Buy 2015 or lease 2016 (New Jersey)

[GUILLAUME]

Hi all,

First post here I have been browsing this forum for a while very helpful.

I can't wait anymore for Tesla Model 3 so I'm strongly considering getting a egolf. I live in North Jersey and have started to reach out to dealer this is what I get so far:

1/ Dealer don't lease 2015 model anymore only cash or finance, and they don't have 2016 model
2015 SEL E-Golf
MSRP: $36,265
Sale Price: $32,897
Fees: $665.55
Sub-Total: $33,562.55
Rebate: ($1,000)
Total amount financed or cash: $32,562.55

2015 Limited Edition E-Golf
MSRP: $34,270
Sale Price: $30,983
Fees: $665.55
Sub-Total: $31,648.55
Rebate: ($1,000)
Total amount financed or cash: $30,648.55

2/ Dealer offer 2016 SE leasing in NJ is as follow:
Lease: $159/month
Terms: 36 month
Mileage: 10,000 miles/year
Downpayment: $2,349 (1st month payment included)
Acquisition fee: $625
Bonus: $1,000 included in lease already
Disposition fee: $350
Title fee: $60 (NJ)
Dealer fee: $350 ???
Purchase option: $11,926 (exclude taxes (NJ is exempt anyway), title and other gov. fees)
Total monthly lease: $159 x 37 + $2,349 + $625 + $350 + $60 + $350 = $9,617 / 36 = $267.15 (did I calculate that right?)

Thanks all for your input

 

[JoulesThief]

The 2015 numbers on buy or finance don't make sense.

The car should be discounted deeply if it's a 2015 SEL and still on their lots.

An an example, I paid a quite a bit under $26000 before taxes, license, and $7500 federal tax credit for my 2015 SEL on Oct 6th 2015. I know of a few people that paid even less than I did for theirs, in December, on here.

You read that correctly about $11,000 under MSRP before tax credit.

 

[johnnylingo]

2015 SEL E-Golf
MSRP: $36,265
Sale Price: $32,897

2015 Limited Edition E-Golf
MSRP: $34,270
Sale Price: $30,983

As a general rule for thumb, Last year's models should be discounted at least 20%. That works out to $29k for an SEL and $27k for LE. Even that is not all that great from a buyer's perspective. The way this generation of cars is depreciating in value, the only way it makes sense to buy is if you can land an amazing price with 0% financing or just pay cash.

I would lease the 2016 if you're burning with desire to have an electric car in the next 6 months (the 2017 models on both the e-Golf and BMW i3 will see a 30% range increase). However do note the 2016 SE base model does not have a fast charger the way the 2015s did. That means 8-24 hours to get a full charge.

 

[forbin404]

2015 SEL E-Golf
MSRP: $36,265
Sale Price: $32,897

2015 Limited Edition E-Golf
MSRP: $34,270
Sale Price: $30,983

As a general rule for thumb, Last year's models should be discounted at least 20%. That works out to $29k for an SEL and $27k for LE. Even that is not all that great from a buyer's perspective. The way this generation of cars is depreciating in value, the only way it makes sense to buy is if you can land an amazing price with 0% financing or just pay cash.

I would lease the 2016 if you're burning with desire to have an electric car in the next 6 months (the 2017 models on both the e-Golf and BMW i3 will see a 30% range increase). However do note the 2016 SE base model does not have a fast charger the way the 2015s did. That means 8-24 hours to get a full charge.

Don't know about the I3, but Joules posted that it's the 2018 model.

And I agree that 20% isn't all that great..you should get 30% for last years model.

 

[johnnylingo]

Don't know about the I3, but Joules posted that it's the 2018 model.

It was reported back in January that the range would increase on 2017 e-Golf models. Similar deal for the Kia Soul-EV. But, I'm skeptical like everyone else.

Evidence seems stronger for the i3, which makes sense as the 2014-2016 models have only had cosmetic changes up to this point and I think BMW is under pressure to increase sales numbers more than other manufacturers.

In any case, 2018 models are 17 months away, which isn't that long to wait.

 

[GUILLAUME]

hi all thanks for your replies!

