shotzy

Let me tell you a little about me. My first car was a POS 67 mustang. But it was a stang and I love it. Any way when the new stangs came out I really liked them but didn't want to get involved with a brand new model.
Since I always lease my car for 2 years anyway, I got the G35c fully loaded. The G35 is a great car btw but I still really wanted a Mustang.

Well my lease is ending so I start to look at the new Mustang GT/CS. Love the car so a no brainer into the dealer I go. Now I own a small business so I always lease my cars for the write off and because I put high mileage on the car so I dont want to have the hassles of selling a 2 year old car with 50,000 miles on it. I have been doing these high mileage leases for about 10 years so I know pretty much where the payments should fall. The dealer gives me this outlandish number something like $3000 down and $250 more a month than I pay for the G35. So I tell him thank you have a nice day. Then I go to the dealer my best friends sister works at and am able to get X plan pricing. The deal is a little bit better about $2000 down and $89 more a month than I pay for my G. Okay its a little high but I love the car so I put down a deposit and order it.

Well one week later, I get a call from my friends sister. They have sold the dealership and she is not sure the new owner will honer the deal. Ok I have the deal and all the numbers so I go around to the other dealers to see if they will do the same one. They all tell me the cant because they would make no money on this deal. Which is at least partly true because my sister friend said thats why she wasn't sure the new owner would honor the deal. So I give up and go back to Infiniti, were they give me the exact same payment that I am currently paying with no money out of pocket with the exact same terms as the ford lease for a fully loaded G35c 6mt. This is with no inside connection or haggling for that matter. And they were happy to do the deal.

This is what I really dont understand this, maybe someone can enlighten me. Forget for a moment of which car is better or why you would want either car. Lets talk about real numbers Loaded GT/CS conv ~ $35,000 Loaded G35 ~ $39,000. How does infiniti make the money on a higher priced car for a lower monthly payment. And the guys at the Ford dealer were acting as if I was trying to steal the car or something.

I would think I would be Fords primary target. I can afford the car am even willing to pay a some premium for the nostalgic value. At the deal with my sisters friend I would have paid about $4,000 more over the life of the lease to ford motor credit mind you. And still no one would take the deal.

I just don't understand?

Webba

I would say interest rates could possibly be figuring in along the lines. Also, remember this isnt Ford who is screwing you but a Ford dealer. I know Ford should definitely get more involved with straightening out some of these dealers but they have other problmes so fat chance they will do anything. This will sound out there but are you located in Maine by chance? I know a person named Kai who owns a business in Maine so I thought since it isnt a common name maybe? Anyway, if you havent already made a deal oin the G I would suggest keep trying on the stang. You will not be dissapointed. If you have alreay made a deal and you are the person I am thinking you are Ill be in touch when you get your G so we can line em up. Then you will really be ****ed at yourself

Note: After seeing your screen name I am guessing you are the person I think you are. Think plastic and you will know who I am. Then call me and come down and see my mustang

Glenn

you wolud think with sales being so slow they would jump at the chance to sell a car. Some dealerships around my house will not budge off sticker for a stick car. Even if they seel at invoice they still make some money from the sale. If you say x-plan and they accept it you get raked on your trade. I think you spend about the same mooney if you use the x-plan or not. At least thats what I am seeing. No x-plan and you get a little more for your trade but they don't drop the price of the new car that much.
Give a little here take a little there. What cha gonna do????? you probably would have been better off buying the car at zero% intrest over lease in your case any way.

Import Vs Domestic

At the risk of sounding crass.... UAW is a BIG reason why GM and Ford both are hemorrhaging money. 1 billion dollars in health care for GM alone? Ouch...

shotzy

Sorry not in Maine, but from NYC.

Not really the dealer, because my friend sister told me that they weren't making any money on this deal. And I have known her since I was 12 and she is like family to me.

shotzy

Cant get the GT/CS at 0%, But even at rate its still better for me to lease. but that is a different topic.

clintoris

I'm takin' a stab in the dark.. but it's along the line of the UAW.... I think the japanese car manufactureres in most cases have a larger profit on cars, because they don't have to pay squat for labor over seas. So.. they have more room to wheel and deal. Labor here in the states is so ****ed expensive, simply because the cost of living is so ****ed expensive. I make more money now than my father did when I was 7. My dad was keeping a roof over the heads of my mom and 9 kids... I struggle to pay bills sometimes, and it's just me and my wife... and unborn child.
Ah, the American Dream.

