Super Low Lease Rate on 2010 MKS

[akirby]

Comparing a Corolla lease deal that is available to everyone in the country to a model year closeout MKS lease deal that is available to A/Z/D-plan customers in Metro Detroit.

[RichardJensen]

Comparing a Corolla lease deal that is available to everyone in the country to a model year closeout MKS lease deal that is available to A/Z/D-plan customers in Metro Detroit.

 

A three year Corolla lease deal that assumes an utterly unworkable 60% three year residual with a two year lease deal that carries standard Ford Credit residual assumptions.

Edited August 19, 2010 by RichardJensen

[jpd80]

More accurately: Comparing a Corolla lease deal that is available to everyone in the country to an MKS lease deal that is available to A/Z/D-plan customers in Metro Detroit. :rolleyes:

Ford and other manufacturers do this regularly, I don't see what all the fuss is about.

 

At best, we're talking a maximum of 300 odd cars.. the sky isn't falling .....

[jpd80]

A three year Corolla lease deal that assumes an utterly unworkable 60% three year residual with a two year lease deal that carries standard Ford Credit residual assumptions.

 

And that's the difference, the residual valuse with Corolla just don't hold up,

something that comes as a sting when people hand their cars back in.

 

Good deals for people seeking a 2010 MKS but I suspect a lot of buyers

now want the 2011 and all the upgrades, Ford have done a stellar job.

Edited August 19, 2010 by jpd80

[aneekr]

I believe there is something like a 160 day supply of MKSs out there when 60 day is ideal. The LM dealers around me are loaded down with MKSs and MKTs sitting on their lots with no buyers. Voila! $269/month and I'm sure supply will fall way below 100 day supply quickly. MKT will be next.

The July 2010 inventory numbers from Automotive News (I don't have the August figures) are:

119 days supply for the MKS

178 days supply for the MKT

82 d for Lincoln brand

59 d for Ford + Mercury + Lincoln

54 d for U.S. auto market overall

[TomServo92]

The July 2010 inventory numbers from Automotive News (I don't have the August figures) are:

119 days supply for the MKS

178 days supply for the MKT

82 d for Lincoln brand

59 d for Ford + Mercury + Lincoln

54 d for U.S. auto market overall

 

Stop actually researching your facts! That's not allowed in this thread!!!!!!!!

[BrewfanGRB]

Based on those numbers, I would imagine MKS will do pretty well last 10 days of August. And don't forget, that blow out lease deal will bring in customers from outstate and the tri state area around Metro Detroit also. Auto retirees and their relatives live all around Midwest.

 

You can't really be this stupid. Seriously...customers from outstate and the tri state area are going to drive to Metro Detroit to buy an MKS? So wait a second: The alleged potential buyer has to be A/Z/D eligible, they have to somehow actually hear about this ASTOUNDING deal, this ASTOUNDING deal can't be met or even closely matched by their area dealer...and after verifying the vehicle I want (color/features/etc) is available, I then have to drive all the way to Detroit just to get this vehicle. If you think that an A/Z/D eligible person who lives in Chicago can't get a similarly decent lease on a similar MKS from a local dealer, that seems unlikely. Additionally, let's just say the best lease this Chicago-area A/Z/D person can get is $299 or even $319. Both are still GREAT deals and if you think someone is going to drive hundreds of miles to save 30 bucks a month, you're crazy.

[TomServo92]

You can't really be this stupid.

 

He didn't earn the nickname "Bucket of Rocks" for nothing ya know!

[FordBuyer]

You can't really be this stupid. Seriously...customers from outstate and the tri state area are going to drive to Metro Detroit to buy an MKS? So wait a second: The alleged potential buyer has to be A/Z/D eligible, they have to somehow actually hear about this ASTOUNDING deal, this ASTOUNDING deal can't be met or even closely matched by their area dealer...and after verifying the vehicle I want (color/features/etc) is available, I then have to drive all the way to Detroit just to get this vehicle. If you think that an A/Z/D eligible person who lives in Chicago can't get a similarly decent lease on a similar MKS from a local dealer, that seems unlikely. Additionally, let's just say the best lease this Chicago-area A/Z/D person can get is $299 or even $319. Both are still GREAT deals and if you think someone is going to drive hundreds of miles to save 30 bucks a month, you're crazy.

 

 

You need to read better and comprehend what you read. You think you are paraphrasing me, but you aren't. And yeah, people will drive from Toledo, Cleveland, Columbus, South Bend and so on to save $30-$50/month on lease or buying outright in Metro Detroit where all the D3 companies are located. They have doing it for decades. Also, they will come from out state to Metro Detroit to do same. I used to live in Norhern Michigan near Traverse City and lots of my neighbors went down state to buy their D3 vehicles. GM is well represented in Northern Michigan, but not so much Ford and inventory up there was pififul. Labor rate on service is cheaper up there though.

