My Take: Well, don’t say I didn’t warn ya. Here’s the bad news, the $2000 is gone. The good news is that I think you can do no worse than invoice. The C350 still retains it’s good old money factor from June (which is the same as May, April, March and possibly February). Certainly more expensive, but definitely not horrible. I know the good old MB dealers are going to hate me for saying this, but I think you can do a little better than invoice in areas with solid competition due to the fact that MBs have holdbacks. Now lets get into the C300. The C300 got a major MF deduction in order to offset the 2% loss in residual value. How does that compare to last month you ask? You save almost $30 per month, which translates to about $1000 in your pocket. Cool huh? So this month, I’m going to pimp the C300 Sport instead. Check out the new LIST for some sample payment calculations.
2009 Mercedes C-Class
2009 Mercedes C300 Luxury
24-month | 15k miles | residual 57% | .00200 base money factor
36-month | 15k miles | residual 51% | .00075 base money factor
48-month | 15k miles | residual 42% | .00075 base money factor
60-month | 15k miles | residual 36% | .00395 base money factor
2009 Mercedes C300 Luxury 4matic
24-month | 15k miles | residual 57% | .00215 base money factor
36-month | 15k miles | residual 51% | .00091 base money factor
48-month | 15k miles | residual 42% | .00091 base money factor
60-month | 15k miles | residual 36% | .00395 base money factor
2009 Mercedes C300 Sport
24-month | 15k miles | residual 57% | .00200 base money factor
36-month | 15k miles | residual 51% | .00075 base money factor
48-month | 15k miles | residual 42% | .00075 base money factor
60-month | 15k miles | residual 36% | .00395 base money factor
2009 Mercedes C300 Sport 4matic
24-month | 15k miles | residual 57% | .00215 base money factor
36-month | 15k miles | residual 51% | .00091 base money factor
48-month | 15k miles | residual 42% | .00091 base money factor
60-month | 15k miles | residual 36% | .00395 base money factor
2009 Mercedes C350 Sport
24-month | 15k miles | residual 53% | .00089 base money factor
36-month | 15k miles | residual 50% | .00084 base money factor
48-month | 15k miles | residual 42% | .00084 base money factor
60-month | 15k miles | residual 36% | .00395 base money factor
2009 Mercedes C63 AMG
24-month | 15k miles | residual 53% | .00430 base money factor
36-month | 15k miles | residual 48% | .00395 base money factor
48-month | 15k miles | residual 42% | .00395 base money factor
60-month | 15k miles | residual 38% | .00395 base money factor
I am getting close to starting negotiations on a C300, auto with P1, MM, and ipod(MSRP: 40740). I need guidance on DOC and ACQ fees. Are they locally controlled by dealer, if possible what is best way to try and get them waived or at least reduced? Should I email my dealer and ask what they are before I offer a sales/cap cost price? Any feedback will help.
@bha. dealer doc fees are generally negotiable, but they vary from state to state. The bank fee is generally fixed, but I’ve seen it jacked up in some states. You should definitely inquire about the fees before you offer the cap cost price. that way you can lower the cap cost offer if you think their fees are too high. Some dealers may be annoyed u nitpick about their fees, so I suggest that you try take it off the sale price/cap cost. Also, based on your email address, I’m guessing you might be able to get military rebates. Check to see if MB is offering those.
Is this a good rule of thumb for most leases: every $1000 increase in the sale price of the car or loan amount = $30 increase in monthly payment?
@supercharger. generally speaking, that is a good rule of thumb. I think most cars site around 25-27 bucks per month for every $1000 borrowed. But it all depends on the residual, money factor and the price of the car. I personally like to use the $30 rule because I like to overestimate instead of underestimate.
G-Thanks for the repsonse, It helps. I will ask what the fees are before I offer base cap cost. My USAA/military price without any negotiation is 36,293 on the MSRP quoted above. The dealer is pobably aware of this, but we have not discussed this via email. When I went in to see the car I did not discuss any numbers. I will begin that this week via email. If I drop the ipod the base cap cost is 359–. I will pobably be lucky to get it any lower. Thoughts?
