are as follows: residual, money factor, MSRP. These are all set by the manufacturer and dealerships have zero control over them. Here's a quick summary of each-
...
Money factor- The money factor is essentially the interest rate in a lease. It isn't measured in percentages like interest is, so it can be little more confusing to many. Right now the money factor on the SV is .00178. The higher the money factor goes, the more the price goes up. Obviously on a 24 month lease you won't be paying that much interest in total, but it will have some affect on the price.
...
Again, those three are fixed, so the only way the lease price goes down is by lowering the Cap Cost.
...
Second- Dealer holdback. Most car companies, but not all, have dealer holdback. It's a percentage of MSRP or invoice (depending on which brand) that the dealership gets back from the manufacturer when they sell the vehicle. Nissan's is 2.8% of the invoice price. So if a car has an invoice of $30,000, the dealership gets $840 back when it sells the car.

Thanks for your info. I'm personally a newbie to leases and have only bought new cars myself.

As for money factor, the salesman I spoke to and gave me a quote said that their dealer marks up the money factor a bit from their buy rate. Their printed quote had one money factor and he told me the buy rate (and briefly showed me, saying he wasn't supposed to show me).

From some quick Googling, it doesn't sound like this practice is that unusual.

For those others looking at this thread, re: holdback, http://www.edmunds.com/car-buying/dealer-holdback/" onclick="window.open(this.href);return false; has more info.

 

[ayekay]

I picked up a '13 S with 12K miles/yr for 2 year last month and find myself going over 1000 miles each month. Is there any option to renegotiate the miles after it's been signed ?

the .15/mile seems to be pretty steep. also is the 12K per year checked at the end of the first year or is it cumulative 24K miles at the end of the second year.

thanks in advance

 

[RonDawg]

I picked up a '13 S with 12K miles/yr for 2 year last month and find myself going over 1000 miles each month. Is there any option to renegotiate the miles after it's been signed ?

Hard to say. Best thing to do is contact the lessor (bank) and see what they are willing to do for you. Depending on how much you expect to go over, it may be cheaper to pay the excess mileage than to pay extra for a 15k/year lease.

the .15/mile seems to be pretty steep. also is the 12K per year checked at the end of the first year or is it cumulative 24K miles at the end of the second year.

15 cents/excess mile is quite typical. That was the going rate in 1996 when I leased a Maxima through NMAC. The Chevy Spark EV lease is 25 cents/excess mile.

Any excess mileage charges are computed at end-of-lease. So if you put 15k the first year, but only 9k the second year, you're safe.

 

[Staque]

I sort of get it, but I sort of don't get the aversion to lease "overage" charges.

If you take on a lease AT ALL, you've agreed to pay AT LEAST 20 cents per mile, but probably more like 25, whether you drive those miles or not. It gets worse if you don't actually drive all the miles (which mind-bogglingly makes people happy). The fact that you can buy additional miles, for only 15 cents each, and only if you actually drive the miles, is a bargain.

Some people want to "get out" of their lease and start a new one, going back to 20-25 cents per mile. I think that's bonkers. Take those 15 cent miles as long as you can!

I get it for cell phones where "plan" minutes cost 2 cents each, but "overage" minutes are 45. But on cars, the overage is cheaper than the plan itself. Driving a 12,000 mile lease car 15,000 miles per year for 3 years is $1,350 at 15c/mi. It probably hurts to write that check at the end of the lease, but that's only $37/mo.

 

[Corina1231]

I sort of get it, but I sort of don't get the aversion to lease "overage" charges.

If you take on a lease AT ALL, you've agreed to pay AT LEAST 20 cents per mile, but probably more like 25, whether you drive those miles or not. It gets worse if you don't actually drive all the miles (which mind-bogglingly makes people happy). The fact that you can buy additional miles, for only 15 cents each, and only if you actually drive the miles, is a bargain.

Some people want to "get out" of their lease and start a new one, going back to 20-25 cents per mile. I think that's bonkers. Take those 15 cent miles as long as you can!

I get it for cell phones where "plan" minutes cost 2 cents each, but "overage" minutes are 45. But on cars, the overage is cheaper than the plan itself. Driving a 12,000 mile lease car 15,000 miles per year for 3 years is $1,350 at 15c/mi. It probably hurts to write that check at the end of the lease, but that's only $37/mo.

The loss in the equation has already been solidified by accepting the terms of the 12k lease over a 15k lease at the time of purchase. It would have cost about $14 a month more on average for the 15k lease over the 12k. You indicate that it will cost $37 a month now. $37 minus $14 equals $23 a month. $24 months x $23 more a month = $552, the difference he will have to pay for the extra 6,000 miles he anticipates driving because he did not get the 15k lease upfront.