[carguy]

You need to read better and comprehend what you read. You think you are paraphrasing me, but you aren't. And yeah, people will drive from Toledo, Cleveland, Columbus, South Bend and so on to save $30-$50/month on lease or buying outright in Metro Detroit where all the D3 companies are located. They have doing it for decades. Also, they will come from out state to Metro Detroit to do same. I used to live in Norhern Michigan near Traverse City and lots of my neighbors went down state to buy their D3 vehicles. GM is well represented in Northern Michigan, but not so much Ford and inventory up there was pififul. Labor rate on service is cheaper up there though.

Factory sponsored programs are all zip code based. Unless you have an address in the Detroit area driving in from out of state will not help.

[mercurymichael]

I do not understand why a leased vehicles are counted as sales. Dosn't FoMoCo still own the vehicle during and at the end of the lease? They simply are turning a new vehicle into a used vehicle.

[FordBuyer]

The July 2010 inventory numbers from Automotive News (I don't have the August figures) are:

119 days supply for the MKS

178 days supply for the MKT

82 d for Lincoln brand

59 d for Ford + Mercury + Lincoln

54 d for U.S. auto market overall

 

Thanks for proving my point. 50-60 days is ideal and 120 and 180 days supply are horrible. Not even close to ideal. Again, the MKS and MKT are not selling well. What is so hard to figure out about that fact. How is Ford going to correct the problem if everyone thinks Lincoln is fine because of higher ATP's. Lincoln sales suck and all your spinning doesn't change that fact. You can't sell a vehicle anywhere close to sticker price if you have 120-180 days of supply sitting on your lot. That is a nighmarish for dealer and manufacturer will have to put lots of money on hood to clear the traffic jam.

[carguy]

I do not understand why a leased vehicles are counted as sales. Dosn't FoMoCo still own the vehicle during and at the end of the lease? They simply are turning a new vehicle into a used vehicle.

The financing instution owns the vehicle in this case Ford Motor Credit. Ford Motor Credit is a completely separate entity from FoMoCo.

[BrewfanGRB]

You need to read better and comprehend what you read. You think you are paraphrasing me, but you aren't. And yeah, people will drive from Toledo, Cleveland, Columbus, South Bend and so on to save $30-$50/month on lease or buying outright in Metro Detroit where all the D3 companies are located. They have doing it for decades. Also, they will come from out state to Metro Detroit to do same. I used to live in Norhern Michigan near Traverse City and lots of my neighbors went down state to buy their D3 vehicles. GM is well represented in Northern Michigan, but not so much Ford and inventory up there was pififul. Labor rate on service is cheaper up there though.

 

Ok...you live there, I don't. Do people drive from the areas you indicate to buy vehicles in metro Detroit? Undoubtedly. Do they do so in large enough numbers to represent a statistically significant number of purchasers of ANY vehicle, much less a vehicle that already only sells ~1000 units/month NATIONWIDE? Absolutely impossible.

 

You should read what you write and think about how it's perceived from the viewpoint of the readers not named FordBuyer. I'm not even getting into the argument of whether the lease offer is good or not good...but the idea that dealers will blow out their inventory right quick because tons of people from Ohio will go to Detroit to buy an MKS is patently ridiculous. If more than 20 people from outside the metro Detroit area (as defined by CMSA) buy an MKS between now and 8/31, I will apologize and forever leave you alone. But you can't prove it and neither can I. Just like you can't prove whether 1000 units/month is profitable or not.

 

You have got to get over this idea of X number sold = bad and Y number sold = good. I don't care if Ford sells 5000 Mustangs/year. If it makes a profit, that's all that matters. This isn't the early 90's! Jeez.

[FordBuyer]

Factory sponsored programs are all zip code based. Unless you have an address in the Detroit area driving in from out of state will not help.

 

Uh, when I lived in Northerm Michigan for 10 years, I bought all my new Fords in Metro Detroit and got much better deal. All warranty work and service was done by Gaylord Ford/Lincoln that was 60 miles south of Mackinaw Bridge. All were A plan through my father who was engineer for Ford. I bought my 1985 Bronco ii new from Royal Oak Ford and lived up North .

[carguy]

Uh, when I lived in Northerm Michigan for 10 years, I bought all my new Fords in Metro Detroit and got much better deal. All warranty work and service was done by Gaylord Ford/Lincoln that was 60 miles south of Mackinaw Bridge. All were A plan through my father who was engineer for Ford. I bought my 1985 Bronco ii new from Royal Oak Ford and lived up North .