@bha. Actually the sale price is pretty good, which is just shy of invoice if I am not mistaken. I wouldn’t drop the ipod if you think you’ll use it. It is definitely a nice perk to have it link with your car’s steering controls. I actually spend the better part of the morning talking to Aaron over at the MB dealership here in Long Beach and I don’t think there are any major cash incentives going on the C350 right now. That includes stuff like loyalty cash and what not. Still, not a bad price for the car, I drove the GLK350 today, which uses the same engine as the C350 and came away impressed. MB makes very solid cars and I think I will be targeting the GLK as my next one. Euro delivery baby!
Hi G, Help me I am getting confused. Since you visited 3 dealers, each having cars I am interested in give me your sage advice. I am looking at Infiniti G37X sport 4dr, BMW 335I 4dr and Benz C350. Tell me which car I would be happy with? I am 62, a motor head(love cars) drive on a lease 10k/year, like a softer ride but still want some zip in my car. Thanks in advance, Wayne.
@wayne. welcome back! well, it certainly was a interesting day this weekend visiting the 3 dealers. I wish I could do it more often, but I got a day-job to keep. LOL. IN any case, I am curious why you chose the G37x sport instead of the G37 journey sport since the other two aren’t AWD. I can say that the 335i will be most fun to drive. It is a bit rougher with the sports package, but it’s go-kart mannerisms keep you coming back for more. I can’t say I’d want to ride in this car on a long road trip though. That can be said of anything with a sports package, so the G37 and the C350 won’t fair any better if you opt for that package. Now to me, I think this will all come down to money because these three cars have plenty of “ooomph” under the hood. Based on your criterias, I would recommend the G37 Journey non-sport trim. The ride is fairly smooth, packs a lot of power and has all the fancy amenities luxury cars should have. The biggest knock I have on the Infiniti is the 18 city and 25 hwy MPGs. Good heavens it sucks! Another thing, if you are over 6 ft tall, you will appreciate the slightly larger interior. The interior quality is vastly improved from the older G35s, but still not as good as what BMW or MB can offer. But for the money, you can’t go wrong.
Now if you don’t care about money, size, stiffer ride or your passengers, 335i all the way. No faster sedan that I can think of at this price range.
Lastly, if you care about the prestige and luxury that only a MB can offer, C350 is the only sensible choice. Unfortunately, without last month’s $2000 marketing cash, it’s a bit pricier than the others. You can make things a little better by going for 39 or 48 months instead of 36. That will keep payments competitive and you will still be under warranty.
Hello G- Here it goes, I believe this to be a pretty good deal: MB C300 Sport, MM, P1, Auto (B/B).
Base Cap Cost-$35,338
Acq-595
Doc fee-$96
MF-.00075
Tax 3%
T/T/R-$84.50
Your formula is working like a charm!!!!!
@BHA wow $595 acquisition fee on a BENZ??? That’s like almost half of what we pay here in CA. Awesome. Doc fee is still relatively low so that’s great.Low Tax, awesome. Around $5400 bucks off MSRP right? Wow, what state is this? Is this 36 months or 39 months? 12k a year? This is a very solid deal. I can’t say anything bad about it. So are you going to pull the trigger?
This is with a dealer in MD outside DC. I am trying to get a dealer closer to home in VA to match. The dealer in MD will deliver vehicle to house. I won’t even have to go get it. This is for 39/15000. You are correct 5402 off MSRP.
@bha. did you get the car yet? personally I’d give the MD guy the business just because he was able to get you a good deal on the car. The only advantage of going with the VA guy is that its closer to home, which means I would ask for some complimentary oil changes. Don’t under estimate that, changing oil on a luxury car costs around $50 a pop. I got 3 free ones from my Infiniti dealer, that’s $150 bucks + a $50 gift card I got from IFS for having my car serviced. LOL.
