Andrea Vaccaro

Hello guys,

is this a good deal?

2018 Audi S4 Prestige (grey, red interiors)
- S sport
- Carbon
- 19"
- DAP

MSRP: 64,200.00

Agreed price: 59,706.00 (7% discount)

36/10k lease
Residual 59%
MF 0.00221

I'm a little hesitant on the MF (base is .00171), but the discount is pretty good... what do you think?

Thanks!

jjsC6

What they are giving you with a discount they are taking away with the money factor. Look up a lease calculator and run it with both money factors. You'll be surprised at how much difference that adds to your payment. It may still be an okay deal, but know the facts. It's like a friend of mine tells dealers....why are you marking up the money factor? What if I were paying cash for the car?

ClemsonAudi

They gave me $3,300 off of a similar 2018 S4 Prestige--an ordered car and not a lease--and I thought that was good. Not so sure now!

markcincinnati

Prestige Audis are the ones NOT to lease -- the deals are so bad.

I got the ACNA discount + .5% plus they forgave 12,000 miles of overage on my previous S4.

The dealer "cautioned" me NOT to lease a Prestige model -- suggested I configure a P+ up, if I really wanted the options. The problem was, I wanted Driver Assistance and I also wanted the top view system. Only on a Prestige.

I went ahead and bought the damn thing. Made more sense.

For years, I have been duly cautioned and sworn not to lease Prestige vehicles, or if I did so, it would have to be with eyes wide open.

The best car in the A4 line up to lease is a nicely equipped S4 P+.

The worst car in the A4 line up to lease is ANY Prestige model.

However, the ACNA discount is always good for 6% regardless.

I got 6.5% off.

I was OK with that considering that I was an early adopter.

Having said this, if you wait 6 months or so, you'll probably be able to get a P+ type deal on a Prestige -- of course the P+ deal is still likely to be advantaged if you want to lease.

But, man, for gods sake, avoid the 19" wheel/tire option, it will cost you a young fortune to keep the thing in tires -- and the performance will be impacted negatively by the additional weight and no gain in contact patch.

Also, depending on yur interior, the carbon fiber trim is not going to be as stunning as the brushed aluminum -- this one, however, is entirely subjective unlike the tire/wheel upgrade which is really a downgrade in terms of what you lose.

Full disclosure, I'm the guy who -- until this time -- refused to pay for the paint. It just is galling to be charged for my color choice. This time, I went ahead and ordered Daytona Gray Pearl -- much as I think of it as a rip off, I do think it is attractive.

ClemsonAudi

I agree with you about the carbon fiber look. I know it's a personal thing--but I'm not a fan of the way that looks on the S4 so I went with the brushed aluminum deal. As for the wheels, I did go with the 19" ones. I like the size difference and the way the wheels look--I will replace the summer tires with Michelins when the time is right--will get 40,000 miles with the switch. This car costs a fortune--but I plan to keep it and I have a savvy mechanic in the family.

SCarGuy

This^

Except the wheel thing, but he knows I just like how they look better lmao. Seriously though, the 18's on the S4 look damn good too

The deal you are being quoted is solid. Negotiating is a give and take. If you know what the base MF is, and you are happy you're getting 7% off the car (I would be....especially if they have THE car you want or are getting it for you, it is a solid discount), tell em to split the difference on the MF, let them make a few bucks for their work, and enjoy the new car!

Did they ask what other cars are in your household BTW?

seven-six-two

Yes, the discount is good (7% is basically "invoice"). However the money factor is equivalent to a 5.3% APR. Given that car notes are running around 2.5% , they are making 2.5% back on the spread.

You also need to account for the acquisition fee ($895?) and end of lease disposition fee ($350?)

You can plug in the numbers at leasehackr.com
MSRP $64,200
Sale Price: $59,706
Acquisition Fee: $895 rolled into lease
10K miles and 59% residual
MF: 0.00221
Ignore doc, title and tax for now.

Results in an even monthly payment of $816 a month.

