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Discussion Starter · #1 ·
I am thinking about ending my Honda Pilot lease 8 months early and paying the remaining payments ($2400) and buying a 2009 Acadia with Employee Pricing. GMC will pay 2 month of the lease (factory rebate, so dealer doesn't eat the $600). This basically means I am paying $1800 for nothing. The incentives I have to do this now are the following:

The price of a 2009 Acadia may go up after September. It is unkown if they will extend the Employee Pricing. This pricing saves about $1300 on a fully loaded Acadia when compared to invoice pricing. So assuming the price goes up by $1300 I am out a net of $500 for swapping cars now ($1800-$1300).

My Pilot's warranty is up in 2 months. I would hate to pay for a repair in the last 6 month of the lease.


What would you do in my situation?
 

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Sounds very well thought out and it makes a lot of sense to me. One thing----the $1800 you are "paying for nothing" would be paid anyway if you keep the Honda. By terminating, you can basically consider that $1800 to be a reduction in value for any trade-in you would have had. In other words, you would have paid it anyway---either to Honda via the lease or now for terminating the lease. Not really that much of a difference if you look at it that way.

You go on to further reduce that amount via the incentives, but I just wanted to point out those other perspectives that make it even more positive.
 

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Never lease in the first place.  Sorry, but you asked.  :)  However, assuming that there will still be SOME kind of GMC buyer incentives in a stalled economy when your Honda lease is finally up, I certainly wouldn't throw away any additional monies right now while receiving no equity in return.  If your Honda has been dependable as it should have been, the fear of an unexpected out-of-warranty repair would not sway me.  Unless that happened AND it exceeded $500 (using your current lease-dump math) you'd still break even.

In terms of "paying for nothing", if you maintain the lease you will receive the use of a Honda vehicle for that money over a certain length of time... hardly something to just throw away. And all those miles it will carry you during that time will not show up as a devaluation on your (eventual) new Acadia's odometer.
 

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Discussion Starter · #4 ·
gurufly: True. So basically the only thing I am losing by swapping now is additional mileage on the Acadia for the next 6 months or so. I might pull the trigger soon.

Joeskady: I normally don't lease but a $300 payment on a $30,000 vehicle was a good deal. I am paying $650 a month for a purchased TL (wife's car) and didn't want an additional $600 payment for a Pilot I would end up selling when the TL payments are up (which is in 1 month) in order to buy a new car with payments around $850 or so.
 

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FYI: I'm currently in negotations for a Purchase on a SLT-1 Acadia. I was in somewhat of a hurry on making a decision on Tuesday since I thought the Employee discount was going to be over. I was informed the Discount will be extended untill the end of the month.
 

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JBRedZ28 said:
I am thinking about ending my Honda Pilot lease 8 months early and paying the remaining payments ($2400) and buying a 2009 Acadia with Employee Pricing. GMC will pay 2 month of the lease (factory rebate, so dealer doesn't eat the $600). This basically means I am paying $1800 for nothing. The incentives I have to do this now are the following:

The price of a 2009 Acadia may go up after September. It is unkown if they will extend the Employee Pricing. This pricing saves about $1300 on a fully loaded Acadia when compared to invoice pricing. So assuming the price goes up by $1300 I am out a net of $500 for swapping cars now ($1800-$1300).

My Pilot's warranty is up in 2 months. I would hate to pay for a repair in the last 6 month of the lease.


What would you do in my situation?
We are doing the same thing with our 05 Montana the Lease is up in Jan though and we are getting out of it in oct mind you our dealer is pickingup the remaining payments on it for us. All because Employees are not able to take advantage of the additional 1500 dollar discount on a new purchase.
 

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Discussion Starter · #7 ·
DSNY FN : I assume you are purchasing a 2008 then?
 

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I'm at a double loss here since a H***a and leasing don't appeal to me. :)

I know there has been some "spirited" debate on websites regarding leasing vs. buying, but I'm with Joeskady on this. Mrs. Blue worked for many doctors during her working years, and the last one always leased a Corvette :)thumb:) and then later went to the "dark side" with a Lexus. I've always equated leasing with renting a home or apartment. I had to do so as a young person starting out, but once I had equity, I have owned homes ever since. I realize you usually can't make money on vehicles like you can a house (although I did on my '97 Trans Am since it had such low miles when sold), but the idea of a car payment for the rest of my driving days does not appeal to me. On the other hand, we own new vehicles for probably 10 years, and if something breaks out of warranty, I fix it. I know everyone else has different circumstances.

As for the original question, we did window-shop a Pilot. Based on the features or lack thereof (no overhead rear AC vents, a must have in these parts), I would go with the Acadia 1000%. If you had to eat $500~1,800 I'd say go for it, the vehicle is worth it.
 

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JBRedZ28 said:
DSNY FN : I assume you are purchasing a 2008 then?
Nope 09 my grandparents both worked for GM Diesel for years and years so as their grandchild I get full access to GM Employee prices. Our 09 the dealer says should arrive the last week of Sept.
 

