Monday, December 28, 2009

JeffCars.com's 10 Best Year-End Deals

With this being the end of the year, automakers are willing to work magic to place you in a new vehicle. Here are a few deals which could drive you toward big savings:

BMW: Offering a $1,500 to $2,500 MSRP reduction on select vehicles plus low-interest financing, when financed with BMW Financial Services. The MSRP reduction also applies to leases, too.

Cadillac: 2009 XLR, up to a $10,000 rebate

Hyundai: 2010 Sonata, 0% financing for 60 months and 90-day deferred payment

Hummer: up to $6,000 rebate on H3 or 0% financing for 60 months

Infiniti: offering up 2.9% to 7.9% financing up to 72 months on mostly ever vehicle

Kia: 2009 Sorento, $5,000 rebate
2008 Amanti, $5,000 rebate

Pontiac: Dealers may be willing to discount remaining vehicles up to 50% off the MSRP or 0% financing for 72 months; GM is retiring the Pontiac brand

Saab: $5,000 to $8,000 or 0% financing for 72 months

Saturn: Dealers may be willing to discount the remaining vehicles up to a 50% off the MSRP or 0% financing for 72 months; GM is retiring the Saturn brand

Toyota: 2010 Camry, 0.9% financing for 60 months

Source: Automaker

Consumers must take delivery of a new vehicle by January 4, 2010, to be eligible for the aforementioned incentives.

Saturday, December 26, 2009

Four Ways a Car Can Drive Down Your Taxes

Although the government funded Cash for Clunkers programs ended in the fall, which provided up to $4,500 in trade assistance for consumers agreeing to purchase a fuel-efficient new vehicle, Uncle Sam is still offering tax incentives for both new (and used) vehicle buyers, as long as they can show proof they took delivery of a vehicle by December 31, 2009. To help navigate the tax savings, we've found four ways you can drive down your taxes for the year.

For one, if you're a small business owner who purchase a new or pre-owned vehicle with a Gross Vehicle Weight Rating (GVWR) of over 6,000 pounds, you may qualify for a one-time $25,000 write-off. Ironically, this incentive is counter intuitive the government's Cash for Clunkers program, which was designed to encourage fuel-efficiency. After all incentives, if you're buying new (or pre-owned), the vehicle final drive out cost must be $25,000 in order to qualify for the small business tax incentive. Furthermore, the vehicle must be used primarily for business purposes.

For instance, purchasing a new or pre-owned $55,000 GMC Denali Yukon, you can write-off a whopping $36,000 in the first year on your taxes. This amount includes the $25,000 one-time small business tax deduction and the standard yearly 20 percent tax deduction. Your tax consultant can help you determine what kind of impact this information could have on your individual business situation. Here are some of the vehicles which will qualify for the program:
  • BMW X5
  • Cadillac Escalade
  • Chevy Astro
  • Chevy Avalanche
  • Chevy Express
  • Chevy Silverado
  • Chevy Suburban
  • Chevy Tahoe
  • Dodge Durango
  • Dodge Ram Van
  • Dodge Ram Maxi Van
  • Dodge Ram Wagon
  • Dodge Ram 1500
  • Dodge Ram 2500
  • Dodge Ram 3500
  • Ford Excursion
  • Ford Expedition
  • Ford Econoline E-150
  • Ford Econoline E-250
  • Ford Econoline E-350
  • Ford F-150
  • Ford F-250
  • Ford F-350
  • GMC Yukon
  • GMC Safari
  • GMC Savana
  • GMC Sierra
  • GMC Sierra Denali
  • Hummer H1, H2
  • Land Rover Discovery
  • Land Rover Range Rover
  • Lexus LX470
  • Lincoln Blackwood
  • Lincoln Navigator
  • Mercedes G500
  • Mercedes ML 320
  • Mercedes ML 500
  • Mercedes ML55 AMG
  • Toyota Land Cruiser
  • Toyota Sequoia
  • Toyota Tundra
And, if you're not a small business owner, you're eligible for the American Recovery and Reinvestment Act, which permits taxpayers to take a deduction for state and local sales and excise taxes paid on the purchase of new cars, light trucks, motor homes and motorcycles. The deduction is available on new vehicles purchased from Feb. 17, 2009, through Dec. 31, 2009. In states that don't have a sales tax, the law provides a deduction for other taxes or fees paid. This deduction is available whether or not a taxpayer itemizes deductions on Schedule A.

