Need Help : Buying vs Leasing

Sonata Sedan which would be the Hyundai in that price range you should be able to go over 20% off MSRP. Just go to truecar.com, put the info in and see what the lowest others have paid and then stick to that price, one dealer doesn't give you that price move on to the next. Also go to a credit union and open an account, you will generally get a much better interest rate. While the dealer may advertise 0% interest they will also try to sneak in some add ons as which will bring your monthly payment up. I just bought back in November and got 1.5% from my credit union.
A lease is generally not going to work out as well unless you are writing it off on taxes at the end of the year.

 

What about financing a certified pre-owned Toyota, Honda, or Hyundai ?

The depreciation has already been paid by some one else and you can get a 2 or 3 year old car with low mileage and save thousands.

You can still go to credit union and get a better rate, unless dealer is offering some kind of incentive for used cars.

Edmunds has a page that allows you to see incentives and rebates for all the models you might be interested in.

NADA is also a good site to look up the true market value of a car.

 

Arm yourself with as much information as possible, incentives, rebates, what others have paid for the exact model you are looking for, when you sit down with the sales rep, ask him one question.

What is the best price he can offer you on the car?

Not how much you can pay a month? or how many years you want to finance it for?

When he gives you the best price he can offer the car for, if you feel it's too high based on your research, you go to someone else, if he gives you a fair price based on your research, then you can start throwing in, incentives, rebates, trade in, money down...etc

 

That shouldn't be a problem if they don't try to tack on any crazy fees.

 

Actually you should be able to get more than 20% off according to truecar pricing

 

Truecar.com is what I did the last two times I got a new car. The first time (it was called Zag AMEX or something like that back then) the dealer just matched the website's price, which was the lowest price I could find around NYC. The second time the dealer beat Truecar's price, making it my fastest car purchase ever.
Just be prepared to get up and walk away as soon as they start playing any of their usual games

 

I've done this several times, sometimes it works, sometimes not. Being informed helps, you don't want to walk away from a good deal, but ya don't want to get screwed over.

If you decide on a lease, you could save a lot of money looking at other brands/models. Long term dependability should not be an issue since you won't have the car past 36 months or so.

 

Brooklyn ask for MSRP out the door. Minus dealer installed options (pin striping etc).

I have the sonata turbo and my girl had the elantra, both cars have 30k miles and have only needed oil and tires.

 

Lease price is a whole different animal. You get more car for a lower payment. However, you still have a big upfront payment to deal with (down payment, tax, title, docs) the dealer can throw that into the lease but it makes the payment go up and defeats the purpose of leasing

Basically when you lease you are paying for the portion of the car you are depreciating (borrowing) over the life of the loan.

Also you have to pay a fee at the end of the lease if you lease a different model of car. You can get a free inspection of your car before you turn it back in so the dealer doesn't sink into you any deeper.

 

I go online to the manufacturer's website and spec out the car I want. Then I go to Edmunds.com and calculate the dealer invoice for the vehicle. With that info, I will go to the dealer and offer dealer invoice. I will go as much as $500 over dealer invoice. I never use a percentage off sticker.

Never negotiate based on a monthly payment. Always negotiate the price of the vehicle. Even if you lease, start by negotiating the cost of the vehicle like you were paying cash. Once you agree on a number, tell them to use that to calculate a lease. 3 things are crucial when looking at a lease: starting price of the vehicle, value of car at end of lease, and the money factor. You need to know all three. I advise against leasing unless you don't drive that much, don't mind always having a car payment, and have the desire to always have a fairly new car. Never lease a car if there is a chance you can't see it through to the end. Never lease a car with the intention of buying it at the end. It's always cheaper to finance it conventionally from the start.

 

I didn't say you would always get the deal you want if you threaten to leave. What I meant was be prepared to walk away even if they have exactly what you want but not for the price you want. It might be tempting to just take it and be done with it. And they pull all kinds of tricks to make it as tempting as possible.

 

I bought a 2013 Honda Accord LX last July and used Truecar and paid 20,520 and 1.9 for 60 months plus 5oo Flex cash. No games, great price.

 

Everyone here is giving you good advice, I'm currently in the market for a midsize pick up truck, I went to Nissan told the sales guy right off the bat, I need a brochure because I had no clue what the option packages were on the truck.

He gave me the brochure and asked me if I wanted to drive the truck with the package one up from the basic. I said ok.

Drove it, came back, talked a bit and I left.

My next test drive is for the toyota Tacoma, I have an idea of what their packages are based on the research I have done online.

When I figure out which package I want I will go online, Edmunds True Market Value and punch in the packages I want and I get, invoice price, what people are paying for and sticker MSRP.

I will then print out incentives and rebates, I will talk to my credit union and go into the dealer with an idea of the price I want to be at before negotiating rebates, trade in, or money down.

Voila, I know they have to make money so I'm not going to be unreasonable but I know where I want to be.

Wish you the best.

 

One more thing... a few people have mentioned various research tools on edmunds.com. There are also forums on that website where people post their OTD (out the door) prices.

 

Brooklyn,
I have a dealer in .... well in Brooklyn actually. Used the guy twice myself for VERY competitive leases. In 2010 leased Honda civic for $180/mo. Just 2 months ago got new Honda CRV for $250, both about 1100 down.
The guy is down to earth, no BS. Call him, tell what you need, price range and ask for 1-2 choices.
PM me if you want contact info.