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I may be wrong, but I don't think the Bread-and-Butter A6 ever had a V8...that was saved for the S6.
I test drove and considered getting a A6 with a 8 cylinder option in 2005 that was not a S6, they definitely made one. S6's or RS6's had a V10 at one time.
This is more of a fake news story. The A6 will get the four cylinder next year, just like the last model got. Then the price will drop, but few will talk about it at that time because the car's newness will have faded. I rather see Audi be smart and offer it from the start before people write it off as "$10k more expensive." Stories like these mislead the public and the memory sticks longer than they realize.
As Bagwell mentioned, it's $2,420 than last years V6 model. Because the 4-pot is on a year hiatus and the 2018 starts at $49,700, they have to start at V6 price hence the nearly $10k discrepancy. Makes sense, but yes the article is misleading.
The biggest thing holding Audi back is crappy leases. Its MUCH more expensive to lease an Audi compared to a similar BMW, Mercedes or even a Lexus (Lexus leases aren't great either).
For instance, when shopping a loaded A6, lease payments were similar to an LS vs a GS despite the LS being $25k more.
The biggest thing holding Audi back is crappy leases. Its MUCH more expensive to lease an Audi compared to a similar BMW, Mercedes or even a Lexus (Lexus leases aren't great either).
For instance, when shopping a loaded A6, lease payments were similar to an LS vs a GS despite the LS being $25k more.
I am someone who has never leased and don't fully understand the math behind what comprises a good lease deal, so can you explain your theory on why Audi leases would be worse than their peers? Does this mean they factor in higher depreciation, therefore a lower guaranteed trade value, therefore a higher payment?
I am someone who has never leased and don't fully understand the math behind what comprises a good lease deal, so can you explain your theory on why Audi leases would be worse than their peers? Does this mean they factor in higher depreciation, therefore a lower guaranteed trade value, therefore a higher payment?
Audi leases have low residuals and high money factors, thats why their payments aren't good.
When you lease you're paying for the difference between the capitalized cost (your negotiated sales price) and the residual (the anticipated value at the end of the lease as a % of the MSRP determined by the finance company) plus a finance charge (the money factor) divided by the term in months.
Audi leases have low residuals and high money factors, with little in terms of rebates. BMW and MB especially have very high residuals, low money factors and big rebates, so their lease payments are considerably less. This puts finance risk on the manufacturer and reduces overall profit, but they do that to be aggressive and drive value. Lexus is less aggressive, but moreso than Audi.
In my experience Audi leases are similar to a 60-72 month finance payment.
The biggest thing holding Audi back is crappy leases. Its MUCH more expensive to lease an Audi compared to a similar BMW, Mercedes or even a Lexus (Lexus leases aren't great either).
For instance, when shopping a loaded A6, lease payments were similar to an LS vs a GS despite the LS being $25k more.
Yeah, it seems like Audi leases have been crappy for quite a while. You'd think that would limit their sales when compared to the leases for BMW, Mercedes etc. Any idea why they wouldn't want their leases to be more competitive?
I have a 2016 A6 which has been a great car. I'll be taking a look at the new gen when it comes out later this year. It looks very good from what I've seen in the early reports.
Yeah, it seems like Audi leases have been crappy for quite a while. You'd think that would limit their sales when compared to the leases for BMW, Mercedes etc. Any idea why they wouldn't want their leases to be more competitive?
I have a 2016 A6 which has been a great car. I'll be taking a look at the new gen when it comes out later this year. It looks very good from what I've seen in the early reports.
I don't know why they don't have more competitive leases, and I'm sure it does limit their sales. its kept me out of an Audi a couple of times.
Audi leases have low residuals and high money factors, thats why their payments aren't good.
When you lease you're paying for the difference between the capitalized cost (your negotiated sales price) and the residual (the anticipated value at the end of the lease as a % of the MSRP determined by the finance company) plus a finance charge (the money factor) divided by the term in months.
Audi leases have low residuals and high money factors, with little in terms of rebates. BMW and MB especially have very high residuals, low money factors and big rebates, so their lease payments are considerably less. This puts finance risk on the manufacturer and reduces overall profit, but they do that to be aggressive and drive value. Lexus is less aggressive, but moreso than Audi.
In my experience Audi leases are similar to a 60-72 month finance payment.
Does that make any sense?
Definitely helpful, thank you. I'm conflicted on what would cause this - and you have to assume it's intentional by Audi. I wonder what % of their vehicles are leased compared to the other luxury brands. Initially I would think maybe Audi offers the low residual to the lease buyer in effort to create a nice margin on a used car for the next buyer. Perhaps they feel there is more money to make in that scenario when they make a hefty margin on the resale of a lease vehicle plus standard maintenance is no longer included (oil changes, etc) for the 2nd certified buyer? What's throwing me off is they may be doing this but they're also penalizing the lease customer on the money factor and lack of rebates. Wonder why they place so much risk on the consumer. Is any brand under the VW umbrella any different on leases?
It’s just a different focus, BMW and Mercedes are subsidizing their leases by offering those high residuals, the benefit is the low lease payments drive their new car sales.
Audis had bad depreciation for some time. The poorer lease offerings where a result of them trying to boost resale values. I can see what they were trying to do, but those problems where from the mid to later 2000's. Since then, Audi has upped the quality and reliability of their products considerably. So the worry of poor resale should be fading. Yet, their leases are still lousy. Not sure what they are going for at this point.
At least here in Los Angeles, things are so competitive, the regional Audi A4 lease isn't too much more than a Lexus IS. The 3 series still offers the best value.