The deduction is limited to the taxes and fees paid on up to $49,500 of the purchase price of a new vehicle. The deduction is reduced for joint filers with modified adjusted gross incomes (MAGI) between $250,000 and $260,000 and other taxpayers with MAGI between $125,000 and $135,000. Taxpayers with higher incomes do not qualify.

Added to that, if you purchased a brand new hybrid or diesel this year, you may qualify for a tax credit, too. Not all hybrids and diesels may qualify. Like Toyota (Lexus) and Honda, Ford will become the next automaker to be ineligible for the tax credit, after April 2010. Thus, if you're interested in taking advantage of tax savings you better make a move on a Ford (Mercury) soon. However, since the Mazda hybrids are similar to Ford's, you can switch brands and still take advantage of their hybrid tax credits.

Finally, since this is the holiday season, you're probably still in the spirit of giving. If you didn't take advantage of the government's Cash for Clunkers incentive, you can donate your old clunker to a charitable organization and write the vehicle off on your taxes. The charitable organization will provide you with a receipt at the time of donation for you to apply to your 2010 taxes.

Make sure you verify the above information with your tax consultant to determine your actual savings.

Thursday, December 24, 2009

2010 Jaguar XKR Supercharged Convertible: One Wild Cat!




What’s New:

This is the first Jag ever produced with a 5.0-liter supercharged V8, which delivers a whopping 510-horsepower. In comparison to the previous generation XKR, the 2010 Jag basically gives you significantly more horses for about the same gas mileage as the 2009 Jag, according to fueleconomy.gov.

And with the extra horses, Jag uses advanced aluminum body panels for the elegantly designed exterior, which looks similar to Maserati’s GranTurismo ( or maybe the Maserati looks similar to the Jag). Unlike the Maserati, you can get a supercharged Jag, which offers more horses, with a drop top for about the same price you’ll pay for their coupe.

Moreover, the 2010 elegantly designed XKR distinguished itself from the previous generation Jag, with its freshly redesigned bumpers, rear integrated spoiler and technically advanced Bi-Xenon articulating LED lights, which delivers better lighting for nighttime driving.

Inside the Jaguar, the vehicle exudes luxury, with its handcrafted stitched leather interior surrounded by the Burl Walnut veneer, which continues to set a new standard for luxury performance coupes. And if you’re looking for a shift lever in the XKR, you won’t find it here. The updated XKR drops the conventional shift gear, for an easy-to-use rotating knob. That’s right! No shift gear lever exists in this cat.

Furthermore, to match the smooth riding wild cat’s aggressive look and power, the XKR has a new active exhaust system, which let’s everyone in your presence know what’s under the hood of this wild cat every time you step on the gas. Yes, this is one kitty that shows out on-demand!

Must Have Goodies:

While our sporty, but elegantly designed XKR was well-equipped, we recommend dropping an extra $5,000 to outfit your wild cat with the perfect running (driving) shoes – 20-inch Kalimnos 5-spoke alloy wheels, which was on the Jag we reviewed. The XKR can also be dressed up with the factory’s 19-inch chrome wheels or 20-inch Nevis-style twin 7-spoke alloy wheels.

What Rocked:

The aggressive, but classy-styled exterior design of the XKR rocked! We also like the new rotary dial shift knob. Furthermore, when the push button engine starter is turned off, the vehicle is automatically placed in parked. And, with the 16-way power driver (and passenger) seat, it was easy to find a comfortable seating position, especially in the buttery soft heated (and ventilated) front seats and steering wheel, which were a welcome addition during Georgia’s brisk mornings and nippy evenings.

We also were in awe of the Jag’s Smartkey Keyless system, which allowed us the ability to lock, unlock and start the vehicle and open the trunk, without ever taking the key fob out of our pocket. Wow! Next the Jag will be opening and closing the doors for us.

And, we can’t forget the one-touch operation to close and drop the top in less than 18 seconds, according to Jaguar. All four windows are also opened and closed with the automatic one-touch, button, too.

What We Disliked:

Too bad we weren’t blessed with better weather the week we reviewed the XKR. Due to Atlanta’s sudden cold snap, we didn’t have an opportunity to cruise around with the top down. Conversely, we were extremely thankful for the heated seats and steering wheel, which kept our hands and bun warm. Yes, this warm weather package definitely came in handy.