Just got another quote for 2016 e-Golf SEL
MSRP $36,415
Term 36 months
7,500 mile’s allowance per year
$0 down payment just initial Fees

Amount due at signing
1st payment $288.55
Acquisition Fee $625.00
Fees $603.50 Breakdown=(Doc Fee $379.00 , Registration $164.50 , Tire Tax $6.50 and Title $60.00)
----------------------------------------------------------------------------------------------------------------------------------
Total Inception Fees $1,517.05
Rebate as Cap Reduction $8,500.00
Total Drive off $10,017.05

Total Cash Required at Delivery $1,517.05

Purchase an option at end $14,930.15

If you decide not to purchase at end there is a Disposition Fee of $350. (unless if you re-lease with VW or Finance with VW on a new model)

 

[RonDawg]

The 2015 numbers on buy or finance don't make sense.

The car should be discounted deeply if it's a 2015 SEL and still on their lots.

If what the OP meant by "North Jersey" is suburban NYC, inventories are VERY low. Using a random Newark zip code, VW's website only shows 3 eGolfs nearby, all of them leftover 2015's. Mahwah near the upstate NY border is somewhat better with 6 available nearby, but they are also all 2015's. Stanhope, on I-80 about halfway between the NY and PA borders, shows 5, again all 2015's.

That could be why the dealer isn't discounting their remaining 2015's much, because of lack of supply.

Edison is somewhat better with 5 2016's and 2 2015's nearby. Trenton has 3 and 2 nearby respectively. Atlantic City has 7 nearby but all 2015's.

 

[GUILLAUME]

It almost sounds like I might as well just get a used 2015 egolf next year because its price will be so low right?

 

[rwill]

You should check out VW of Boston. Picked my 2015 SEL up there in December for $26.5. Looks like they still have one on the books. Bet you could get a great deal on it. I dealt with Mike Petersante and he made everything so easy.

Even if you ship it to NJ, will still be cheaper than buying on in NJ.

 

[johnnylingo]

Just got another quote for 2016 e-Golf SEL
Total Drive off $10,017.05

That's pretty sweet, even if it's only 7500 miles/year.

Here in California a "good deal" for that duration and mileage was ~$7500 for a 2016 SE and ~$11,000 for 2016 SEL. This is not including taxes or our $2500 state rebate.

 

[JoulesThief]

I think if you offered $25,000 OUT THE DOOR for a 2015 e-Golf SEL to buy, outright, or pretty close to that price, the dealership would be glad to sell it. They just don't have a lot of foot traffic for any e-Golfs, that's why they are still sitting on old inventory at that price. I'd go direct to the General Manager of the store and make that offer to buy. You'll get $7500 back in Federal tax credit if you have enough income taxes to offset it. Plus anything else NJ offers in rebates on electric cars with a 24kwh battery.

If the NY dealers won't budge, find a dealership in MA or another state that will budge on a 2015 SEL. They have to sell the old inventory first before they can get 2016's in.

Make a dirt cheap offer, the worst they can do is say no, or counter offer. Keep on them, especially near the end of the month. Use your 7500 tax credit money to pay off your car loan.

 

[GUILLAUME]

Thanks for all your reply.

I don't think I'm too sure of leasing. With my 6000miles I drive every year range is really not much of an issue for me.

Would it be worth to wait and snatch a good deal on a used Egolf?

 

[JoulesThief]

Thanks for all your reply.

I don't think I'm too sure of leasing. With my 6000miles I drive every year range is really not much of an issue for me.

Would it be worth to wait and snatch a good deal on a used Egolf?

Probably not... if you have negotiating skills, and qualify for the $7500 federal income tax credit due to having enough income. Plus any rebates your state might offer.

Go and reread every post above... you should have cash , in full, to make an offer of 30% off of MSRP to a dealership in MA. That's right, you should pay the dealership around $25,000 before any tax credits or state rebates New Jersey offers. Or finance the $25,000, and when your $7500 tax credit arrives, use that $7500 to pay off the balance on your car, to lessen the interest amount paid, unless you get 0% interest.

http://www.bostonvw.com/new-Watertown-2015-Volkswagen-e+Golf-SEL+Premium-WVWPP7AU9FW909008

You MUST be willing to travel, to get the very best deal and savings on a 2015 SEL e-Golf. Believe me, the trip is worth the savings.

