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Toyota Sienna Lease Questions
CarMan@Edmunds
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in Toyota
Hi everyone. Please use the following discussion to post any questions that you have about leasing a Toyota Sienna. Thanks.
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29225.00 + Accessories (package 6) and Spoiler and auto mirror for 5925
Total MSRP 35715
Residual Value after 36 month lease is $18493
Anybody please help me. What kind of payment should this be?
Confused
I leased a base XLE, where the cost was about $26k, and my lease with NY taxes came to about $359. I leased it through Fitzmall.com in Maryland. It was worth it for me to go the distance, because they sold me the van at a better price than anyone locally, and the waived every fee, including the $1050 acquisition fee that anyone else in NY would have to pay. That adds about $30 a month to your lease.
I used the toytota website to calculate my lease, and it was very close to what I ended up paying at Fitzmall. My local dealers were trying to tell me there was no way I could get a lease for what I got, and that Toyota's own numbers weren't accurate. That may be partially true, but they should be close.
Also, don't forget your residual makes a difference, so negotiating the price of a van is just as important when leasing as it is when buying. The residual is the value of the van at the end of the lease. So in 3 years, what will this van be worth? The more it is worth, the better for you, because with a lease, you are paying on the poriton that depreciates. So if your $30k Sienna is worth $18,000 at the end of the lease, you are paying the $12k worth of "use" or depreciation. Divde the $12k by 36 monthly payments = $333 plus the interest, fees, and taxes.
Now, if you are going to lease a 2005 model, a word of caution. They have already depreciated more, because the 2006 models are right around the corner. So now this $30k van will have a lower residual, say it is now worth $15k at the end of 36 months. So divide the remaining $15k by 36 payments, and now the payment climbs to $416 plus interest, fees, etc. BUT, if you wait and get a 2006 model, that $30k van may have a higher residual, say $20k, so divide the $10k in depreciation by 36 months = $277. A lot better, but these numbers are just to give you an idea, the residual matters, and it changes every month. If you call at the end of this month, a dealer will give you one price, and the next month you will get a different price, usually higher, but not always.
Earlier in the model year, the residual will be higher, but as the year winds down, the residual will often rise. Exceptions to this are slow moving product, where promotions are shown, but Toyota doesn't have to do this very often.
Also, with a lease, I wouldn't put any money down. That is the whole purpose in leasing. If you do put money down, and the van is ruined in an accident or stolen, you will usually be out that money.
If you can afford the higher payments, traditional financing is almost always a better way to buy a car than leasing. At the time, I needed lower payments, but in the future I will always try and buy, not lease. My second car, whenever I can replace it, I will purchase and not lease. RIght now I paid off my second car, and it's nice not having 2 car payments. The bigger down payment I can muster, the less the future payments will be. Not always possible, but just thought you should know.
Play around with the Toyotafinancial.com and see what you come up with. Don't forget to add taxes. If you lease, the taxes are based on the payments, let's say $300, X 8% (or whatever your tax rate is) = $24 making your payment $324.
Hope this helps. And with the residual thing, you mention the residual you were quoted was $18,493, which seems low on a $35k van. I got that same residual, and my van was $26,xxx. But that was back in May. My advice, wait til the 2006 models are out to lease. I had a good experience with the Fitzmall people. You can go through their interenet staff (it is a traditional dealership too) and they will give you a quote over email about the van you want. I was the first customer in NY to lease a van from them in Maryland. It took a couple of days to figure out, but in the end, it worked in my favor a lot. Good Luck!
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Can you please give me the MF and residual for a Sienna XLE and a XLE Limited, 15K miles per year? I am in So. Cal. if that makes a difference.
Thanks!
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Do you happen to know what are the MF and residual for 2006 XLE LTD FWD in NY area? Can I get a lease for let's say 5k miles a year? ( I drive no more then 3k in the city) Or the lowest is just 12K miles? If yes, how it affects residual?
Thank you for your time.
Julia
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The lease money factor that you were quoted is pretty close to Toyota Financial Services' current buy rate money factor for this van, .00091. Given the reasonable selling price and the use of the correct money factor, I'd say that this is a pretty good deal for this model right now, though the lease payment is still fairly high.