Also we were disappointed that a $100,000 automobile didn’t offer a real-time back-up camera. Yet, to Jaguar’s credit, they offered their signature Front and Rear Park Control, with graphic designs and audible alerts, although it’s just not the same as being able to visually see what’s lurking in the rear.

And, while we loved the touch screen which controlled the a/c, heat, audio system, navigational system, the heated and ventilated seats, we would have preferred the temperature control for the seats were located next to the power seat switches, which were located on the doors.

Oh yes, just wondering: When will a hardtop convertible be available? We can imagine how this could enhance the visual exterior effect of this well crafted rolling art on wheels.

Any Juice:

Anytime Jaguar adds the letter R behind the first two letters of the designated alphabets used to name the vehicle, you should know you’re in for a surprise under the hood. While the vehicle speedometer registers 180mph as the top speed, the supercharged XKR is electronically limited to a maximum speed of 155mph, helping to tame the cat. Unfortunately, we didn’t get the satisfaction to personally to push the vehicle to its limit. However, according to Jaguar’s officials, the XKR can accelerate from 0-60mph in 4.6 seconds.

The Verdict:

From the leather and chrome rotating gear selector to the suede cloth sun visors with a (parking) ticket holder to the a suede cloth headliner to the Hood louvers - with embossed SUPERCHARGED lettering to the soft grain leather door trim panels and instrument panel fascia to the touch screen navigational system to the insulated color coordinated convertible top, the British handcrafted automobile leaves no stone unturned, as it relates to details. This is probably why they continue to rank number one in Sales Satisfaction and number two in Customer Satisfaction, according to J. D. Power annual ranking, which monitors the new vehicle sales and service dealership experience.

In addition to the details, opting for the R edition, which offers supercharged performance, this pushes the price slightly over $100,000 this year. The XKR is available as either a coupe or a convertible. While the XKR may be out of most folks lead, this is the perfect dream car to show the word that you have arrived. There is no other brand on the market today, that says class like a Jag.

Now, if you find that the XKR convertible is out of your reach, we hear that Jaguar is making plans to bring a more economical and smaller ragtop to the States in 2012.

Competition: Mercedes’ SL Class (roadster) and BMW’s 6-Series (roadster)

To configure a XKR or another new-vehicle, visit our New-Vehicle Pricing Guide, which is located on the left side of this page.

Tuesday, December 22, 2009

The New Ford: Detroit's Comeback Kid

While Chrysler and GM took bailout money from the federal government to stay afloat, Ford seems to be humming along, becoming the new "Comeback Kid" for the auto industry. (As a side note, GM just made its first loan payment to the government ahead of schedule.) In fact, Ford has plans on outselling Toyota in the U. S. next year, displacing the foreign automaker from the top spot they will garner for 2009.

Here's how they plan on driving to the number one spot.

*The projected resale value of 2010 Ford, Lincoln and Mercury vehicles after 36 months in-service increased by an average of $1,310 per vehicle compared to the 2009 model year – the industry's largest increase among full-line manufacturers.

*The improvement allowed Ford to narrow the residual value gap with leading Asian automakers and maintain its advantage over U.S.-based automakers.

*The 2010 Ford Fusion is expected to bring customers $687 more than the 2010 Toyota Camry after 36 months in service; the residual value of the 2010 Ford Flex commands an $1,800 premium over the Toyota Highlander.

*Improved quality, new features and popular redesigned products are helping to boost Ford's residual values. Ford improved more than any other automaker in ALG's (American Leasing Guide) Perceived Quality Survey released in the fall of 2009.

*Compete Inc., a Massachusetts research firm that studies online car shopping, says Ford has surpassed Toyota in customer consideration for the first time since it began tracking such data in 2002. The compete data show Ford surpassed Toyota in customer consideration in September, October and November.

* According to Automotive News late next year, the next generation of Ford Motor Co.'s Sync infotainment system will let drivers turn their vehicles into Wi-Fi hot spots. GM, Chrysler and VW currently provides this feature in some of their models. In Ford's vehicles, occupants will be able to access the Internet by inserting a mobile broadband modem, also known as an air card, into a USB port in the vehicle. Once connected, they can use their existing service plans -- and their own portable devices, such as laptop computers or smart phones -- to go onto the Internet.

