Honda Pilot Lease Questions

CarMan@Edmunds

Leto, $500 over invoice is a very good price for these trucks and the lease program that you mentioned is right in line with Honda Finance's base lease program for this model right now. I can't double check the exact payments that you were quoted without knowing these truck's full MSRPs and selling prices, but the negotiable aspects of your deal look good to me.

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CarMan@Edmunds

Congratulations on your new truck, green11. Thanks for taking the time to stop back and let us all know how everything turned out.

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CarMan@Edmunds

Hi chillipepper. The money factor that is being used to negotiate this truck's lease payment looks good, but its selling price is a little on the high side. this is especially true if you are in an area where there is a lot of competition for your business, like Los Angeles. I've seen consumers get an '06 Pilot for as little as $500 over invoice recently. You should stop by the following discussion to see how much other community members have paid for similar vehicles recently: KarenS, "Honda Pilot: Prices Paid & Buying Experience" #, 6 Aug 2002 1:46 pm.

Another aspect of this deal that I don't like is the large capitalized cost reduction you are making. I always advise consumers against making any sort of down payment when leasing. I do so for two main reasons. The first is if your vehicle is totaled in an accident or stolen during your lease, your insurance company pays off the bank that you were leasing it through and your down payment essentially disappears. The second main reason is that down payments on leased vehicles do nothing to reduce their lease-end purchase prices. So your lease-end purchase option price for your Pilot would be exactly the same, regardless of whether you had put $1,800 down, or had made absolutely no down payment at all.

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CarMan@Edmunds

It sure sounds like you got an excellent deal on your new truck, bids101. Congratulations and thanks for taking the time to share the details of your lease with everyone .

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CarMan@Edmunds

Hello indashmp3. It looks to me as though the deal that you were quoted on this Pilot is just under $700 over dealer invoice, which is a pretty good price. I have seen consumers who live in areas where there is a lot of competition comparison shop and get similar trucks for a little less, but not much. Let's calculate some lease payments and see what we come up with. According to my calculations, if you were to lease a 2006 Honda Pilot EX-L with Navigation but without the Entertainment System with an MSRP of $35,795 and a selling price of $32,925 through Honda Finance right now for 36 months with 12,000 miles per year, its zero down, pre-tax monthly payment should be around $385. The payment for an otherwise identical 42 month lease should be around $371.

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CarMan@Edmunds

Thanks for taking the time to stop back and let us all know how everything turned out, oaktons11. I always enjoy seeing that community members who visited the lease discussions got a good deal. Plus, the details of your lease may help someone else who is in the market get an idea of how much they should pay. Enjoy your new truck !

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ck90211

Over the past weekend LA Times had an ad (from Honda of Hollywood, little dingy place better known for selling Honda and BMW motorcycles),

Pilot (05 EX-L with sunroof): $ 0 up front, $289/month for 42 months lease.
Ridgeline (06 RTL, no sunroof): $ 0 up front, $ 269/month for 42 months lease.

With only "1" available at these prices, I thought it was a teaser ad, and called just to see if such cars really exist. I was told the Pilot was sold earlier in the day, but the Ridgeline was still available. So I showed up, drove the Ridgeline (and a Pilot), and almost took the Ridgeline except Mrs. voted (that Pilot got more seats and protected cargo room).

So as we pulled out dealership (without a new Honda), salesman ran out and offered the $ 289 and nothing down deal for '06 Pilot EX-L 2WD. It was a beautiful black Pilot with gray leather interior, and I like the 2006 Pilot standard features better (clear head/corner lights, fog lights, chrome grill insert, XM, FWD, Variable Cylinder Management, etc.). Sure a 4WD fits the SUV image better but I have had an AWD Toyota for the past 12 years and it seldom see dirt/snow (plus I got lousy mileage to show for). Good thing the Toyota is practically bullet proof (it's a Previa, the VW bus of the 21st century, ).