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Can you help me get the base money factor and residual % for the 2006 Sienna LE 8passanger w/ Package #2 for 12k/yr 36month. I am in S. California
I think that toyota is currently running a promotion on this van but i cannot get much detail from their site. your help is much appreciated, thank you.
12k/Year
48 month term
$0 Down / $0 Out of Pocket
Thanks in advance
Can you tell me if you think this lease makes sense? The purchase price for the vehicle would be 28,653. We are trading in a 2000 Subaru Outback for $7500. However, we have chosen to roll the $1700 we still owe on the Subaru into the lease. For 36 mos and 12k the monthly payment is $229.
Thanks!
I'm looking for help with a 15,000/yr 36 month lease on a 2006 Sienna LE 8 passenger with Option pkg #3. Purchase price $24,000 MSRP $27,800. Assuming no down money.
Thanks in advance.
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Could you give me an idea of payments for this vehicle on a 36 month, 36K mile lease, please? MSRP is $30988, and was given price at invoice of $27868 plus $750 rebate in Colorado.
Thanks
Can you tell me if you think this lease makes sense? The purchase price for the vehicle would be 28,653. We are trading in a 2000 Subaru Outback for $7500. However, we have chosen to roll the $1700 we still owe on the Subaru into the lease. For 36 mos and 12k the monthly payment is $229.
Thanks!
Tnautel, the reason your lease payment is so low, even though you are rolling the $1700 negative equity into the lease, is that you are also putting $7500 down (your Subaru trade-in).
I don't think you are clearly stating the current case with your Subaru. Let me try to interpret.
You can't possibly be saying you owe $9200 but are only getting $7500 for your trade, so you have $1700 in negative equity. Your payment would not be $229/month if that were the case.
I am not sure, but it sounds like you are getting $7500 for the car, but you still owe $1700. As I see it, you are on the plus side with a net down payment of $7500 - $1700 = $5800. That really isn't negative equity, unless I am misunderstanding what you are saying.
Since you sound new to leasing, I would strongly caution you against putting this money down on the new van. It is very unwise to put any money down on a lease. If the van were to be totaled or stolen in the next couple of months to a year for any reason, you will never see that money again. It will all go towards the depreciation of the van. You should instead get gap insurance, which would pay for this "gap" between what you have paid and what you would owe at that point. Remember, cars depreciate a lot in the beginning. Putting the money down yourself would be, in essence, like self-insuring the gap.
Another reason this is unwise is that the money you put down is taxed. Also, when you put money down, you are basically lowering your monthly payments. If all you see in this deal is a low monthly payment, you should think again. The $5800 you are putting down is basically lowering your monthly payment by about $161/month ($5800/36 months = $161).
If you instead asked the dealer for a check of your positive equity, you would get the $5800 to do with as you please, and your monthly payment would go up to about $390/month. You could just put the $5800 in the bank and use some of it every month to make your higher payment. Hopefully you would be earning interest off of the money, making the money work for you instead of the dealer or the government or anybody else that is in on this deal when you put $5800 down on a lease.
Girosc, the lease factor is just lease speak for the interest rate. It is also called the money factor. To convert to an interest rate, multiply the lease factor by 24. For example, if the lease factor is 0.0020, multiply by 24 and get 0.048. Then convert this decimal to a percentage, or 4.8%.
The residual is how much the vehicle should be worth at the end of the lease. This is important because you are paying for the depreciation of the vehicle during the lease. If the car's MSRP is $30,000 and the residual is $18,000, you are paying for the difference, or the depreciation, which is $12,000.
As you can see, it now becomes very important to negotiate the price of the vehicle, often called the cap cost. If the MSRP is $30,000, but you negotiate to buy the car for $28,000, you pay less in depreciation costs. The residual does not change, as it is set by the finace company. It is non-negotiable. In this example, you would only pay $10,000 in depreciation.
I suggest you do a lot more homework on leases before you get into one. There are several tutorials and articles about leasing, including great explanations for all of the terms involved with leasing, available here at Edmunds.com.
Good Luck!