*After underestimating the popularity of the new Taurus, the automaker plans on building a higher mix of upscale packages: SHO and SEL.

Based on the aforementioned information, Ford is definitely on a path to make a statement, taking Toyota down and becoming the "Comeback Kid" for the domestic auto industry.

Sunday, December 20, 2009

2009 Nissan cube: It's Cool to Be Square, Again?



What’s New:

The Nissan cube has been around for over 10 years in Japan. However, because of our fluctuating gas prices, Nissan decided to add this funky looking vehicle to its U. S. line up. This cool looking, cartoon-like box-on-wheels, with its odd shaped side and rear windows, is expected to go head-to-head with Toyota’s Scion xD and Kia’s Soul.

Must Have Goodies:

Like the Scion xD, Nissan is hoping to capture today’s Gen Y population along with other population groups looking to express themselves by having the ability to personalize their vehicle.

This square shaped compact can be outfitted with over 40 different accessories: a shag rug on the center of the instrument panel, a 4-piece illuminated kicker panel, a leather steering wheel with audio-mounted controls, 20-different interior colors, a push button ignition starter, a Bluetooth phone system, a Rockford Fosgate-subwoofer with 6 upgraded speakers, a XM Satellite radio, a rear sonar back-up system, a rear cargo organizer and 16-inch wheels are just a few of the add-ons.

What Rocked:

The cube, unlike most of today’s vehicles, makes great use out of every inch of its compact size. At first glance, the vehicle’s size seems quite deceiving. Yet, upon entering the cabin of the cube, with its low-step in height, one realizes the odd shaped vehicle is quite roomy and capable of carrying five tall adults.

Moreover, from the cube’s optional front door Bungees, which contains colored rubber band straps that slips into cutouts on the door armrests, securing items like maps, photos or the like, to the wave-like circles in the headliner, the spunky four-door fits every quirky personality.

And for a base price of $14,200, the cube’s standard features include a/c, power door locks, power windows, airbags galore, remote keyless entry, ABS, 6 cupholders, reclining rear seats integrated with a rear fold-down center armrest, cargo area hooks, two gigantic sun visors, lots of headroom for tall occupants, a rear window defroster and an AM/FM/CD - 140-watt system, which includes 2 speakers.

Oh, yes, we can’t forget the oversized windows, allowing for enhanced visibility. Moreover, the short wheelbase makes the vehicle easy to maneuver on the road or in crowded parking areas. Surprisingly, the 15-inch standard tires, the independent MacPherson strut front design, with a torsion beam rear axle, with integrated stabilizer bar and tall comfortable seats are great for long distance road trip.

What We Disliked:

While we loved the roomy front seats, it’s too bad, the cube didn’t offer a front seat armrest for the passenger seat just as it does for the driver. Also when the rear safety headrests and seats are in use, it obstructs visibility and limits the cargo space.

Any Juice:

Don’t expect the cube to go as fast as its big brother the Nissan 370Z. However, expect 24 to 28 miles in city driving and 29 to 30 miles on the road, with the peppy 1.8-liter, 4-cylinder engine, which spews out 122 horses. This is the same engine found in the Nissan Versa. Like the Versa, the cube is available either as a manual or automatic transmission.

The Verdict:

For those looking for an expressive, reliable ride, the cube could be the perfect fit for you. Not only can you personalize the vehicle, the cube offers almost everything typically found in most crossovers, minivans, station wagons or SUVs, conversely, in a much smaller, but hipper package. The cube, which starts out the gate at $14,200, barley tops $20,000, when well-equipped.

Competition: Toyota’s Scion xD and Kia's Soul

Thursday, December 17, 2009

Last Month's Hottest Selling Rides: What You Should Expect to Pay

2010 Chevy Equinox
Average Transaction Price: $25,357
Average 60-Month Payment: $500.31*
Base MSRP: $22,440-$29,795**
JeffCars.com's analysis: Since being restyled, this is the first time Chevy's new upscale crossover has made our list. In fact, this was the hottest-selling vehicle in November, displacing the popular Toyota Prius from its throne. Don't expect huge discounts on this vehicle.

2010 Toyota FJ Cruiser:
Average Transaction Price: $31,044
Average 60-Month Payment: $612.51*
Base MSRP: $23,680-$25,270**
JeffCars.com's analysis: Toyota plans on killing off the FJ Cruiser in the near future. You better snap up one now, since they won't be around for long.