The final numbers were:

$ 289/month + 8.25% tax for 41 months.
Dealer paid the first month + all applicable fees and taxes ($ 586)
because they advertised as "nothing down". So for the next 42 months my
Pilot will cost me: $ 289 x 1.0825 x 41 = $12,830.

Buy out at the end is around $ 18,000.
And the leaseholder is Honda Motor Trust, not some local banks, so I can
return the car at any Honda dealerships.

Just did some quick math, and realized I can finish the lease, and buy the car at the end of 42 months, paying total of $ 30,830, and still come in below what I could have bought the car for (invoice price + interests for 4, 5 years).

Not sure if I got the best deal out there, but I think I came out OK, and completed the process (from shopping, test driving, signing, etc.) in 4 hours. Didn't have to call/visit multiple dealers and get "played" by salesmen/managers. I do hope my numbers are of help to some of you looking at Pilot leases, and hope you get a better deal than I did.

linyguy

Good Deal or not?

2006 EXL AWD w/Leather & NAV with Running Boards and Tow Hitch. $34,000, plus tax.

Lease is 59% Residual. .00115 Money Factor. Nothing down, with taxes and bank fee built in: $474.95

Is this a good price?

MSRP is $35,795. plus options.

I assume the leasing deal they have out thru today is too good to pass up for leasing? Seems like a low rate.

linyguy

Forgot to mention - 36 month lease. Tax rate 8.625%

dealingbob1

Car_man,

Thanks for the heads up on the lease payments, I checked it out, and here is the difference. ( I went with the '06 EX, 36 months, 15k per year, $0 down, tier one credit)

sell price of car $27,963.00 + 595.00 acqustion fee + 19.50 Lien fee = $28,578

I had the residual wrong it is 60% not 62%.

$0 down adds one-tenth to the money factor making it .00115 not .00105

All that said - $319.11 + 13.08 tax = $332.19 per month

Thanks for your assitance. I feel I got a good deal on this Honda lease. The local Honda dealer, couldn't believe I got the sell price I did on the car. it made the payment about $70.00 a month less with this deal.

bigedfrombk

Hi Carman and thank you for responding. Here's some lease figures i received:

msrp: $33,595 selling price:$30,231

residual factor: 59% my tax rate: 8.25%

36mths/ 15k per yr dealer says upfront monies = $1900

monthly payment: $369.00

My concern is I probably will buy car at lease end and feel leasing will cost me less than financing a 2005 pilot EXL at a price of $27,125 over 7 years at a rate of 7.15%.

Carman, I would appreciate it if you can compare the #s' between leasing the 2006 vs financing the 2005 and let me know the best route to take. Input from anyone will be helpful.

fabster32

Hello CARman. Excellent thread, BTW. I would like to know if you can give me a monthly payment range based on the following info:

'06 Pilot EX-L w/ RES
42 months
15,000 miles
$500 down
764 FICO credit score (tier 1, I assume?)
Miami, FL
6.5% taxes (Palm Beach, FL resident)

Thanks!

CarMan@Edmunds

Thanks for taking the time to share the details of your deal with everyone, ck90211. It's always very helpful when community members relate real world examples of how much they have paid to lease a particular vehicle. Enjoy your new truck!

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CarMan@Edmunds

Hi dcjm. It looks to me as though you are being given a $1,795 discount on a truck that has a spread of nearly $3,500 between its full MSRP and dealer invoice price. This looks like an OK deal to me, but if you are in an area where there is a lot of competition for your business I would not be surprised if you were able to beat it. you may want to stop by the following discussion to compare the price that you were quoted to the prices that other community members have paid for similar trucks recently: "Honda Pilot: Prices Paid & Buying Experience".

As far as the lease program that you were quoted goes, the lease money factor that is being used to calculate your truck's monthly payment is right in line with Honda Finance's buy rate money factor for this model, with a waived security deposit. This is a good sign because it means that the dealer that you are working with is being straightforward with you and not trying to make any hidden profit on your deal. This lease program was recently extended through December 5th.

