To lease or not to lease Kodiaq - what did/would you do?

[WantAKodiac]

I'm looking for some re-assurance as to whether I should go down the leasing route on this model/spec. I am very close to pushing the button on the  Edition Spec, 7 Seater, Automatic 2.0L 2WD & I'm just waiting on the final quotes to come through various dealers. It will be a PCH 3 year deal 10k miles and I was budgeting around 350 initially but it appears that it will go up with the below options. 

 

Everyone's circumstances differ and leasing may not be to everyone's taste and I know I'll end up with nothing, but hopefully good road trip memories! 

 

I was actually looking to buy originally but I'm not sure its worth taking such a large hit in depreciation costs after 3 years (even though I pay for that during the term), the lease appeals because it should be hassle free & the market appears to be gearing up for electric/hybrid market.

 

So what would you do if you had around 350-380 per month??

 

It also seems as I go trough the options list it keeps growing - I suspect most of these are not fluff and will be useful at some stage as 3 years is still a sizeable timeframe.

 

I've asked for the quote to include:

1. 19" Triglav anthracite alloy wheels
2. Electric child safety lock with rear window roller blinds
3. Personalisation of drive mode selection
4. Heated windscreen
5. Heated washer nozzles for front windscreen
6. Park assist (I originally wanted the front sensors) but appears if you select this - you get the front sensors, and some other stuff.
7. Driver assistance package - includes the ACC and appears some other things are part of this also.

 

Not sure on these options not quoted for.

1. Rear Side airbags - assuming this isn't for rear small seats right at the back of the car.
2. Crew Protection assist - appears this and the above is only available as a pair.
3. Remote folding of rear seats - what's this????
4. Heated front and rear seats? - Front already heated seats.

 

I'm not sure as yet whether to include maintenance also.

 

I look forward to some wise comments.

 

Cheers, 

wantAkodiaq

 

 

 

[stepdavi]

Have you got initial payment? I'd be careful adding too many options leasing, the cost of extras are mostly spread over lease, so can bump up costs quickly. I've opted for l and k on lease, £2.5k initial payment and 319 a month. 190tdi 

[Danny 57]

I know when I ordered my new car that I included rear side airbags because in my opinion if you can afford lots of toys then safety should come first.

 

Good luck with your choice.👍

[gojoholo]

10000 miles a year seems a little low for a 2 litre diesel. You didn't say, but I'm assuming its a diesel since its 2wd and the 2.0 petrol only comes as 4wd.

The "heated front and rear seats" , yes you already have heated front seats (in the Edition), so this option would add heated rear seats (and costs only £205, compared to £405 on a car which didn't already have heated front seats). "Remote folding of rear seats" -  you get a lever you can pull in the boot to collapse the middle row of seats. Without this you have to go round to the side of the car, open the rear doors and pull the little loop to collapse the seat back. This has to be done separately for each side.

[r08shaw]

I got a 1.5TSi 5 seat Edition (see profile pic) on lease from VWFS themselves. Already had a Superb at the time, so used them for quotes for a Kodiaq.

They were the same price as a dealer (at the time), but I managed to get £100 loyalty payment just because I asked for it as I was staying with Skoda. Didn't think I would, but the VWFS woman said she could at her discretion.

 

I pay £385PM with £1100 initial and a 4 year term. Mileage limit of 10k.

 

I ordered the 19" Anthracite Triglav wheels, spare wheel, front and rear parking sensors and adaptive cruise as extras.

I took out a separate maintenance plan @£20PM 

 

If leasing, don't forget to factor in Gap Insurance as you a liable for ALL payments for the term should something happen to the car.

Edited 11 June, 2019 by r08shaw

[stepdavi]

There are positives and negatives of leasing, some people are anti lease saying you get nothing at end of lease others are not, I am coming to end of my first lease now, a Octavia vrs 245, to be honest I'm ready for a change, so 2 year lease suits me, what i have paid in 2 years is less than the car has depreciated. I went for l and k kodiaq for next car as it comes standard with all of the extras I wanted (pan roof, canton sound, 360 camera, heated screen). I originally looked at sportline but after adding extras car went over £40k so along with the large monthly addition for the options, another £30 ish a month was added for the extra tax. Something worth keeping in mind. 