At the end of the lease you will have paid $29,376 in payments and will pay $350 disposition, totaling $29,726. The car will have a buy-off at 59% of $37,878.

Turn it in, you have spent $825 a month to borrow the car from Audi and you'll be looking for a new car and signing up for payments once again (your dealer loves that idea). Buy it at the agreed residual and you paid a total of $67,604 for a car you could have paid around $60K for.

That does not sound like a good deal to me.

Even if you pay cash with the standard 6% ACNA discount ($60,348) and sell it for the same $37,878 residual after 36 months, the exact same experience will have cost you $625 a month.

$200 a month difference between cash and lease is a lot of money to me.

Your priorities may be different, but whether lease or loan, car payments suck.

ClemsonAudi

They did ask about the cars--didn't help us though. No other nexus to Audi. We own an Acura, and may trade that in for a Q5, with the $750 incentive of course.

IDMS4

It seems that the 2018 S4 will not be getting any type of incentives. They are selling very well without them. As far as the lease, that money factor is consistent, I checked with a few dealers and the lease price variance was very small, the only difference is that some dealers will discount it a bit more. I was not a member of ACNA, so I did not get that discount, however my dealer did discount the car about 3.25% and that was better than any other dealer in my area

I leased a P+ with pretty much every possible option, I did not go for the Prestige simply because (as said here) they do not lease better than the P+.

I know I did not get the best deal for the lease and I understood going in that cost wise, financing is the better option, but I wanted to keep my payments lower. This was a case of me wanting the car more than really thinking about what makes more sense financially. I plan to buy my S4, so I will try to find the best option to do that going forward.

markcincinnati

What counts is YOUR satisfaction. There is ALWAYS someone who says they can get a better deal. It's not that I don't care if "someone" can get a better deal, because it is a data point and may -- sometimes -- actually be actionable, it's just that what someone in Lexington or St. Louis may get, is generally not relevant to what I can get in Cincinnati.

If the "going" off-MSRP % was 10% (so say you all) and I could only get 6%, I would take that as something worth trying to duplicate.

In the final analysis, if you are pleased with your deal that is what counts.

Even when "facts" get in the way of our decisions, it is best to remember to be:

"Often wrong, but NEVER uncertain."

Life is so much more satisfying if your satisfaction -- in this case with your car deal -- is what "pleases" you. No one wants to get ripped off, but what seems to be the case here is quickly becoming clear. The "deals" (someone claims 8% off) on new S4 are within a range regardless of where you are in the US. Those who have better % off of MSRP then find their "money factors" aren't as good -- meaning "you get in one area and give in another."

The primary "lesson" (if you can even call it that) to be learned is that being a member of the ACNA is a very low-risk proposition -- especially if you're planning on a new Audi in the next 6+ months.

The secondary lesson -- and the one I don't understand -- is that Prestige cars have the least favorable leasing deals; it is possible to load up a P+ to have a higher MSRP than a Prestige with no options and the lease will be based NOT on the MSRP but rather the "designation" as a Prestige version. The thought must be that Prestige cars depreciate more rapidly than P+ versions. Why that would be I'm sure someone must know -- but it escapes me.

But what also escapes me is why an A7 costs almost $10,000 more than an A6 -- I've driven both (extensively) and I find no difference in the two cars once I get behind the wheel. The A7, I assume, commands $10K more due to its status as a four-door coupe.

For the $ differences, I would elect to apply the $10K premium commanded by the A7 toward the acquisition of an S6.

On the other hand if the looks of the A7 are, in your mind, quantifiably "worth" $10,000 more than the A6, then THAT's what really matters.

I just don't understand the value proposition.

I bought Daytona Gray Pearl -- paid the ~ $500 premium for it. I like the color, love the combo of the red leather with the Daytona, I just don't see the value in the actual paint itself; but clearly it must have been worth "something" since I paid the upcharge minus 6.5%.

That's what makes the world go round, as my grandfather used to say.