About 240 miles is a recharge at 80 to 90 miles, two times, before you get home, and then fully recharge for 15 to 20 hours when you get home in NJ, plugged in with the level 1 slow charger in your garage, or visit a level 2 charger. You might be able to pay someone from VW of Boston to drive the car out, and you buy the airline ticket to fly him home, or you drive him back in your gas car? or you get a ride to Boston to pick up the car? Figure out your options.

If you want the great price and the savings, you will have to work for it. Nothing is free.

Call them up at their phone number, tell them you think they have what you want, that you'd like to speak to the General Manager and make the GM an offer on that VIN number for $25, 000 OUT THE DOOR price. Give them an email address, to email their offer to you. You need to email them you want it, and then show up and leave a check deposit and sign the sales contract paperwork, saying that you bought it. Do not ask what they want for it. Tell them what you are willing to pay, and see what they counter offer with.

This will only work if you want the white 2015 SEL with black interior that they have on the lot.

 

[bizzle]

All of the VW dealers in California were willing to flatbed the e golf out to us. Prices ranged between 300 to 800 depending on distance (from 200 miles out all the way up to the bay area).

 

[GUILLAUME]

So can I buy the car out of state? In NJ the incentive is no sales tax

 

[forbin404]

So can I buy the car out of state? In NJ the incentive is no sales tax

If you buy the car out of state and title it in CA 'First' then you will pay sales tax.

If you title it 'afterwards' you lose the CA rebate.

 

[JoulesThief]

So can I buy the car out of state? In NJ the incentive is no sales tax

If you buy the car out of state and title it in CA 'First' then you will pay sales tax.

If you title it 'afterwards' you lose the CA rebate.

He lives in New Jersey. he gets the Federal $7500 tax credit if he has enough income tax to qualify.

To the OP, yes, you can buy it out of state. I've bought the last 3 of my TDI's out of state. Flew in, asked the dealership to pick me up at the airport. They did, and I drove home in a new car.

Las Vegas to L.A. Salt Lake City to L.A, and Denver, CO to L.A. You will have to register it yourself at the DMV in your home state, and pay registration fees and plate fees. You have to pay those anyways.

 

[RonDawg]

So can I buy the car out of state? In NJ the incentive is no sales tax

If you buy the car out of state and title it in CA 'First' then you will pay sales tax.

If you title it 'afterwards' you lose the CA rebate.

You can buy the car from a CA dealer and have it trucked or trailered out of the state, and pay no sales tax or reg fees. Those would be the responsibility of buyer to settle with his/her home state. This is done a lot with CA-only compliance cars like the Toyota RAV4 EV, but there were a few California Nissan dealers that gave really good deals on the Leaf that made it worth the hassle. As mentioned above CA VW dealers are apparently willing to do this with the eGolf; I'm not surprised given VW's sales numbers in the aftermath of the TDI scandal.

The rules may be different when purchasing in other states for export. Some states will also let you import a recently-bought new car and give you credit towards any sales tax and reg fees paid in the state where the car was purchased.

If you're not a California resident in the first place, you're not eligible for the rebate program even if you buy and title the car here. Even if he was, if he were to move out of state or otherwise no longer possess the car (to include an insurance write-off), he would have to give a pro-rated refund to the program.

 

[GUILLAUME]

Well thanks all again for the great ideas and advices.

I started to lowball all the dealers, and so far here are numbers from each for the OTD price 2015 SEL Premium before any incentives:
1/ $29,200
2/ $27,750
3/ $28,800

I got in touch with 8 dealers so far, most of them don't want to take off more than $5,000 which keeps you over $30 OTD price tag.

 

[JoulesThief]

Well thanks all again for the great ideas and advices.

I started to lowball all the dealers, and so far here are numbers from each for the OTD price 2015 SEL Premium before any incentives:
1/ $29,200
2/ $27,750
3/ $28,800

I got in touch with 8 dealers so far, most of them don't want to take off more than $5,000 which keeps you over $30 OTD price tag.

Can you finance outside? Is your credit good or great? Can you pay in full, with one check? offer them $25000, out the door. Go to that dealership in Boston, ask to speak to the GM, and tell him what you will pay. Leave an email address with him, tell him you'd like to get this deal done this week. White 2015 SEL with black interior.

Leave your phone number and your email address. Offer them $25000, and they can keep the 1250 or 1500 debit card incentive themselves that VW of America is offering right now.

Ask for what all the incentives are also, and post them up here.