Edited 11 June, 2019 by stepdavi

[SurreyJohn]

If you are paying £350 per month for 36 months plus about £2000 deposit (and probably a few hundred tidy up minor scratches etc at end) then paying out £15000

 

Options are normally priced over the lease so if you add £4000 options that will simply be divided by 36 months (not 100% accurate, but will be fairly close).

 

So you are proposing to spend £19,000 over 3 years and have nothing at end as handing it back, but you are worried about depreciation.  

 

Always a guess what residual values will be, but at rate of £6000+ per year should seriously consider buying it and keeping it for 5-7 years (buy the 5 year warranty), especially if only planning on doing 850 miles a month (or 10,000 miles per year), not exactly going to be clapped out in 6 years time.

 

 

[stepdavi]

Horses for courses, I like to change every 2 years, itchy feet and all that, no mot, warranty. I think it's fine for people to buy, fine to lease, fine to pcp, each to there own. I just want my kodiaq now. Roll on September.

[BoxerBoy]

As above. Ticking lots of extras hurts.

 

I'm on PCH. 3 months up front then rent for 35 months. Was happy with the deal I made around Xmas 2016. Gonna be interesting in April 2020 to follow this one.

[WantAKodiac]

Hi all thanks for the replies. 

 

I've received some quotes today. Remember this is for PCH not PCP

Edition (all options listed above) Initial 2,237 monthly 372.88 inc vat = 424 per month

L&K no options initial 2,144 monthly 357.47 inc vat = 407 per month

Edition no options initial 1,932 monthly 322 inc vat = 366 per month

 

Yes its a diesel, the 2 litre diesels are on a 13 week lead time & the Petrol's on a 18 week lead time. I can't wait that long - with diesel I might also be able to get something at a port somewhere if i wasn't willing to wait - assuming its something I want spec wise.

 

I don't do a great deal of mileage but as we''ll have a sizeable car we'd like to embark on some adventures... 

 

Thanks for the remote folding seat explanation.

 

Is maintenance @ £127 + £20 per month reasonable - this is not included in the above costs. This includes tyres, maintenance & service.

 

Thanks for the gap insurance tip. I've also confirmed that I can take the car abroad with their permission. 

 

I also like the sportline but the options on the edition out weigh the looks and i also wanted a less bumpy ride as the bigger rims apparently affect the ride quality. + no leather which I want for the kids.

 

If the car was a hybrid I would of considered buying it, but as its PCH i don't really care if its diesel or petrol. Hopefully by the time i hand it back in a new hybrid version would be out. 

 

That's a valid point but I wasn't expecting 19k :( it does seem quite sizeable when you put it that way!

 

hmmm... what do to!!

 

 

 

 

 

 

 

[BoxerBoy]

I'm on 3 year deal. Recently had the one and only dealer service at 18K  miles.

 

Didn't bother with a service plan. Cost £177.

 

Not bad for 3 years.

[Otto_Octavius]

4 hours ago, SurreyJohn said:

If you are paying £350 per month for 36 months plus about £2000 deposit (and probably a few hundred tidy up minor scratches etc at end) then paying out £15000

 

Options are normally priced over the lease so if you add £4000 options that will simply be divided by 36 months (not 100% accurate, but will be fairly close).

 

So you are proposing to spend £19,000 over 3 years and have nothing at end as handing it back, but you are worried about depreciation.  

 

Always a guess what residual values will be, but at rate of £6000+ per year should seriously consider buying it and keeping it for 5-7 years (buy the 5 year warranty), especially if only planning on doing 850 miles a month (or 10,000 miles per year), not exactly going to be clapped out in 6 years time.

 

 

 

I would also say buy.

 

The 400 odd a month could go toward owning the car, not giving it away.

 

You could refinance at the end of the term and continue with 400 odd a month and own it outright. 

 

Each to their own though.