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Discussion Starter · #10 ·
DSNY FN: Then what additional $1500 discount were you referring to in your previous post?
 

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JBRedZ28 said:
DSNY FN: Then what additional $1500 discount were you referring to in your previous post?
Up here in Canada they were offering a 1500 dollar credit to people getting out of a lease to purchase a new vehicle so they would have paid off my remaining payments and any additional money would have come off the price of the new truck. But being that they wouldn't allow this on GM Employee orders/purchases they are just paying off my remaining payments.
 

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Discussion Starter · #12 ·
Blue_2009_SLT2: I know the Acadia is worth it but I am just trying to justify it in my mind. :)

I usually don't lease cars (I drove a 1994 Z28 for 12 years as my daily driver if you can believe that). I only leased my Honda Pilot because I wanted a new car in December of 2005 but wanted to get my long term new car in late 2008 when our Acura TL payments were up. Basically we plan on keeping each new car for 10+ years and staggering the purchases at least 5 years apart (one new car payment each month for the rest of our lives I guess).

Here is my math to justify leasing the Pilot for 42 months rather than buying it new and selling it after 42 months. I think I came out ahead because SUV/Big Crossover prices have gone down. In essence Honda set too high of a residual on the lease. They also had a low money factor (interest rate) with their lease deals in December of 2005. The lease also saved me the hassel of selling the car (the used car value used below is the current Private Party Edmunds value minus an estimated $600 for the depreciation in the next 8 months)

Total cost to lease (all payments)= $13,229.93


Buy Details:

loan amount including tax $29,257
loan period 5 years
loan interest rate 2.9% (I think this was the rate, could have been 3.9%)

Remaining loan balance after 42 months $9,226.06
42 months of $524.41/month buy payments $22,025.22
estimated value after 42 months $16,200

Total cost to buy and sell after 42 months $15051.28

Total cost (at 0.9% interest, to match the lease interest rate) $13,977.76
 

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Discussion Starter · #13 ·
DSNY FN: Thanks for the info eh!
 

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JBRedZ28 said:
DSNY FN: Thanks for the info eh!
No problem at all ya HOSER LOL :cheers:
 

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JBRed[/color]Z28 said:
Blue_2009_SLT2: I know the Acadia is worth it but I am just trying to justify it in my mind. :)

I usually don't lease cars (I drove a 1994 Z28 for 12 years as my daily driver if you can believe that).



I'm no longer a Detective and don't play one on TV, but was it red by chance? :)

Tick... 1994 Z/28...

Tick... 12 years as my daily driver...

Tick... 2006 H***a...

Tick... 2006-12= 1994 :eek:


Dude, you traded an LT1 Z/28 for a H***a ??? Where's the ban button on this browser? :beatdown: :puke:

(Just having a little fun if you can't tell)

I had some financial doubts on ours as well, but the GMS offer sealed the deal.

EDIT
Shameless insertion of my LTx F-body (still got it ;)):
 

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Discussion Starter · #16 ·
I didn't trade in the Camaro. It still resides in my garage and gets about 100 miles put on each year. I got sick of driving it in the snow (deathtrap comes to mind).
 

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Discussion Starter · #18 ·
Will do. I swore I would always buy or lease American cars but couldn't find an American car in the fall of 2003 that compared to the Acura TL (the CTS sucked back then IMO). And GM couldn't offer a $30,000 car for a $300 per month lease payment in late 2005. I think GM has produced better cars in recent years. I will continue to get the best value for my money regardless of manufacturer. If I perceive the same value and like each car the same, then I will definitely buy American.
 

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I'd say the original question has been answered, so
:hijacked:

I feel the same way about the vehicles. We looked at several of the crossovers, and the Lambda was by far the best for us. I have gone on record here that I think they are overpriced as compared to other vehicles similarly equipped, but they do offer more room and now with the 2009 cooled seat option, they became a "have to have" model, although I was closer than a main bearing clearance to pulling the plug on ours when the dealer didn't disclose ad fees & tried to pass them off as a destination charge increase when I already had a total price.

Warning! You may find this offensive since you have a Camaro!
On the other hand, were I to buy a new car right now, it would be the 2009 Challenger R/T (not SRT8). I built one online & for about $34K MSRP (less than our Acadia @ GMS LOL) I can have it just as I want it- 6 speed, nav, MyGig audio, sunroof, 18" wheels.

I do not like the restyling on the Camaro and am still sore @ GM for not properly marketing the car in the 4th generation years. I think of this everytime I see a "retro" Mustang (a nice looking car, and I'm not one to say good things about a F**d). IMO, Dodge hit a grand slam on the new Challenger's styling (except for the playa 20" wheels), and Chevy struck out on the 2010 Camaro- it looks too much like my old '73 Toyota Celica and not enough like the prettiest Camaro of them all, the 1969 RS/SS.
 

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Discussion Starter · #20 ·
I am not a big fan of the new Camaro either. I would probably like it more if they released it 2 years ago.
 
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