2010 Audi Q5
Average Transaction Price: $44,626
Average 60-Month Payment: $880.49*
Base MSRP: $37,350**
JeffCars.com's analysis: The Q5 returns to the list again. It's obvious that most consumers are loading up their Q5 with options, thus, driving up the average transaction price. A hybrid is expected in the near future. If you can find a 2009 Q5, Audi is offering an additional dealer incentive.

2010 Toyota Prius
Average Transaction Price: $26,201
Average 60-Month Payment: $516.96*
Base MSRP: $21,000-$27,670**
JeffCars.com's analysis: The Prius continues to top our list, selling without any incentives. The average transaction price of this hybrid was $26,600 in October. Toyota plans on building a plug-in hybrid in 2011.

2010 Toyota RAV4
Average Transaction Price: $25,009
Average 60-Month Payment: $493.44*
Base MSRP: $21,500-$27,810**
JeffCars.com's analysis: The RAV4 continues to be one of Toyota's most popular crossovers. In October, the average transaction price was $25, 133. This month Toyota is offering low-interest rates and a rebate.

Average Transaction Price is based off what consumers paid in October.

*The 60-month payment is based on the average selling price,using a new-vehicle interest rate provided by Bankrate.com of 6.85%. Last month the 60-month rate was 6.83%. Payments will vary based on interest rates, price, down-payment and the length of the loan.

**MSRP is the price automakers suggest consumers pay, before negotiation occurs. This price doesn't not include options or the destination fee.

To calculate the payment and interest rate for the aforementioned rides, visit the right side of this website. Visit our New-Vehicle Pricing guide to configure a new-vehicle.

Sources: PIN, Bankrate.com and JeffCars.com

Tuesday, December 15, 2009

Five Years Later: The Changing Face of Minority Dealers


African AmericansHispanics


20082003
20082003
Lexus111010%82300%
Hyundai11838%2224-8%
SmartCar**1
100%4
100%
Mercedes Benz84100%82300%
MINI220%330%
BMW9813%47-43%
Ford***117252-54%89112-21%
Toyota1420-30%261573%
Nissan/Infiniti272129%251656%
Audi40100%220%
Acura63100%110%
Porsche31200%41300%
Chrysler4650-8%674937%
Jaguar23-33%5425%
Honda1014-29%161233%
Mitsubishi440%514-64%
Subaru6520%13130%
Kia48-50%1216-25%
Volkswagen56-17%141217%
LandRover110%4333%
General Motors48102-53%98172-43%
Mazda69-33%9813%
Total345531-35%439488-10%







LEGEND:





SmartCar** arrived in 2008.




Ford*** includes Ford, Lincoln, Mercury and Volvo.
















Source:NAMAD





Prepared By:JeffCars.com





In 2003, NAMAD (The National Association of Minority Automobile Dealers) implemented its Fifteen Percent Initiative, when brighter days were ahead for the auto industry. This initiative required that, across the board, manufacturers increase the percentage of majority ownership of new-car dealerships by ethnic minorities from its paltry level of a little less than 5 percent to a minimum of 15 percent, which is a closer representation of the American minority population.

Ironically, five years later, with the fallout of new-vehicle sales and the restructuring of the Detroit-based automakers due to the bankruptcies, the goal of NAMAD is no longer to achieve the Fifteen Percent Initiative. In fact, minorities continue to own approximately 5 percent of all of the new-vehicle dealerships through 2008.

Surprisingly, at the time NAMAD implemented the Fifteen Percent Initiative, African Americans owned 531 new-car dealerships, while Hispanics only owned 488 stores. Conversely, five years later, the table has turned. African Americans and Hispanics have shed 186 and 47 new-car dealerships, respectively over a five-year period. Hispanics are now in the driver's seat, owning more stores than African Americans despite a decline in total dealerships for all groups.

Unfortunately, the numbers are expected to continue in reverse, as a result of the soft economy, causing more stores to close due to lagging car sales and the inability of dealers (and customers) to secure financing. Just wondering: Since its inception in the eighties, African American have always served as chairman of the board of NAMAD. Is the recent shift in numbers the reason the organization will have its first Hispanic chairman in 2010?

And, to get a better understanding of some of the fallout occurring with minority dealers, click here to peruse this story.