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Valued Contributor
Dustink
Posts: 3,097
Registered: ‎10-02-2012
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Subaru Legacy

[ Edited ]

I am looking to replace my beat up high mileage 2009 impreza.

 

I am being offered a new 2012 Legacy 3.6r limited w/moonroof for $25k with 0% for 36 months. That price includes a few extra's like floor mats, a car cover, splash guards, fancy mirror, & a bumper protector. Plus they are giving me about $1,500 more than I honestly think my car is worth. 

 

I have never before gotten an auto loan, nor purchased a new car. This deal seems pretty decent. Seems like the pricing of new cars has come down and the pricing of used cars has gone up. To me in this case it seems like a better deal to buy new rather than slightly used. What I am paying is about what the car books at 2 years from now.

 

Anyone familiar with this car?

 

What do you all think of this deal? Any thoughts?

 

If I decide to go with this purchase, I will make it part of the deal that if the 0% falls through. I want an additional $1,000 off the purchase price. Then I will go with USAA at 1.99%.

 

 

Too many INQs & low AAoA so I'm off to tend the Garden.     Age:23    


     $17k       $8.5K          Closed          $19k      $6.5k        $24.2k        Closed         $5k       Closed     $8.5k        Closed      @2.49%
Valued Contributor
Dustink
Posts: 3,097
Registered: ‎10-02-2012
0

Re: Subaru Legacy

Thought's anyone?

 

I could use some input here,

 

Thanks

Too many INQs & low AAoA so I'm off to tend the Garden.     Age:23    


     $17k       $8.5K          Closed          $19k      $6.5k        $24.2k        Closed         $5k       Closed     $8.5k        Closed      @2.49%
Contributor
Elcid89
Posts: 567
Registered: ‎10-04-2012
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Re: Subaru Legacy

What's sticker on the vehicle?

FICO 04 scores: 809 (EQ) 812 (EX) 818 (TU)

Amex Platinum NPSL - Citi HHonors Sig. $58k - BMW Ultimate $40k
Chase Sapphire Preferred $62k - Merrill Lynch + Signature $41k - USAA Rate Advantage $28k
NFCU Flagship Signature $50k - USAA Cash Rewards AMEX $28k
Citi Platinum Select / AAdvantage Signature $31k - Chase Amtrak Rewards World MC $41k

Valued Contributor
Dustink
Posts: 3,097
Registered: ‎10-02-2012
0

Re: Subaru Legacy

[ Edited ]

Elcid89 wrote:

What's sticker on the vehicle?


$31,000 MSRP

 

$29,000 Invoice

 

Holdbacks are $600.

Too many INQs & low AAoA so I'm off to tend the Garden.     Age:23    


     $17k       $8.5K          Closed          $19k      $6.5k        $24.2k        Closed         $5k       Closed     $8.5k        Closed      @2.49%
Contributor
Elcid89
Posts: 567
Registered: ‎10-04-2012
0

Re: Subaru Legacy

[ Edited ]

It gets good reliability ratings. It's a 2012, so you'll need to figure the off-year hit to book, but it sounds like a good deal to me. The payment will be steep on a 3 year deal though. $25k @ 0 for 36 falls into the nearly $700 per month range (about $694)

FICO 04 scores: 809 (EQ) 812 (EX) 818 (TU)

Amex Platinum NPSL - Citi HHonors Sig. $58k - BMW Ultimate $40k
Chase Sapphire Preferred $62k - Merrill Lynch + Signature $41k - USAA Rate Advantage $28k
NFCU Flagship Signature $50k - USAA Cash Rewards AMEX $28k
Citi Platinum Select / AAdvantage Signature $31k - Chase Amtrak Rewards World MC $41k

Valued Contributor
Dustink
Posts: 3,097
Registered: ‎10-02-2012
0

Re: Subaru Legacy


Elcid89 wrote:

It gets good reliability ratings. It's a 2012, so you'll need to figure the off-year hit to book, but it sounds like a good deal to me. The payment will be steep on a 3 year deal though. $25k @ 0 for 36 falls into the nearly $700 per month range (about $694)


Yeah, that payment is high :smileysad:

 

Atleast it will get the car paid off quick and I will always have equity.

 

I plan on putting $3,000 down, because that is the max they will let me put on a credit card. Then I will take a check for my trade and put it in the bank (why not with a 0% loan). That will also give me a nice car emergency fund if there is a time that the $700 payment becomes a problem.