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CarMan@Edmunds

You're very welcome dealingbob1. I am glad that I was able to help you out. It sounds like you got a great deal. Enjoy your new truck .

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kraftj

I'm looking at leasing one of these vehicles, have I missed the low lease rate that expired 10/31. It only appears to be on the LX models now. What kind of money factor and residual should I be able to get using Honda Finance MSRP I am told is $33,595. Thanks Jeff

CarMan@Edmunds

You're welcome, bigedfrombk. The payment that you were quoted to lease this truck looks about right. You are absolutely right that leasing this truck and purchasing it at lease-end would cost you less than financing it for a whopping 7 years at 7.15%. Leasing your truck and buying it would even be less expensive than financing it for a reasonable term and rate, say at 6% for 5 years. However, this assumes that you pay cash for your truck at the end of your lease. If you have to finance your Pilot's lease-end purchase price instead of paying for it in full, this cost has to be taken into account.

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CarMan@Edmunds

I'm glad that you enjoy this discussion so much, fabster32. You never mentioned the selling price or MSRP of the truck that you are interested in leasing. These are important numbers for you as a consumer to know for two reasons. First, the selling prices of leased vehicles can be negotiated, just as if you were paying cash for them. Without knowing this truck's selling price in relation to its MSRP you don't know how much of a discount you are getting on it. The second reason is that one needs the selling price and MSRP, including the destination charge, of a vehicle to calculate its lease payment. I would be more than happy to work up a sample lease payment on the Pilot that you are interested in for you if you let me know what these numbers are.

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CarMan@Edmunds

Don't worry, Jeff. Honda is still providing lease support on both the 2006 Pilot LX and EX. Its special money factor for the LX model is slightly lower though. If you were to lease a 2006 Honda Pilot EX-L 4WD without the navigation or entertainment systems through Honda Finance right now for 36 months with 15,000 miles per year, its buy rate lease money factor and residual value should be .00105 and 57%, respectively.

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tgallup

Hello everyone. What a geat board--it has helped me a lot! Here is a lease offer I received for a 06 Pilot EX-L 2WD in San Diego County:

Lease Term: 42 months
Mileage Allowance: 15,000 miles
MSRP: $32,395
Dealers Price: $29,900 (includes destination charge and dealer installed options-mudflaps)
Acquisition Fee: $595
Money Factor: .00115
Residual 51% ($16,521.45)
Zero Money Down (only first months payment and license, doc and tire fees)

I wanted to get everyone's feedback:

1. Is this a good price?

2. I've seen higher residual values on this board. Is this residual value in line with what others are paying?

Thanks!

kraftj

Thanks Car_man, does the low money factor and the 57% residual apply to the EX-L with RES or Nav if I go this way. Also what are the legitimate charges to the dealership. I know they face a $550 destination charge, but what doc fees does Honda exactually charge the dealership on the lease.

easymoney

Hello Car_man, I was surfing the net looking for info on a Honda Pilot that I was looking for and I came across this web site. I can't believe that with all of the visits that I have made to the Edmunds web site that I never ventured over here. Anyhow, this is great consumer information. My question that I was hoping that you could help me with is regarding an '06 EX and EX-L 2WD Pilot. Since I believe these values changed 11-01-05, could you tell me what the new current 42 month residual value and money factor would be for these two vehicles? I know that this is also the wrong thread, but in addition to leasing a Pilot, I am also planning on a 42 month lease for an '06 Accord LX-SE sedan. Could you tell me the residual value and money factor is for this vehicle as well? I would really appreciate whatever help you can provide.

ts2

Just picked up a 2006 EX AWD for $305.98 (+ tax = $329.85) per month w/$330 down (first payment) 42 month lease.
Amount due at signing was $1172.77 - dealer paid 842.77 and I paid $330. The Gross Cap cost was $28995 and the residual is $18434.55.
How does this sound?

fordloser

ts2

Where did you make this deal? I am looking in Massachusetts.

ts2

Superstition Springs Honda in Gilbert/Mesa Arizona. The deal took 2 hours. Smoothest transaction I've ever made on a car. I rarely buy new, usually 1 or 2 year old cars. This lease deal sounded too good to be true. I drive ~ 9 K miles per year so it just made sense. I thought I would post just to make sure I didn't overlook anything. When I add up my payment and what it's worth at the end, it still seems like a good deal. Good luck.
By the way, it had tinted windows, paint treatment, mud gaurds, and a security system.

rugby_s2k

I really have learned alot from all the historical posts.