Hi Bha, what is the name of this dealer? Where do you live in Va. I ave a friend who is a Benz sales manager and can get you a deal there. Let me know I can call him. Wayne.
Hi G, Is it true that a dealer can give you credit for miles not used on a lease? My Caddy will have about 5k left over. By the way I contacted David and Arron and both got right back to me. Wayne.
@wayne. That is untrue. You will not be refunded for unused miles. When you have below your contracted miles, it is best to see if can sell the car as a trade in to see if there is any equity in the car. Great! I’m glad Aaron and David have been good with the communication. Hopefully they where able to provide you with some good information.
I am thinking of going with the VA dealer. Close to home and free car wash’s. I intend on wrapping up the deal today; with someone. I will try for the oil changes. I turn in my Saab on the 23rd. The VA dealer has gotten very close to the MD dealer. VA is lower cap cost by has higher acg and doc.
G, What is holdback on a c Class Mercedes? I think it is based on a percent of Retail, correct? Thanks, Wayne.
@wayne. I believe is around 3% of MSRP for all MBs.
Hey G,
I was at the dealer today. I am close to making this happen. The lease terms they showed me had a .00075 money factor and 54% residual (10K miles) for a 39 month C300 sport lease (I will change it to 36 months when I really do this). How long to you think the money factor and residual will stay at that level?
@P. Lease rates look good. I would also recommend doing the 36 months if your state requires annual auto registration. No sense paying for a full years registration when you will only need it for 3 extra months. To be honest, I don’t expect it to last too long. 2010 C-Class should be coming out either August or September from what I understand. If the numbers look good now to you, I recommend pulling the trigger. Many times people wait too long then they get burned; both price-wise and selection-wise.
G. Thanks for the quick reply. This site is awesome. Since you were recently at the dealership in Long Beach you may have an idea about this – What do you think is a realistic purchase price for a vehicle with these options:
C300 sport with P1, metallic paint, ipod kit, walnut trim, auto transmission and destination.
I believe the invoice price is $36,137. The dealer says I am off. Either way it doesn’t matter as long as I get a good price. So what should I shoot for? Thanks G.
@P. With C300s, you should be able to get invoice + rebates. However, I don’t recall any rebates on them. In places with good competition, you should be able to dip below invoice due to the holdback. The holdbacks on the MB’s are 3% of MSRP if they fairly new on the lot. So you can take 3% of the MSRP and take that off the invoice. That would be the ultimate lowest the dealer would sell you the car for and not make much money off you. Not something I encourage people to do to dealers though. I mean, they are a business after all.
G, The deal is done. A C300 sport with P1, palladium silver metallic paint, ipod kit, walnut trim, auto transmission and destination for $34,737 (MSRP $38,790). The money factor was .00075 and residual for 10K miles a year was 54%. Still less than a week old. I will send some pics for The Wall if that is cool. Thanks for all of your leasing advice.
@P congrats!! numbers look good! can’t wait to see the pics! I think the wall needs it’s first C-class.
2009 MB C Class Sport (Black)
$1,000 USAA Exclusive Incentive
IPOD INTEGRATION KIT (057)
MULTIMEDIA PKG (320)
PREMIUM 1 PKG (P01)
7-SPEED AUTOMATIC TRANSMISSION (427)
MSRP: $40,740
Savings off MSRP: $9,315
Sale Price: $31,425
Residual 54%
MF: 5.21% .00217
No Doc fee
Term: 36/10k
Pretty good deal overall, little higher on the money factor than I would like, but still not bad. Easy to deal, with USAA car buying service.
@TLH. Wow. 9k off MSRP? when was this and through who did you lease through?
It was on Tuesday 9/8/2009, I used USAA.com car buying service. The lease was through MB in Arlington, VA (good dealer and service orientated).
@TLH. That is a GOOD sale price. I would have probably opted to buy instead of lease. Still, $9k off is very nice, even with the higher money factor. I would have probably suggest MSDs to lower the MF a bit. Other than that, that’s a fine deal you got the. Congrats!