I was thinking more like a 0% promo rate, not auto rates in general.The Federal Reserve announced in December that it is lowering it's Federal Reserve interest rate hike 2019 projection to 2 increases. However, even two increases in the Federal Reserve interest rate would indicate that auto finance rates are going to go up, not down. So if you don't like the current 3.49% Subaru rate, it's going to be even hard for them to offer anything less in 2019.
The interest savings would actually be worth more to most people than the 2% under invoice if you do the math. I was simply wondering if I should be more patient for the interest savings to be available than to take the deal I currently have working (actually a little better than 2% under invoice).Don’t get greedy. Ascents are selling really well beyond Subaru’s expectations it seems. Interest rates will continue to rise. As inventory declines dealers will be less willing to negotiate deals. If you want one and can find a good deal, I say grab it now because it will cost you more in the future.
The financing and the quoted sales price are coming from two completely different sources. Pricing is from the dealership. Financing is from Subaru of America.The interest savings would actually be worth more to most people than the 2% under invoice if you do the math. I was simply wondering if I should be more patient for the interest savings to be available than to take the deal I currently have working (actually a little better than 2% under invoice).
If you wait for the next model year there will undoubtedly be a price increase. Whether Subaru of America offers a subvented loan rate in the future is anybody’s guess.The interest savings would actually be worth more to most people than the 2% under invoice if you do the math. I was simply wondering if I should be more patient for the interest savings to be available than to take the deal I currently have working (actually a little better than 2% under invoice).
Dealers don't care about cash that much. They're getting a bit back from the financing company plus getting your purchase price up front when you take a loan.Pinch those pennies and pay cash. Should be able to get 8-9% off
Yes I'm well aware of that. That's why I was considering whether I should wait to see what incentives might be coming down the pike that the dealership isn't aware of/doesn't have available yet.The financing and the quoted sales price are coming from two completely different sources. Pricing is from the dealership. Financing is from Subaru of America.
I was thinking the promo rate might come out on the older model year, so while maybe the new model year might come with a price increase, I was still thinking I'd take a 2019 model.If you wait for the next model year there will undoubtedly be a price increase. Whether Subaru of America offers a subvented loan rate in the future is anybody’s guess.
I’m just saying that in the face of rising sales and rising federal funds rates, my bet is you’ll get a better deal now. I hope I’m wrong and you get the rate you’re looking for.
That’s what I did. I recalculated my deal. I got about 12% off my 7 passenger premium with pkg #3.Pinch those pennies and pay cash. Should be able to get 8-9% off
Wow, if you're getting a steady 8-10% annual return in your mutual funds in this roller coaster market, I need to invest in whatever you're doing! :smile:Dealers don't care about cash that much. They're getting a bit back from the financing company plus getting your purchase price up front when you take a loan.
As rates creep up to 4% and higher it almost makes sense but mutual funds are 8-10% annually average so why would you pay cash?
Nothing about steady year to year, look at 5 year averages though. There's always short term risk but I'd rather leave the investments alone than to squander the investment to pay cash for something that will only depreciate over the life of the loan and have to build up the "war chest" again.Wow, if you're getting a steady 8-10% annual return in your mutual funds in this roller coaster market, I need to invest in whatever you're doing! :smile:
Substantial price increase? Few hundred dollars?If you wait for the next model year there will undoubtedly be a price increase. Whether Subaru of America offers a subvented loan rate in the future is anybody’s guess.
I’m just saying that in the face of rising sales and rising federal funds rates, my bet is you’ll get a better deal now. I hope I’m wrong and you get the rate you’re looking for.
Almost all car manufacturers raise their prices every year. By how much? Who knows.Substantial price increase? Few hundred dollars?