Too many INQs & low AAoA so I'm off to tend the Garden.     Age:23    


     $17k       $8.5K          Closed          $19k      $6.5k        $24.2k        Closed         $5k       Closed     $8.5k        Closed      @2.49%
Valued Contributor
Dustink
Posts: 3,097
Registered: ‎10-02-2012
0

Re: Subaru Legacy


Elcid89 wrote:

It gets good reliability ratings. It's a 2012, so you'll need to figure the off-year hit to book, but it sounds like a good deal to me. The payment will be steep on a 3 year deal though. $25k @ 0 for 36 falls into the nearly $700 per month range (about $694)


I could get the current model year for about 2 or 3k more, but I drive more than average. So, starting one year older will keep my mileage more in line with where it should be.

Too many INQs & low AAoA so I'm off to tend the Garden.     Age:23    


     $17k       $8.5K          Closed          $19k      $6.5k        $24.2k        Closed         $5k       Closed     $8.5k        Closed      @2.49%
Contributor
Elcid89
Posts: 567
Registered: ‎10-04-2012
0

Re: Subaru Legacy

[ Edited ]

Why would you carry a down-payment for a 0% deal on an interest bearing line? You're effectively converting part of a 0% deal to an interet bearing deal at whatever rate the card caries.

 

They also shouldn't be cutting you a check for the trade-in. They should be applying it to the deal at the agreed upon price.

 

At 0%, do the deal with the absolute minimum downpayment that the buyer will take to float the deal. $0 would be preferable.

 

In other words, apply the trade allowance to the deal. It will reduce the payment. Tell F&I you want a $0 down deal. If SF goes for it, they are carrying the balance instead of you. If they want a down-payment to work the deal, then offer the minimum that they will accept. It will save you from paying interest to some other lender on the funds you acquire for the down-payment.

FICO 04 scores: 809 (EQ) 812 (EX) 818 (TU)

Amex Platinum NPSL - Citi HHonors Sig. $58k - BMW Ultimate $40k
Chase Sapphire Preferred $62k - Merrill Lynch + Signature $41k - USAA Rate Advantage $28k
NFCU Flagship Signature $50k - USAA Cash Rewards AMEX $28k
Citi Platinum Select / AAdvantage Signature $31k - Chase Amtrak Rewards World MC $41k

Valued Contributor
Dustink
Posts: 3,097
Registered: ‎10-02-2012
0

Re: Subaru Legacy


Elcid89 wrote:

Why would you carry a down-payment for a 0% deal on an interest bearing line? You're effectively converting part of a 0% deal to an interet bearing deal at whatever rate the card caries.

 

They also shouldn't be cutting you a check for the trade-in. They should be applying it to the deal at the agreed upon price.

 

At 0%, do the deal with the absolute minimum downpayment that the buyer will take to float the deal. $0 would be preferable.


I will not carry the CC balance. I will PIF and get some rewards out of it. The $3,000 down covers the taxes and fee's. I would rather not finance them and instead earn some rewards.

 

Most dealers will cut a check for the trade if you don't owe anything on it. They will apply it to the loan if I want them too, but I would rather earn interest on the money for now.

 

I would do $7500 down for the 1.99% loan, but I agree about the minimum down on a 0% deal. As long as I never get way upsidedown on the loan. Don't want huge backwards equity just in case I get into a tough spot and need to sell.

 

 

Too many INQs & low AAoA so I'm off to tend the Garden.     Age:23    


     $17k       $8.5K          Closed          $19k      $6.5k        $24.2k        Closed         $5k       Closed     $8.5k        Closed      @2.49%
Valued Contributor
Dustink
Posts: 3,097
Registered: ‎10-02-2012
0

Re: Subaru Legacy

Thank you again for your input. Great having somebody to bounces ideas off of. 

 

What kind of car's do you like buying?

 

I am a fan of AWD. Been looking mostly at Audi's, Infiniti's, Lancer's, and Subaru's. Also, some Acura's and BMW's.

Too many INQs & low AAoA so I'm off to tend the Garden.     Age:23    


     $17k       $8.5K          Closed          $19k      $6.5k        $24.2k        Closed         $5k       Closed     $8.5k        Closed      @2.49%

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