My wife really likes the new 08' G35 sedan and we're thinking of trading in her 03' Jetta for one. they are offering a lease special of $3,439.00 down and $439 a month for 39 months. In the fine print it states that tax, title, and license is excluded. My question is how much I should expect to pay for tax, title, and license? I am assuming the tax is based on the down payment as opposed to the value of the car, correct? Any input would be very helpful as we already have a lady possibly buying the Jetta tomorrow. Thanks!

Louie

 

I can't say for sure how much the title and license fees will be, but I'm thinking it shouldn't be that expensive. Maybe a few hundred? On the lease for my S though, the tax is based on the down payment, and don't forget about taxes on your monthly. If you choose to buy it out, you'll have to pay taxes on the residual as well.

One thing to make sure, before you sign the lease, is what kind of insurance they want you to have. Because it's still their car, some companies want A LOT of coverage, so factor that into your monthly costs, as well as whatever security deposits and administration fees they may have.

Based on some of these one time fees and extra insurance they wanted me to have, I ended up spending a little over a grand more than I had expected at the beginning of the deal.

 

the word on the street is stay away from Peninsula Infiniti.
check out the Nocal forum on G35driver.com for good recommendations. Good luck.

 

Tax will be based on the value of the car you are paying for. When you lease a vehicle you are paying depreciation so for example if you are buying a 100k car and the residual will be 20% at the end of the lease you are paying for 80% of the value of the car. That means you'll pay taxes on 80 thousand in my example.

 

if you are in cali, they tax you on the monthly payment. Title and license is your registration fee for the year so your registration fee is probably going to be around $400-500

 

That much down is BS. If you have $ to put down why not buy it? A lease is for minimum out-of-pocket with no build up of equity. I leased a RAV4 last week, and like all my leases, I paid $221.00 license fee, $8.75 Calif. tire fee and my first month's lease payment. No deposits, no cap cost reduction, no nothing. Then only reason to put more down is to lower the lease payments. And if you have to do that, maybe you should lease a cheaper car.

 

BINGO!

They shoulod be able to calculate how much the payments would differ by.
If they aren't bending backwards for you, go elsewhere. You're only leasing not buying, so theres no need to sit and negotiate until someone gives in or gives up.

 

Two more suggestions:
If they tell you the "money factor" on your proposed lease, multiple that times 2400 to see the equivalent interest rate.
Take a look at www.carbuyingtips.com for a spreadsheet to use to calculate your lease payments. Dealers can agree with you on the price of the car, but play with numbers to make more money off of you and never tell you. You will need the residual, but that varies as well, depending on who is writing the lease.
This website was invaluable to me to figure out if I was getting screwed last week. (I used it before signing, so I didn't).

 

Awesome! Thanks for the info guys. It has been a great help since I never leased a vehicle before. We showed my wifes Jetta to a Lady who is going to buy it Monday! CASH MONEY! I just posted it on Craigs list a few days ago for 12K and we ended up letting it go for $11,500.00. Now that I know the tax is based on the down payment and not the value of the car puts me at ease because with the money we have left over from the sale of the Jetta we are paying off my S2000.

 

It doesn't sound like a good deal to me.

You'll be out of about 22k by the end of your 3.25yr lease, with a car that is only worth 31.5k.