Update to financing options?

[AndyS_OSU]

Sat down with my dealer for almost 2 hours and took the CURRENTLY AVAILABLE information out of their system on a 36mo 10.5kmi/yr MachE Premier RWD SR lease and came up with an $850+/mo lease (including tax). Their numbers matched what has been leaked on here. I won’t quote them exactly but let’s just say they were “surprised” that Ford went that route.

As has been mentioned a few times on here, the 55% residual is table stakes for a lease, not as an EV Tax credit inflated residual. What remains to be seen is if Ford offers the 55% residual and then rebates all or a portion of the EV credit from the manufacturer on a lease.

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[JellyBelly]

I was told Ford does not allow locking incentives. That is too bad, as many other manufacturers do allow it on an ordered vehicle. I would bet they will extend that, because it is looking like no one is getting a car by 1/4/21.

Interesting - you are right other mfrs to allow that - I once placed a custom order that was going to take a few months and the dealer told me - its the best of either what was in place at the time of my order OR what is place at the time of delivery. Made sense to me. I am sure it could work the same way with Ford too but with Mach e orders being online most of us dont even talk to the dealer about finance/incentives until delivery time.

 

[JTK44]

Sat down with my dealer for almost 2 hours and took the CURRENTLY AVAILABLE information out of their system on a 36mo 10.5kmi/yr MachE Premier RWD SR lease and came up with an $850+/mo lease (including tax). Their numbers matched what has been leaked on here. I won’t quote them exactly but let’s just say they were “surprised” that Ford went that route.

As has been mentioned a few times on here, the 55% residual is table stakes for a lease, not as an EV Tax credit inflated residual. What remains to be seen is if Ford offers the 55% residual and then rebates all or a portion of the EV credit from the manufacturer on a lease.

Thanks for posting in detail!

I wonder how dealers are going to react with customers who want to lease but under no conditions are willing to pay $850+ a month for a $47,000 car.

As you correctly point out the 55% residual is "table stakes for a lease" 36 months, 10.5 miles per year.

The first question anyone who has leased before is going to ask is:

"I do not see the Federal Tax Credit of $7,500: Where is it?"
​

I am still waiting for that answer as well.

Ford customers are not fools: One of the key selling points of BEV's is the Federal Tax Credit of $7,500 and they know other manufacturers put the Federal Tax Credit, $7,500, in the lease as a cap cost reduction. Again, where is the Federal Tax Credit?

These are going to be lost sales to the dealer. They will not be happy and I suspect they said to you during your meeting something a bit stronger than a $850+ monthly lease is a "non starter"!


MSRP $47,000 + $1100 destination, Premium SR RWE: residual 55%, interest 5.4% with sales tax of 8.625%.

Monthly payment $769; sales tax $66: total monthly payment $835 plus acquisition fee and disposal fee:

 

[JTK44]

Interesting - you are right other mfrs to allow that - I once placed a custom order that was going to take a few months and the dealer told me - its the best of either what was in place at the time of my order OR what is place at the time of delivery. Made sense to me. I am sure it could work the same way with Ford too but with Mach e orders being online most of us dont even talk to the dealer about finance/incentives until delivery time.

Exactly my experiences as well, as most of my cars are ordered.

Incentives at time of order or time of delivery which ever is better or a combination of both.

 

[DaveRuns]

Sat down with my dealer for almost 2 hours and took the CURRENTLY AVAILABLE information out of their system on a 36mo 10.5kmi/yr MachE Premier RWD SR lease and came up with an $850+/mo lease (including tax). Their numbers matched what has been leaked on here. I won’t quote them exactly but let’s just say they were “surprised” that Ford went that route.

As has been mentioned a few times on here, the 55% residual is table stakes for a lease, not as an EV Tax credit inflated residual. What remains to be seen is if Ford offers the 55% residual and then rebates all or a portion of the EV credit from the manufacturer on a lease.

I would have gotten up and walked right the hell out of that dealership.....see ya.

 

[sockmeister]

And just north of @jhalkias in the great state of Michigan we are only showing a $1k rebate plus 0.9% for 36 months.

Nice. I'd rather take that. The best APR they'll offer us here is like 2% APR for 36 months. The $2500 incentive sort of breaks even I guess.
If we get that, it'll be the equivalent of 0% APR for 36 months. Give or take.