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Could you tell me what the residuals and MFs are for an XLE FWD 7 passenger on both 36 and 39 month, 12K miles leases?
Thanks
can you tell me the residual and MF for a
Sienna LE 7 AWD, 36 months anf 15K miles,
in New York?
Thanks.
Here is what I have...
2006 xle pkg6 with mats sale 30299.00 lease 36mo/15k yr for 413/mo.
is this good...do i buy now or see if a 39mo lease with/without better rates is offered in April? scared to wait and scared to miss out if I buy now!!
please help.
THANKS!
Generally speaking, when you break a lease, you must pay for the remaining months left. However, maybe you meant Toyota was paying those remaining payments??
If 369 is the price per mo. without factoring in your Highlander, I'd say that is not a good deal you have been given. Just my opinion.
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What lease plan is the Southeast region having exactly? Each dealer here in NC seems to vary...
Lease now or wait for April? I was hoping Toyota may try to give good deals to compete with Odyssey ranking #1.
Could you look over my calculations and tell me if I'm correct? I don't know what the mf and residual is for Florida but I'm going to assume .00145 and 61% for 36 months with 12,000 miles per year. I'm looking at a 2006 Sienna LE 7 w/ LE Package #5. MSRP is $30,703 (includes $650 destination charge).
$30,053 * .61 = $18,332 (Residual Value)
The selling price is $27,562 (Cap Cost)
(27,562 - 18,332) / 36 = $256.39 (Depreciation Fee)
(27,562 + 18,332) * .00145 = $66.55 (Finance Fee)
256.39 + 66.55 = $322.94 (Lease payment before taxes)
Does this lease make sense?
2006 LE 8 seater - BZ package
$2000 Down (1st mth included) + Tax + DMV
then 250 for 35 mths
Reddy
My current lease on a 2004 Sienna is up May 28. I would like to lease a 2006 Sienna (beginning in early June). for 36 months, 15,000 miles a year, zero down, Sienna LE 7 seater, with pkg #1. I live on Long Island, in New York (Nassau County or eastern Suffolk County are fine). Does Toyota have any deals? Can you suggest a best leasing price? I assume monthly payments are based on gross capitalized cost, residual value, depreciation, and rent charge. Also, I think the dealer will want to buy back the car, saving me the disposition fee on the current leased model.
First of all, is the price a good price? Second, if we lease, are they suppose to use the cash price of 31,798 or the financing price of 32,798 to calculate the monthly? We've never leased before, but hate having to sell a car, never seem to get what they're suppose to be worth and hate dealing with it. Currently have a 2000 Volvo S70.
We Live in PA, but the Sieena model and color we want is available in Delaware. So now we have that to consider, as well. Don't know how tax situation is different in regard to bringing into PA from DE, and what the differences are in regards to leasing in DE vs. buying in Del for a PA resident.
Any advice you could share would be greatly appreciated. We could purchase if it was a much, much better way to go, but considering what we got for the last two Volvos that we sold, which were both in great shape with low miles, tan leather, white, sunroof, just doesn't seem worth putting a big chunk of cash down when it seems you just barely get it back in the end... Please let us know how the numbers look to you, and which way seems to be the best way to pursue things.
THANKS FOR SHARING YOUR EXPERTISE!!!!
Regarding your lease offer, the dealer uses both MSRP and the "cash price" to calculate the monthly payment.
Suppose you were to put enough money down to cover any fees associated with the lease (security deposit, document fees, etc.):
For example, I'll use a residual value of 52% and money factor of .0018 (both of these figures are negotiable, BTW).
MSRP: $36440
Capitalized Cost ("cash price"): $30883
Residual: $36440 x .52 = $18948
Rent (i.e. how much the car depreciated): $30883 - $18948 = $11935
Monthly Rent: $11935 / 36 = $331.52
Interest: ($30883 + $18948) / .0018 = $89.70
Monthly payment before tax: $331.52 + $89.70 = $421.21
Sales Tax (7% for example): $421.21 x .07 = $29.48
Total payment: $421.21 + $29.48 = $450.69
I'd say your current offer isn't so great. Use the cash price above and plug in the dealer's money factor and residual % to figure how what your payment should be.