And I was the managing partner in a Metro Detroit Ford Dealership for 30 years. A-Plan is the same price no matter where you buy and the rebates are based on the zip code where you live. Next time your in Marys tell them big D says hello.

[FordBuyer]

The financing instution owns the vehicle in this case Ford Motor Credit. Ford Motor Credit is a completely separate entity from FoMoCo.

 

Sometimes Ford makes money on lease deal when it's turned in, and sometimes not. I don't think Ford made any money on my generation Taurus when it was turned in. Ford took a bath. FMC is part of Ford and part of profit and loss statement. Ford seems to be making money on most lease deals now with better residual value. I doubt if Ford is making money on latest MKS lease deal in this area.

[BrewfanGRB]

Factory sponsored programs are all zip code based. Unless you have an address in the Detroit area driving in from out of state will not help.

 

I thought this was the case...but I've been second-guessing myself. Is it based on offers available for the dealer's area or where I actually live? I mean, if I happened to pick up a Mustang while on vacation in Orlando, does the dealer need to work out what rebates are being offered in Northeast Wisconsin?

[carguy]

I thought this was the case...but I've been second-guessing myself. Is it based on offers available for the dealer's area or where I actually live? I mean, if I happened to pick up a Mustang while on vacation in Orlando, does the dealer need to work out what rebates are being offered in Northeast Wisconsin?

Based on where you live. The Dealer enters your zip in the computer and immediately displays all programs for your area.

[FordBuyer]

Zipcode zipcode....many of you guys underestimate the skill of a savvy consumer. For example, I live in a school district that is academically better than most in the state. There are thousands of kids going to the schools here that don't live in the district. Some get caught, but most slip through cracks. The district tries hard to catch cheats, but many stay one step ahead. With so many home foreclosures and so many living with relatives now, addresses are increasingly meaningless. The Census workers couldn't even account for many people supposedly living in this country. Keep up with the times guys.

[fordmantpw]

And I was the managing partner in a Metro Detroit Ford Dealership for 30 years. A-Plan is the same price no matter where you buy and the rebates are based on the zip code where you live.

 

I was thinking the same thing...you can't go somewhere else to get a better deal on A-Plan.

[TomServo92]

Zipcode zipcode....many of you guys underestimate the skill of a savvy consumer. For example, I live in a school district that is academically better than most in the state. There are thousands of kids going to the schools here that don't live in the district. Some get caught, but most slip through cracks. The district tries hard to catch cheats, but many stay one step ahead. With so many home foreclosures and so many living with relatives now, addresses are increasingly meaningless. The Census workers couldn't even account for many people supposedly living in this country. Keep up with the times guys.

 

[BrewfanGRB]

Zipcode zipcode....many of you guys underestimate the skill of a savvy consumer. For example, I live in a school district that is academically better than most in the state. There are thousands of kids going to the schools here that don't live in the district. Some get caught, but most slip through cracks. The district tries hard to catch cheats, but many stay one step ahead. With so many home foreclosures and so many living with relatives now, addresses are increasingly meaningless. The Census workers couldn't even account for many people supposedly living in this country. Keep up with the times guys.

 

Sooo...if I understand this correctly, you're encouraging people to defraud Ford by providing an inaccurate address in order to secure a higher rebate or some otherwise more favorable terms than would be available to them using their correct address? And you call it "savvy". I call it felonious. Calling you a bucket of rocks is unfair to rocks...and buckets.

[carguy]

Zipcode zipcode....many of you guys underestimate the skill of a savvy consumer. For example, I live in a school district that is academically better than most in the state. There are thousands of kids going to the schools here that don't live in the district. Some get caught, but most slip through cracks. The district tries hard to catch cheats, but many stay one step ahead. With so many home foreclosures and so many living with relatives now, addresses are increasingly meaningless. The Census workers couldn't even account for many people supposedly living in this country. Keep up with the times guys.

Savvy Customer? More like fraud. With today's computers the credit app better match your employer’s record, tax return and driver's license. Whoever got you the pin or if you are the employee expect to lose your A-Plan privileges or worse. And believe me they do check.

[FordBuyer]

Savvy Customer? More like fraud. With today's computers the credit app better match your employer’s record, tax return and driver's license. Whoever got you the pin or if you are the employee expect to lose your A-Plan privileges or worse. And believe me they do check.

 

People are walking away from their mortgages, equity loans, credit card loans, and so on. The moral hazard has been crossed and given the finger. Even people who still make good money and can easily pay their bills are walking away from property that decreases in value monthly. Signing their name to a 30 year loan means nothing anymore. I wouldn't be surprised by fraud of any kind now. Japan has a name for those who have moved back in with their parents and other relatives....Parasitic Singles. They live for free at 40 years of age and buy nice cars and play video games all day.