I'm trying to determine money factor and residual for the following terms;
42 / 36 @ 12k
42 / 36 @ 15k

I found a lot of 15k rate in earlier posts but was unable to come up with clear 12k rates

Thanks in advance.

Michael

oldjoe

Eastern Iowa media offers 2006 Pilot 2WD w A/T for $2,900 down and $239 a month. Residuals (resale value) must be very, very high.

likeness

Is this a good deal? I have 2nd tier credit, which is Preferred but not the super preferred.

2006 Honda Pilot EXL

Selling Price $30,541.00
Money Factor 0.00186
Residual $17,328.55
Term 42
Monthly Pay $432.94
Downpayment $432.94
Yearly Mileage 12,000

I am in Dallas, TX

hooops

Car_Man, Can you please provide the mf and resid and info on any incentives (i.e., lease cash) for the following:

2006 EX-L Pilot - 15k miles / yr
- for 36 months
- for 24 months

2005 EX-L Pilot - 15k miles /yr
- for 36 months
- for 24 months

Thank you

sinitsin

Hi all,
I'm about to get a Pilot and I'd like to check if current lease offer from Honda is good?
2006 Pilot EX 2-WD Special Featured Lease.
$289 per month for 42 months.
$1,500 total due at signing.
Actual net capitalized cost $27,054.
Total monthly payments $12,138.
Option to purchase at lease end $16,853.
20 cents per mile over 12,000 miles per year.

tgallup

Likeness,

I just leased a 06 Honda EX-L but the selling price in San Diego was $29,600 (excluding acquisition fee), so you should be able to negotiate another $1000 off the price at least (there are only 5 dealerships in the county, so there isnt a lot of competition).

Take care,

Tom

jbraman

33,700 MSRP
30,780 Negotiated Price
42 mos lease
12K/ yr mile
Residual value 18,813
Monthly Payment $356 not incl Sales Tax

No security payment or ANY fees except 1st month advance and $1.25 "initial Title fee" (we are Honda Finance "Loyalty Program" waives $2K Security, just turned in a 2001 Acura MDX).

Honda dealer is only one, in Fort Wayne; however e-mailed for quotes in Indianapolis and Ohio.

I 'm satisfied that it was a good deal.

jeffb

sadie5

I was just wondering what everyone thinks of the current Honda lease specials? $1500 due at signing, $279/mo for LX 4wd, or $289/mo for EX?

We are considering going for the EX - but I am really hesitant to put that much down.

meuseman

I had been looking at the LX special. I actually thought is was a pretty good deal. The only "cap cost reduction" is $316 or something like that. Even if you weren't putting money down towards the cap cost, it would still require 595 acq fee, 300 sec deposit and 279 (plus tax) first month payment. That comes to close to 1200 as it is. So to secure the deal for an extra $300 down, not a big deal. However, you can probably negotiate a better cap cost and keep the same lease terms which would lead to a lower lease payment.

fordloser

Car-man

This is the deal being offered to me for a 2006 Pilot EX with RES. Please let me know what you think.

MSRP 35195

DEAL SUMMARY

Cap Cost $32,088.00

Acquisition Fee $595.00

Plates $84.50

Doc Fee $229

Gross Cap Cost $32,996.50

Total Cash $1500.00

Amt Applied upfront $(448.50)

Cap Cost Reduction $1,051.49

FINANCE SUMMARY

Rate .00166

Term 42 Months

Net Cap Cost $31,945.01

Adjusted Residual $19,709.20

Total Depreciation $12,235.81

INITIAL PAYMENT

Advance Payment $395.93

Cap Cost Reduction $1,051.49

Cap Cost Red Tax $52.57

Total Initial Payment $1499.99

PAYMENT

Monthly Depreciation $291.33

Monthly Lease Charge $85.75

Base Payment $377.08

Sales Tax $18.85

Total Payment $395.93

Total of Payments $16,629.06

Total Taxes $844.27

Due on Delivery $1,500.00

I am in Mass., where we have a 5% sales tax.

