Lease Questions - Ask Here

CarMan@Edmunds

I see, deeb, you combined the Toyota Camry and the Honda Civic into one mega-car . Let's take a look at these two cars' lease programs. If you were to lease a 2005 Toyota Camry through Toyota Financial Services in most of the country right now (not its Southeast or Gulf States regions) for 3 years with 12,000 miles per, its base lease money factor and residual value should be .00070 and 54%, respectively.

In order for me to give you an idea of what the Honda Civic's current lease program is like, I need you to tell me exactly what model you want, i.e. a 2005 Civic LX Sedan, Civic EX Coupe, etc...

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CarMan@Edmunds

You're welcome, maryv, and thank you for the compliment.

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CarMan@Edmunds

Greetings Gerry. If you were to lease a 2005 BMW X5 4.4i through BMW Financial Services right now for 3 years with 12,000 miles per, its base lease money factor and residual value should be .00125 and 60%, respectively.

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CarMan@Edmunds

You're very welcome, sjeed.

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CarMan@Edmunds

Two new cars, huh, sjeed. Sounds like fun to me.

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CarMan@Edmunds

Hey shayna. Let's take a look at the current lease programs for the trucks that you are interested in. If you were to lease a 2005 Acura MDX touring with entertainment through American Honda Finance Corp. right now for 36 months with 12,000 miles per year, its base lease money factor and residual value should be .00196 and 60%, respectively. I have not seen a 10,000 miles per year option for this model.

If you were to lease a 2005 Volvo XC90 2.5T AWD through Volvo Finance this month for 36 months with 12,000 miles per year, its base lease money factor and residual value should be .00182 and 60%, respectively. The money factor would be the same for an otherwise identical lease with only 10,000 miles per year, but the residual value would be 61%.

Acura is not providing any sort of cash incentives on the MDX. While certain XC90 models have dealer cash available on them, this cash is not compatible with its special lease program. The only cash incentives that can be used on Volvo Finance leases of this model are Volvo's owner loyalty cash and a special lease cash incentive for New York residents.

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CarMan@Edmunds

Hello rp0913. When leasing, it is always important to remember that the selling prices of leased vehicles are negotiable. The truck that you described in your post is being sold at full MSRP minus the available cash incentives. You may want to stop by the following discussion to get an idea of how much money you should pay for this truck right now: "Jeep Cherokee (All): Prices Paid & Buying Experience". Once you have a good idea of what sort of selling price to expect, stop back in this discussion and tell me how long you want to lease it for. I will be more than happy to calculate a sample lease payment on it for you.

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CarMan@Edmunds

No problem, lycanthris.

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CarMan@Edmunds

Here is the information that you are looking for, wesam. If you were to lease a 2005 Infiniti G35 Coupe through Infiniti Financial Services right now for 36 months with 15,000 miles per year, its base lease money factor and residual value should be .00215 and 60%, respectively. The numbers for an otherwise identical 39 month lease of this car should be .00215 and 59%. At lease signing, you will have to pay this car's first month's payment, a security deposit equivalent to that payment rounded up to the nearest $25 or $50 increment, and IFS' acquisition fee of $550.

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CarMan@Edmunds

Hi carnaught. A two year lease with a total cost of $22,700 comes out to almost $950 per month. That is a lot of money to spend for an Infiniti M35. A typical two year, 12,000 miles per, lease of this car should have a zero down, pre-tax monthly payment of around $679 per month. As you can see the lease that you were presented with is a pretty bad deal, especially if this is a one-pay lease where most banks provide a reduction in vehicles' lease money factors. Faced with the choice between the lease that you mentioned and paying cash, I definitely would pay cash. It would be a closer call for a more reasonable lease.

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CarMan@Edmunds

Hey gperr. Here is the info that you're looking for. If you were to lease a 2005 Infiniti G35x through Infiniti Financial Services this month for 36 months with 12,000 miles per year, its base lease money factor and residual value should be .00172 and 59%. the numbers for an otherwise identical 39 month lease of this car should be .00172 and 58%. Whether or not this car is equipped with navigation has no impact upon its lease program. The only other offer that is available on this car right now is 1.9% financing for up to 3 years and 2.9% for 4 to 5 years. In most states, IFS' lease acquisition fee is currently $550.

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jimbojones

I was hoping to get some insight on a sign-and-drive lease payment for 2005 Altima 3.5 SL (automatic transm.) with Sirius satellite option. Looks like internet sales prices are about $2600 less than MSRP. I would trade in a 01 Mazda 626 with 58k on it and I would be about $1300 under water on that one. Thanks.

deeb

Thanks Car_man. Yes, one strange mega car!
I guess I would be interested in the Civic LX 4 door sedan with front side airbags. (again this is for the Albany, New York area).

I wonder if you could also give me the money factor and residual for a 2005 Altima 2.5 S 4 door sedan.

