dank-e46

and list your options, thanks.. im trying to get my dad to get an A4, he wants to know lease payments. and i have no idea how to calculate them. just wanted to see what you guys are paying..

btw, isnt lease financing really good value right now? b/c of the HUGE rate cuts and what not?

thanks,

dank

Mike-01A4

You can go to audiusa.com and configure an A4, then calculate the lease payment. This will be a rough idea, but will typically be too high because it is assuming MSRP, but its also assuming 0 tax. You can also check out edmunds.com to see the average price paid (TMV)for any car (usually a good number to shoot for in negotiations). This site also has info on how to calculate lease payments.

Good luck,

-Mike
'01.5 A4 1.8TQSMXCC

DRG

Choose a model and, using www.edmunds.com, msn.carpoint.com, etc, find the invoice and MSRP cost for the model/options in which you are interested. If you are looking into the 2002, see the postings elsewhere in this forum revealing the new prices. Using the invoice price, add about 3-5% for dealer profit and assume that you will be able to negotiate the resulting price as your purchase cost.

Now, with this purchase cost and the MSRP in hand, call a dealer and ask for the current money factor (MF) and residual on the model you want. For the sake of example, say the residual is 57% and the money factor is 0.00295. These are numbers another poster gave me for the 2002 A4 1.8T Quattro Manual for a 39 month, 15K/yr lease.

If you intend to put money down on the lease, subtract that from the purchase price before proceeding. This purchase price, minus any down payment, is known in lease parlance as the Capitalized Cost (or just Cap Cost) of the car.

Next, multiple the residual percentage by the MSRP and call the result the Residual Value of the car.

The monthly payment for the lease will be given by:

(Cap Cost - Residual Value)/ Months + (Cap Cost - Residual Value)*MF

where Months is the number of months in the lease.

This is all before taxes, of course.

The first term of this expression gives the portion of the payment due to depreciation, while the second term gives the portion due to interest (multiply the MF by 24 to get the equivalent annual interest rate).

Expect a $30K car which you can pick up for $28K to have a lease payment of about $412 under the lease terms listed above.

ScottAW

That money factor looks awfully familar.... So does that residual! :P hehe...