Thanks

luckyone

Two questions

Does anyone know the current Money Factor for a 36 month 12k Honda Pilot EXL I had a dealer quote me .00176 yesterday but that seems high compared to what I have read on this forum. But there has not been recent posts and I know those rate changes every 15 days, so what is the best rate right now?

Second: does anyone have any opinion over an EXL 2WD with NAV vs a EXL 4WD without NAV I don't go offroad at all but the 4wd drive would be nice but then again so would the Nav. I don't want to spend enough to get both though

kissy1058

HI CAR MAN,
This whole leasing thing is really new to me. After reading edmunds leasing guide I know a little more. I just called a dealer in Northern NJ for a 2006 Pilot 2wd EX MSRP$30,095 He"ll sell me it for $26,900 Is that good
When do I tell him that I want to lease it? when i go up there or do I call him back and tell him ? My Credit score is 756 . I dont want to put any money down. Lease 36 months . How should my numbers work out for the best deal ?

I would really appreciate your help

rmishka

Hi Kissy1058,
what dealer in North NJ? I'm also looking for one.
Thanx.

jhwnyc

I am being quoted a monthly lease price of $399 at a New York Honda Dealership for a Pilot EXL with DVD Rear Entertainment System, leather pkg. It's for a 36 month lease with only $467.50 down (1st month and fees) and taxes rolled into the lease. I am a novice and feel confused by all the terms, but I need to make a good deal as I am a single mother with no $$$ to waste. I will give it back at the end of the lease without question and really only care that my monthly payments are as low as possible. Can someone help to advise me? I need to lease the car this week and I am under pressure. Thanks!!!!

luckyone

I live in Illinois where you have to pay tax on the whole negotiated price of the vehicle when you lease as opposed to tax on just the monthly payment e.g. the depreciation amount. I didn't realize this until I went into the showroom. Furthermore if I buy the car at the end of the lease I have to pay tax again on the whole residual amount. This seems crazy, is this correct? I believe them as I doubt they would lie to me about a tax issue. I negotiated a great buy price of $29,700 on a pilot 4wd EXL with a MSRP of $33,595. My question is about Smart buy. He started to tell me about using the Smart buy option instead. I didn't get the numbers as I ran out of time and had to leave but he explained it to me as they use a similar residual amount and that becomes a balloon payment at the end of 36 months similar to the residual. They use a slightly higher money factor of .00185 as opposed to .00115 for the lease but there is no $595 lease acquisition fee with the smart buy so I consider that a wash. It seems like the payment is going to be similar. All the benefits of leasing, e.g. lower initial payments, walking away from the car at the end if I wish, plus all the benefits of buying e.g getting out easier in the middle of the term, only paying tax once if I buy. It doesn't seem to make sense to lease in Illinois if you have to pay tax on the whole vehicle and again later on the residual. Does anyone have experience with smart buy that they can share. What are any downsides of doing this?

Thanks for any help you can provide, this forum rocks!!!

Troy

kyfdx

As crazy as it seems, you are correct about Illinois tax laws.. If I lived in Illinois, I doubt that I would lease any car...

If your plan is to eventually own this car, then the balloon note program may be beneficial.. However, if you are going to treat it as a lease, and turn the car in.. you will still pay tax on the entire purchase price, but will be out an extra $35/mo. because of the less favorable money factor (using the MFs you provided).

regards,
kyfdx
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trishe

HI CAR MAN:

Thanks in advance for any help you can provide. Do you think this is a good deal? I need to make this deal happen this Saturday.

