Fair Price - 2011 Honda CR-V EX?

[djdragan]

Happy New Year Guys.

My old car is on its last legs and it is time for a new one. I am considering a 2011 Honda CR-V EX, and this is my first time purchasing a new vehicle.

I visited a dealership in calgary and had them price one out for me Honda is currently offering 0.9% on lease/finance on the 2011's:

to finance over 60 months ($0 down) they are offering payments of about $583.50/mth , based on my calculations that works out to an all-in purchase price of $34,224.

The other options is on a 48 month lease, payments are $405/mth
with a buy-out of $14,800 in 4 years.

I am leaning towards the lease at this point, but am wondering
if this is a fair price? There are no options/add-ons beyond what is standard with the EX trim level. They have also told me that an EX-L (identical but with leather and a premium stereo) would be about $2000 more.

As I said, I have not bought new before, or via a dealership for that matter. Do I have some room to negotiate, or would you typically ask for a discount on accessories (ie car starter/roof rack)?

[redline]

go to www.carcostcanada.com and get dealer invoice

[Sugarphreak]

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[djdragan]

Originally posted by Sugarphreak


Fair deal for financing, however you don't want to be leasing last years model.

I am actually in a 24 mo lease with a 2011 CRV as we speak, which expires mid-next year. If I buy-out my total cost will be somewhere around the 36K mark with all taxes included, so 34K sounds about right... (although you will be losing residual value at exactly the same rate I am and I've driven mine for nearly 2 years already).

Just think... the 2013's are going to be rolling out in less than 6 months.... by the time your 4 year lease expires, your car will nearly be 6 years old! If you don't plan to sell it for more than 5 years, no biggie... otherwise I'd recommend getting a newer model.

We did look at a 2012, but did not test drive it. I do like the shape, but am also pretty happy with the look of the 2011.

The main consideration behind going for a 2011 was the low financing/lease rate but what you are saying about getting a newer model makes sense. That being said, we would most likely likely buy out after the lease expired and keep for another year or two.

It looks like the MSRP on a 2012 CRV EX is a bit lower then the 2011 (about $700) too.

[Sugarphreak]

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[djdragan]

Originally posted by Sugarphreak


If you are going to lease make sure to have them run numbers for both the 2012 and 2011 so you can compare, sometimes the residual value can play into the monthly cost and buyout in ways that can benefit you.

For instance, we compared the lease of a 2010 to a 2011... because the residual value was higher at the end for the 2011, the payments per month were actually less... yet the buyout for both cars remained the same. It worked out to maybe just a couple of hundred bucks in benefit on paper, however at the end of our lease we could buyout and resell the car for more than a 2010 model.

Thanks for the tip Sugarphreak. I just e-mailed the sales guy to ask for payment info on the 2012's.

[Aleks]

Originally posted by djdragan


Thanks for the tip Sugarphreak. I just e-mailed the sales guy to ask for payment info on the 2012's.

You can go here http://honda.ca/buildyourhonda and build vehicles on your own. Only thing that's missing from the build tool there is the admin/etch/block heater fees that you can negotiate so the tool is accurate within $10/month.

Anyways look like 2012 CRV would be 442/month with 16,010 residual after 4 yrs. Even though the car is less, and residual is more payments are higher due to higher interest rate.

I'd say if you like the 2011 go with it as that lease rate is excellent and Honda takes on the depreciation risk for you but I highly doubt that you'd have trouble selling a CRV in Calgary even if it is an outgoing model 5 yrs from now.

[djdragan]

Originally posted by Aleks


You can go here http://honda.ca/buildyourhonda and build vehicles on your own. Only thing that's missing from the build tool there is the admin/etch/block heater fees that you can negotiate so the tool is accurate within $10/month.

Anyways look like 2012 CRV would be 442/month with 16,010 residual after 4 yrs. Even though the car is less, and residual is more payments are higher due to higher interest rate.

I'd say if you like the 2011 go with it as that lease rate is excellent and Honda takes on the depreciation risk for you but I highly doubt that you'd have trouble selling a CRV in Calgary even if it is an outgoing model 5 yrs from now.

Just heard back from sales guy. I rate on the 2012's is 3.99%. I lease payments would be $460 with a residual if about $16,000. Apparently the 0.9% rate could expired after tomorrow. I don't want to rush in to anything but it is a great rate. Think they extend it as they are trying to get rid of old inventory?

[Aleks]

Originally posted by djdragan


Just heard back from sales guy. I rate on the 2012's is 3.99%. I lease payments would be $460 with a residual if about $16,000. Apparently the 0.9% rate could expired after tomorrow. I don't want to rush in to anything but it is a great rate. Think they extend it as they are trying to get rid of old inventory?

It's hard to say. Usually once a new calendar year arrives old model year cars lose their low rates. They may take away the leasing option all together on the 2011s and just give big cash purchase incentives until they sell out of inventory. This is what I've seen in the past from Honda.

[djdragan]

Well I think we've decided to go with the 2012 after all. After comparing both again, the look of the 2012 combined with the added features (heated seats, backup cam, updated 4wd system) wins out.

Have gone to 2 dealerships and they have priced an EX out at about $33,000. MSRP on Honda.ca is $32,380 (including freight and PDI), I assume the difference is for the block heater, etching and fed tax.

Both dealers say that the price is firm as this is a major model change and it has just come out. I have joined carcostcanada.com and obtained the dealer invoice cost for the 2012 EX. I am wondering if this is something I will encounter at all dealerships, I always though that negotiating was part of the process?

[Sugarphreak]

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