Leasing
A complete guide to navigating the lease process, including how to request a fully itemized quote from any dealer and how to evaluate the numbers before any visit to the dealership.
How a lease works
A lease is a structured rental arrangement in which monthly payments cover the depreciation of the vehicle over the term, along with a financing charge known as the money factor, plus all applicable taxes and fees. Four numbers drive the monthly payment:
- Selling Price. The negotiated price of the vehicle. This figure is always negotiable.
- Net Cap Cost. The selling price combined with any fees rolled into the lease, less rebates, incentives, trade equity, and any down payment applied. This is the figure on which the monthly payment is calculated.
- Residual Value. The bank's projection of the vehicle's worth at the end of the lease term. This figure is set by the lender and is not negotiable.
- Money Factor. The financing rate applied to the lease, set by the lender.
The full lease quote email
Before sending: Identify your target price using an automotive pricing website such as TrueCar, Edmunds, or Kelley Blue Book. Identify two or three dealerships within your driving radius that have the exact vehicle in stock, referenced by VIN or stock number, and send the same email to each. Confirm the specific VIN on the dealer's website before sending the email.
Quotes should be requested as zero-down, zero-out-of-pocket as a starting point. Dealers often present quotes with significant money down to create the appearance of a lower monthly payment. Negotiating against the zero-down figure isolates the true cost of the lease, after which putting money down becomes an independent decision.
The most effective dealership contacts for an emailed lease quote request, in order of preference, are the Fleet Manager, the Internet Sales Manager, and the General Sales Manager. When sending the email, do not include a phone number and request all communication by email only.
Hi [Manager Name],
My name is [Name], and I am interested in leasing the following vehicle:
VIN: [Exact VIN from dealer website]
I am a serious buyer prepared to move forward on the right deal. I complete deals by email, with all terms agreed to in writing, and come in only to finalize paperwork and take delivery of the vehicle.
Please confirm the following in writing:
- Selling price of the vehicle
- Lease term, with quotes for both 24 and 36 months, including any differences in incentives or rates between the two
- Annual mileage (insert preferred mileage based on driving habits, typically 10,000, 12,000, or 15,000 miles per year)
- All non-tax fees itemized, including acquisition, documentation, and dealer fees
- All current manufacturer rebates and incentives
- All current dealer discounts and incentives
- Net Cap Cost after all fees and reductions
- Residual Value
- Money Factor
- Tax rate applied, based on registration ZIP code [ZIP code where the vehicle will be registered]
- Monthly payment, including all applicable taxes
- Photograph of the specific VIN on your lot, along with the window sticker
I am contacting several dealerships with comparable vehicles in stock and will move quickly on the strongest written quote.
Thank you,
[Name]
Dealers often return the money factor as a raw decimal value such as .00124. Converting it to an approximate annual percentage rate is straightforward:
Example: .00124 × 2,400 = 2.976% APR
Validate Any Lease Quote Independently
Once the lease quote has been received, paste the full quote into the AI tool of choice to validate the monthly payment provided by the dealer. From there, determine (using the same AI tool) whether applying money at signing improves the total cost over the term of the lease. The buyer can then return to the dealer with a confirmed monthly payment figure and a decision on any money applied at signing: "Here is the number I am prepared to move forward on. If you agree, I will finalize the paperwork."
Two additional lease-specific resources for checking the numbers:
Have a specific question about a quote?
Send the details to info@getnavigatr.com.
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