2006 Honda Pilot 2WD EXL W/NAVIGATION

Selling Price: $30,667.00
Residual: $16,951.55
Term: 42 months
Monthly Pay: $385.20 sales tax included
Downpayment: $1,500.00
Yearly Mileage: 15,000

Thanks again for any assistance you can provide.

Trishe

kissy1058

Hi rmishka,

The dealer was in edison and e-Mailed me the price quote, but when I got there, supposedly that car was sold . I think it was bull. They just wanted me to go there to push me into a more expensive pilot. Plus they wanted over $300.00 for doc charges. Thats totally ridiculous. So I left.
Sorry from Kissy1058

huskr

So the $399 is not including tax? If not what is New York tax? Also is it a 2 or 4WD? What are the fees that they are including in your first month payment and is that including a security deposit?

CarMan@Edmunds

No problem, kraftj. The residual value for a 2006 Pilot EX-L 4WD with the entertainment system would be the same, but the residual value for one equipped with navigation would ne 2% lower. As far as the fees that you will have to pay go, at lease signing Honda Finance will charge you a security deposit equivalent to your truck's payment rounded up to the nearest $25 increment and its lease acquisition fee of $595. The destination charge is technically part of your truck's price and should be included in its MSRP and capitalized cost when calculating your lease payment. Any doc fee that is charged is completely between you and the dealer. Dealers aren't required to charge any sort of doc fee and many dealers charge exorbitant ones in order to add additional hidden profit to deals.

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CarMan@Edmunds

Welcome easymoney. I'm glad that you enjoy this discussion so much. According to the latest information that I have seen, if you were to lease a 2006 Honda Pilot EX 2WD through Honda Finance right now for 42 months with 15,000 miles per year, its buy rate lease money factor and residual value should be .00048 and 54%, respectively. The numbers for an otherwise identical lease of a 2006 Pilot EX-L 2WD should be .00048 and 51%. The numbers for an otherwise identical lease of a 2006 Honda Accord LX-SE Sedan should be .00184 and 53%.

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trishe

HI CAR MAN:

Thanks in advance for any help you can provide. Do you think this is a good deal? I delayed purchasing as my salesman was unavailable.

2006 Honda Pilot 2WD EXL W/NAVIGATION

Selling Price: $30,667.00
Residual: $16,951.55
Term: 42 months
Monthly Pay: $385.20 sales tax included
Downpayment: $1,500.00
Yearly Mileage: 15,000

Thanks again for any assistance you can provide.

Trishe

CarMan@Edmunds

Hi Michael. Since you have already found the information for 15,000 miles per year leases in earlier posts, I won't repeat it. All you have to do to change between a 15,000 miles per year lease with Honda Finance and a 12,000 miles per year lease is add 2% to the vehicle's residual values.

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CarMan@Edmunds

Hi likeness. It's difficult for me to give you my opinion on this deal without knowing this truck's full MSRP. this number will enable me to see how much of a discount you are being given on it and to estimate what your lease payment should be using Honda Finance's actual lease program. Let me know and I will let you know what I think.

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CarMan@Edmunds

Hey hooops. Here's the information that you are looking for. If you were to lease a 2006 Honda Pilot EX-L 4WD without the navigation or entertainment systems through Honda Finance right now for 36 months with 15,000 miles per year, its buy rate lease money factor and residual value should be .00090 and 57%, respectively assuming that you qualify for its top credit tier and pay a security deposit. The numbers for an otherwise identical 24 month lease should be .00090 and 64%, respectively.

Honda is no longer providing lease support on the 2005 Pilot. It replaced the '05 model's special lease program with $1,500 dealer cash. If you decide to lease an '05 make sure to take this incentive into account during your negotiations. If you were to lease a 2005 Honda Pilot EX-L 4WD through Honda Finance right now for 36 months with 15,000 miles per year, its buy rate lease money factor and residual value should be .00265 and 53%. The numbers for an otherwise identical 24 month lease should be .00380 and 60%.

Car_man
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