 

Edit: was going to delete this as I see OP is committed, but cant see how to delete a post on the site 😗

Edited 11 June, 2019 by Otto_Octavius

[WantAKodiac]

But if you were to buy new rrp is about 35k ? That’s nearly 5k every year for 7 years? Excluding any loan costs etc. The car would be yours but how much would the car be worth say in year 3/4/5? I still reckon by year 3 there will be a tide of electric/hybrids on the market. Further denting residuals. 

[SurreyJohn]

10 hours ago, WantAKodiac said:

But if you were to buy new rrp is about 35k ? That’s nearly 5k every year for 7 years? Excluding any loan costs etc. The car would be yours but how much would the car be worth say in year 3/4/5? I still reckon by year 3 there will be a tide of electric/hybrids on the market. Further denting residuals. 

 

There is a lot of guesswork on residual values, and someone somewhere is going to the financial pain (but its fair to say the finance company will do its sums with aim of making money not loosing it on the transaction).

 

Only when quote is received will the Op know what his/her total payments are over term of lease.  But the quote will be a minimum spend, it will exclude excess mileage, damage rectification etc, (probably reasonable to add £500, or if a family car with kids, prams etc £1000 as something will get scuffed or spilt on).  

 

Yes I agree that more hybrids or electric cars will be available in 3 years time, but there is no guarantee they will be any cheaper, could be more expensive.  Suddenly could be paying £100 per month more for years 3-6.    Some forget that as well as guessing residual values, you need to guess the lease rates in 3 years time to make the comparison.   Can't simply assume they will be same.   Current ones are lot more than 3 years ago, that trend could continue.

 

To be honest if you can't afford to incur £5k-6k per year on depreciation, then you shouldn't be spending same some amount on renting either.  The same amount of money will be going out your bank account.   Its the old maxim of cutting your cloth to suit your budget.

 

I can't advise what lease rates will be in 3 years time, but I suspect a £350-400 per month now will be more like £450-550.   VAT changes and increasing money market swap rates (which determine the rate finance company pays) are relevant.

 

[Otto_Octavius]

Another thing is that if you keep the car, you don't need to worry about 'damage rectification' and 'excess mileage'.

[TonyTonic]

You could also try and buy the car after the lease finishes, normally from what i hear some people get good offers. I haven't done it so not sure 100%.

 

Worth considering.

 

Overall I've come to the conclusion is whatever way you finance it, keep it at least 7-9 years, I think after year 7 (at lower mileage per yer) is when big things need doing on the car and things tend to start going wrong.

Edited 12 June, 2019 by TonyTonic

[Greenliner1]

I’m not sure that they let you buy it, I think though a family member can. You’d think it would be in their interest though or perhaps it’s to encourage PCP.

 

Just recalling what I’ve read / heard.

 

On my old company cars it was always an option at end of lease.

[silver1011]

I've leased (PCH) and bought.

 

For me, it all comes down to whether or not you want a new car every two years or not? If yes then lease it'll be easier, if not then buy, it'll be cheaper.

 

Leasing at the time was a no-brainer due to the deals at the time (£200 / month, fully amortised deposit, for a Octavia Scout on 8,000 miles / year). Dead easy, no factory options (apart from metallic paint), no hassle, no damage charges, no GAP insurance, and the offer to buy it at the end, for a price below that of equivalent cars of similar age and mileage at the time, if desired.

 

Leasing is great, if the car is already built / in stock and you aren't fussed about the make, model or spec, you simply shop around for the cheapest deal at the time, this is when a PCH appeals. For when a car is a commodity, a method of getting from A to B.

 

If you're wanting an exact spec, then all of a sudden choice, at a given price point, becomes limited. This is when a PCP or outright purchase becomes more cost effective.

 

Every so often manufacturers need to shift a certain amount of vehicles, and pedal them out quickly with low attractive monthly's on PCH. In my experience at all other times PCH is the more expensive, albeit convenient option.

 

The Kodiaq isn't a cheap car, and when I was buying there were more incentives available on PCP, fuel cards, deposit contributions, finance contributions, dealer contributions etc.

 

I've yet to see a 'great' PCH deal on the Kodiaq...

 

 

 

So £409 / month, amortised, or just under £5,000 / year. Ouch.

