I'm thinking about leasing and noticed a lease special for the Rogue posted on Nissan's website.

Can I expect to be able to negotiate at all, either on price or features, or is this likely as good a deal as I can expect?

Thanks.

I have never leased, but from what I have read, you should always negotiate the price as if you are going to purchase. Only after you get your lowest price do you start talking about the lease.

The advertised lease price *almost always* leaves some profit for the dealerships. Most of the benefit to the consumer from the Manufacturer leasing specials is from the reduction of "interest rate" that the lease is factored at.

I say almost always because there are times when the manufacturer will strong hand the dealership and persuade all the dealers to offer up that lower capitalized cost. Note that they always make it up to the dealers through other avenues.

Let's look at the fine print on this offer...

Basic deal is $249 for 24 months with $2750 down payment. So you are really paying $364 / month)

If you click on the View Offer Details link it pops up a screen with more info. MSRP for S AWD model with mats and splash guards is $21,500 as stated in the fine print. We see that the Capitalized Cost (in other words - loan amount) is $19,345 (which includes a $595 acquisition fee).

So, let's see how this math works...

MSPR = $21500minus - $2750 down pay= $18750+ $595 "Acquisition Fee"= $19345

What does all this mean???You are paying the full sticker price for the vehicle PLUS an additional acquisition fee of $595. You need to have the finance department at the dealership check with their other banks and lenders to see if they can offer you a better deal.

You should be able to get at least another $600 off the initial price by making the dealership come down on their sale price.. that would be an additional $25 a month in savings for you.

Having said all this.... What is encouraging for me is the projection of the Rogue's resale value. The end price for this lease program is $15,910. Starting at a invoice price of $20,500 (ish) to a end price of almost $16k is an annual depreciation of only $2250 a year. That's pretty solid for a new car!

Leasing is the worst financial decision you can ever make. Dave Ramsey calls it "fleacing"!

Roguerunner wrote:Leasing is the worst financial decision you can ever make. Dave Ramsey calls it "fleacing"!

Actually buying a car (especially "new") is bad, but there are plenty of times leasing makes a lot of sense.

I've leased a car before and it turned out great. You just have to know what you're getting into.

Roguerunner wrote:Leasing is the worst financial decision you can ever make. Dave Ramsey calls it "fleacing"!

I don't understand why anyone would make such a blanket statement. While it may be a bit of Indulgence, it does allow me to drive a bit "more" car than I could otherwise afford. I have leased three of my last four cars. I'm currently driving a '99 model car that I purchased used a little less than 4 years ago. It's got a list of little things wrong with it (side view mirror, cub holder, door molding, etc.). I'm not going to spend hundreds of dollars to fix these things, but they sure are driving me crazy. Now, for the same monthly payment that I'm still making on this car, I could have recently leased an '08 model for $25 more per month with zero down.

So, from a stricly utilitarian standpoint, I should probably continue holding my coffee between my legs, I sure wouldn't mind "indulging" myself for an extra $25 per month.

I've also gotta come down on the side of a lease normally being very bad deal...from a financial standpoint that is. And since Dave Ramsey is a financial guru, that's exactly what he means by "fleecing".

If you are looking at it emotionally, then that's another story.

Edmonds has a good comparison of three purchase / lease options.

http://www.edmunds.com/advice/....html

While it may be true that one can drive a car for the first year for less money with a lease, in the long run (between two and three years) it is quite a bit more expensive.

At times business leases may make sense due to some tax advantages, but this is not normally the case.

Kirk

I find that edmunds comparison to be garbage... but I don't have the energy at this point to go into great detail.

Suffice it to say that a lease can be advantageous to a person depending on their use of a vehicle and their personal desires.

Leasing is typically better for a person who doesn't keep a car for a long period, and doesn't put a ton of miles on that car.

I'll admit that a majority of people will find buying to be the more fiscally responsible choice. But not always!

Leasing is not for everyone. But with that said. I have always leased my cars. The main reason is that I enjoy having a new car every 3 years. I never put any money down on a lease. That is a bad idea. If you got into an accident and the car were totaled, that down payment would be lost. Also, you need to ensure that you lease with enough annual miles. Do not lease under 15K miles a year. Driving over the amount could add up in the end.

Reality is.... Nissan financial has only an estimated guess of where the Rogue will be worth at the end of the lease term. WHat is nice about the lease is as long as you have cared for the car and are within mileage you can simply turn it in if the car is worth less than the payoff, if it is worth more, this can be used as down payment towards new car.

Leases are very profitable for banks/lending institutions and works very well for some consumers. If you drive alot 15 K plus / year purchasing will usually be advantageous.

ALWAYS negotiate price..... make sure you focus on price not payments. You will then bargain payments based on your negotiated price. Trust me if they did not make money they would not sell you the car...Just educated yourself prior to going to the dealer.

Sebastian