ISELLFORD

Forget about the profit in the deals, etc or the UAW, or a Ford dealer screwing someone.
A lease is based on 3 things, initial acquisition cost, cost of money, and depreciation. We do not sell infiniti here but I would bet that in the lease residual books, that an Infiniti has a higher percentage of resale than a Mustang so even with a higher MSRP, the depreciation may be lower than that of a Mustang. Next, cost of $$; Ford has no special lease subvention on 07 Mustang for a lease so you are paying the higher interest rate while Infiniti may have a lower cost of money. Based on these two items, it is very well possible that the Infinity will lease for a lower amount.
Since you already did the deal, it's a moot point but I would have run the real numbers for you to see where you actually should have been.

jjcastle

Lease payments depend a lot on the residual value. If two cars cost about the same, the one that retains more of it's value at the end of the 2 years should have smaller lease payments. I would guess that the Infinity holds it's value better than the Mustang.

Tony Alonso

I was going to say what ISELLFORD said - the G35 most likely has a higher residual value.

tw0scoops123

I'm confused. How can you lease a car and put 50k on it in 2 years? Lease cars have a limit to the amount of miles you can drive it everyyear, otherwise you get a penalty fee for going over that....

shotzy

Actually the residual was quite good. The big thing was the interest rate. which is set by ford motor credit since I would have been leasing through them. But my point is Why in this time of financial difficultly for ford would ford shut out a whole market of people who only lease cars. Most people who own their own business or work for companies who pay for their cars will only lease cars strictly for tax purposes. Is the company in that dire straits that it can only make money by charge an interest rate that is so much higher than everyone else. Or do they think that they dont need the leasing market that companies such as BMW, Lexus, Infiniti, Toyota, Nissan....ect are in.

Why would a company any company cut itself off from such a large market?

shotzy

Every thing is negotable. I pay for the extra miles up front at a discount. I prefer this because I dont have to worry about trying to sell a 2 year old car with 50,000 miles on it. And because I only keep it for 2 years the car is almost always under warrantee. I haven't done anything but basic maintence on a car in 10 years. So I save money that way too.

shotzy

It seems that the cost of money for ford is much higher than everybody else. Because the cost and even the residual were in line.

My point why would they ignore this market.

Import Vs Domestic

Yes and no. Japanese labour isn't cheap, and the cost of living is ASTRONOMICAL in Japan (I lived there for a year), but there is simply a different work ethic. Workers take pride in the company, and by and large most companies take care of their workers... without the need of a large union like UAW that, although was initially formed with the best of intentions, has turned into a greedy, lazy parasite. In Japan, the workers simply do their job, and they get paid decent wages. It's that simple. Too bad here in North America we have no bloody concept of working TOGETHER for a common good anymore.

shotzy

Ford Also has so many 06 mustangs left that they are willing to sell them for 0.0% financing. Yet someone wants to lease a 07 and they want to charge 9%. Something is wrong there dont ya think?

lodom

As other's have pointed out the Infiniti G35 coupe have one of the highest resale values in the market. I've looked at them too. It is protably a nicer car overall than the Mustang, but it still lacks the Mustang's pony car appeal. Also, maybe Infiniti has some incentives. They have a new G35 coming out in Sept, so if the 2 door is a new model too, this should impact the price.

Webba

Wow, shotzy I figured for sure you were the Kai I knew. Hell is part owner in a local brewery hence when I saw your name being shotzy I was sure you were him. Anyway as for the question about the 06 at 0% and the 07 lease at 9% they want to move the 06 off their balance sheets. The past few times I have run rates through Ford it has been alot higher than my bank. I am guessing they are starting to be alot more careful about loaning out $. They havent got much to loan these days

eci

G35's are very poorly made, sorry. Check crash data. If you get hit at 3MPH you're looking at $5,500+ in damage, where a Stang would just need a respray on the bumper cover.

shotzy

Maybe but guess what the interest rate is on on 06 lease.

Does financing purchases require any less capital than leases?