 

https://www.simpsonsskoda.co.uk/pch-offers/kodiaq-laurin-and-klement-20-tdi-190ps-4x4-dsg-from/

[BoxerBoy]

I've tried the arithmetic but don't see £5K  a year.

 

[stepdavi]

I agree with earlier comment about future of engines is changing. Buying a near enough £40k kodiaq would be a risk of it's a diesel. My opinion is at least petrol hybrid will be minimum on a new car soon, and future values of diesel vehicles will depreciate much quicker than currently. Only my opinion, ive ordered a diesel kodiaq all be it on pch. In 24 months I imagine I'll be looking at hybrid/electric powered.

[WantAKodiac]

That Simpson’s site is by far the cheapest when I’ve been comparing all the brokers and websites. In fact in some cases against the others there’s a sizeable difference.

 

as you say it’s not a cheap car so I don’t expect to get any cheaper unless you went for an SE base model. But I’d want to enjoy some of the safety gizmos in this size of car.

 

Ill see see what type of quote I get on a PCP to compare against the PCH. 

 

I just don’t want to commit to it over the three years. I’m going to ring fence the car term money so whatever happens I.e job lost that’s been felt with.

 

From what I can tell on autotrader they all seem to be at 22+k the higher the spec/newer it is much more 25k+

 

And your correct leasing could go both ways cheaper or higher. But you can’t dwell on that.

 

id jump on similiar spec model if one was in stock, even if not the colour I’m after but it appears to be a popular model/in demand so price movement at this stage is unlikely.

 

whens does the hybrid come out - ideally we wantakodiaq for the summer holidays.

 

it appears I’m still keen on a lease.

 

 

Edited 12 June, 2019 by WantAKodiac
Spelling/grammar corrections

[TheRobinK]

1 hour ago, WantAKodiac said:

whens does the hybrid come out - ideally we wantakodiaq for the summer holidays.

 

Last I read, Skoda was saying the Superb Hybrid is first and that was to be latter half of 2019 (so probably building it after the summer factory shutdown. Which means their rubber won't hit the road till Sept/Oct, apart from the dealers getting early "look what we have got" demo cars.

 

The Kodiaq was claimed to follow it in 2020 - so I'd bet that it would be later in that year too. I cant see any chance of getting your hands on one for this summer holiday - or next years ...

 

Don't think I'd want to risk my money on a Kodiaq Hybrids first model year and Skoda's (nearly) first attempt at it either. I'd watch the Superb Hybrid closely for awhile to see if they have their sh-t together on this.

[SurreyJohn]

@WantAKodiac  Forget the service plan at £127 plus £20 a month

 

You have it on 3 years x 10,000 miles.

 

One minor service at 12.25 months, one larger service at 24.5 months, will go back with 2 weeks before 3rd service due (and if clever just days before MOT due).   However as it is a PCH with variable servicing might just need one service around 20 month (18k Miles) point

 

Get the tyres swapped front-back at around 13-15k miles and might not need any tyres (check wear after a year, perhaps swap them at first service and worst you will find is need 2 tyres, not 4)

 

Cost approx £180, £250 for services and maybe £250 for 2tyres.  Only £450 or £700 with 2 tyres, about £13-18 per month average, only £9 per month average if variable service and no tyres needed.

Edited 13 June, 2019 by SurreyJohn

[stepdavi]

Surrey John is right about being clever, my octavia is due back october 1st, is on variable service and will be due on sep 30th, back tyres like new, front have about 4mm on them after 13k miles, being honest I dont drive the car like a vrs, more slow and steady, but I'll give car back before start of sep, pay 55% of remaining one payment (lease ts and cs), car is in excellent condition. What I'm getting at it a 2 year lease you can get away with spending nothing on maintenance or service, a 36 month probably 1 service and like he said swap tyres round 18 months on and you'll be ok.

[WantAKodiac]

Thanks for those bonus tips guys, I’ll be sure to follow in your steps. 

 

Looking at the skoda deal on the l&k above (posted by silver101) example it doesn’t appear to be much of a saving going from a 2 year to 3 year. Therefore, apart from future lease deal prices is it worth going for the 2 instead of the 3? By that stage you’ll likely get some facelift/minor refresh to the car also?