 

[AndyS_OSU]

I would have gotten up and walked right the hell out of that dealership.....see ya.

As ridiculous as $850/mo lease for a $48k car is, it’s not the dealer’s fault. Again, I won’t quote them exactly but their jaw was just about as agape as mine.

 

[jhalkias]

And just north of @jhalkias in the great state of Michigan we are only showing a $1k rebate plus 0.9% for 36 months.

Is that $1,000 on the purchase with the .9%? Because we have nothing in cash with the .9 and the purchase. The $2,500 that I mentioned is only available on the Options. That has a higher rate, but in the end it seems to work out about even if you pay off the car at the end.

 

[hybrid2bev]

Is that $1,000 on the purchase with the .9%? Because we have nothing in cash with the .9 and the purchase. The $2,500 that I mentioned is only available on the Options. That has a higher rate, but in the end it seems to work out about even if you pay off the car at the end.

As of now there is no retail/RCL cash or rebates, only Ford Options Bonus Cash (as you described).

(Also there is the $100 Special Package Customer Cash for the Adaptive Drive Assist)

 

[methorian]

As of now there is no retail/RCL cash or rebates, only Ford Options Bonus Cash (as you described).

(Also there is the $100 Special Package Customer Cash for the Adaptive Drive Assist)

So that confirms that the $100 off the hands-free upgrade is actually just cash at purchase? I thought the notice read that way, but didn't know for sure. If that's the case, it's nice for folks who have no interest in purchasing the hands-free upgrade.

 

[OttawaGuy]

Maybe things are different here in Québec because of our specific customer rules.

But in my case (and as it was the case with my 2 previous vehicle purchases made through custom orders - my F150 and my previous GMC Sierra), the financing rate (and whatever manufacturer incentives at the time) was locked at the time I made the deposit for the order, but I would be entitled to the delivery date rate and incentive if those would be better than the ones offered at the deposit/order date.

I ordered my MME 2 weeks ago on Nov 17th and my approved and locked interest rate is 2.99%.

Dealer was surprised of this revised and lowered rate because the orders he had pushed through 2 weeks before were on a 4% rate

Dealer mentioned, he would be surprised if Ford Canada would offer any better rate or rebates on the MME given it's new and that the availability will be low!

 

[DBC]

That leaves those of us who lease out.

That seems to be the plan. It's a form of an IQ test to weed out those who may not be smart enough to drive a BEV. The plan has two parts:

1. Offer the choice of
a. Paying less and getting an attractive buyout price; or
b. Paying more and getting an unattractive buyout price.

2. Hope those who think (b) is the option go away.

 

[kdryden99]

That seems to be the plan. It's a form of an IQ test to weed out those who may not be smart enough to drive a BEV. The plan has two parts:

1. Offer the choice of
a. Paying less and getting an attractive buyout price; or
b. Paying more and getting an unattractive buyout price.

2. Hope those who think (b) is the option go away.

Please dont post anything which is not informative or adds to the the conversation. Calling everbody stupid for leasing is unnecessary and ignorant.

 

[malba2366]

Sat down with my dealer for almost 2 hours and took the CURRENTLY AVAILABLE information out of their system on a 36mo 10.5kmi/yr MachE Premier RWD SR lease and came up with an $850+/mo lease (including tax). Their numbers matched what has been leaked on here. I won’t quote them exactly but let’s just say they were “surprised” that Ford went that route.

As has been mentioned a few times on here, the 55% residual is table stakes for a lease, not as an EV Tax credit inflated residual. What remains to be seen is if Ford offers the 55% residual and then rebates all or a portion of the EV credit from the manufacturer on a lease.

Leasing these things is a horrible deal. No reason for a 5+% interest rate in the current rate environment unless your goal is to not have leases. Once the initial preorders are sold and they have to compete for sales, the leases will improve.

 

[kdryden99]

I am

Leasing these things is a horrible deal. No reason for a 5+% interest rate in the current rate environment unless your goal is to not have leases. Once the initial preorders are sold and they have to compete for sales, the leases will improve.

If ppl leasing begin to cancel and Ford doesnt change their terms im wondering if there are enough ppl who will buy it. Im sure there will slso be some bad press from this. I wonder how much it will affect the value. Do they believe there is enough demand to take the place of the cancellations?

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