Thanks (and sorry to be a bother).

ktkat

Hi, Carman -
My Infiniti dealer quoted a $752.06/mo lease payment for a 2006 Infiniti M35X based on the following:
sale price $46,120
money factor .00224
36 mo. lease
15,000 miles/yr
8% sales tax
61% residual ($27,672)
$1000 down
$100 document fee
$80 license/title fee
$610 destination fee
I thought I read in this forum that the money factor for Infiniti was .00173 for March, so I thought that the money factor he quoted was high and would be negotiable. However, the dealer said that the money factor was non-negotiable b/c it was provided by Infiniti Financial Services. Can you advise whether the money factor is truly negotiable and whether this is a good deal.
Thanks.

mikey5

Hello I recently leased an Infinity G35 Coupe, and I would like to know if I got a good deal on my plan. Thank you
State: MO
MSRP: 35000
Invoice: 32000
Payment: 492/month
Plan: 42 months / 15000 miles per year

shayna

Thanks CarMan. Can you tell me more about the New York lease cash incentive. Also, until when are those current lease programs you mentioned in effect.

arnoldm

hey car man...the full msrp including destination chg is 37125...selling price is 31350...so appreciate your help with the leasing process....arnoldm

skinnydog

Car_man, I'm looking for the residual value and money factor on a new A4 2.0T AWD manual, the TSX non-navigation manual and the volvo S40T AWD manual.

Also if you know of any incentives that can be applied to any of the above leases.

Thanks.

John Schulte

tsb

Hi. I'm looking for the residual and money factor for the 4Runner model listed in the post title (36 months, 15K/year). I am located in New Jersey. Thanks in advance

skinnydog

Car_man, I will need about 13,500 miles/mo. so I am interested in both 12K and 15K residuals. Also, I am looking for 36 months leases. I assume that the 39 months residuals are generally 1% lower than 36 month residuals.

thanks again,
John Schulte

CarMan@Edmunds

You're welcome, dvlsrthand. I'm glad to hear that you enjoy this discussion so much. Enjoy your new truck.

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CarMan@Edmunds

Hello oaktons11. It is definitely possible to lease a base 2005 Honda Pilot EX-L for 3 years with 12,000 miles per for less than $400 per month before tax. For more information on exactly how much you should pay to purchase this truck, you should stop by the "Honda Pilot: Prices Paid & Buying Experience" discussion that appears in the Prices Paid Forum. Once you have an idea of how much you should pay for it, let me know and I would be more than happy to work up a sample lease payment on the exact truck that you want for you.

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CarMan@Edmunds

No problem, Skimo. I'm glad that I was able to help you out. Since you live in Texas, I am not surprised that the dealer that you spoke with suggested that you use BMW Financial Services' Owner's Choice program instead of its lease program to get your new car. The Owner's Choice program is what is known in the industry as a balloon note. Balloon notes are very similar to leases in that they provide consumers with low monthly payments and an option to purchase their vehicles at the end of a specific period of time for a specific price. The main difference between balloon notes and leases is that with leases, banks' names are on vehicles' titles, while with balloon noted yours is. The way Texas charges tax on leased vehicles, I believe it is actually cheaper to go with a balloon note than a lease. I normally do not follow manufacturers' balloon note programs closely, but I recently saw BMW's March program and can tell you that its Owner's Choice rate on the 2005 325i is 6.25%, on the 325Ci is 3.5%, on the 330i is 6.25%, and on the 330Ci is 3.5%. The dealer cash that is available on the 325i and 330i is compatible with these rates.

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CarMan@Edmunds

You're welcome, paulsfca. Make sure to let us know how things turn out.

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CarMan@Edmunds

You're welcome, Cosmos2. Just because you have finished shopping for your new car doesn't mean that you have to be a stranger. Drop in from time to time to check things out. The methods for calculating sales tax on leased vehicles vary from state to state. If you came up with a final after-tax payment of around $1,022 for this car after calculating sales tax on it the way your state does then this deal look right to me.

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CarMan@Edmunds

Hey coffee_fan. Here is the information that you are looking for. If you were to lease a 2005 Saab 9-5 Linear Wagon through Saab Financial Services Corp. right now for 3 years with 12,000 miles per, its base lease money factor and residual value should be .00076 and 48%, respectively. When negotiating your lease on this wagon, keep in mind that Saab is providing $3,000 lease cash on it.

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CarMan@Edmunds

You're welcome, pk303. I am glad that you enjoy this discussion so much.

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CarMan@Edmunds

Hi jenhayride. Saturn has a very attractive lease program on the ION Sedan 3 right now. It is charging an interest rate of less than 1% on this model in March. The only thing that I question about the deal that you posted is the selling price of this car. Traditionally, as I am sure you are well aware, Saturn dealers were no-haggle and only sold vehicles at full MSRP. Apparently, according to what I have heard those days are gone and many Saturn dealers will negotiate the selling prices of vehicles now. If you can find a dealer that is willing to do so, you should be able to lease this car for less than this.

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CarMan@Edmunds

Greetings jimbojones. I would be more than happy to calculate a lease payment on the exact car that you are interested in for you, however in order for me to do so I need some additional information from you. This information includes this car's full MSRP (including destination charges), selling price, how long you want to lease it for, and how many miles per year you need to be able to drive it. Let me know and I will tell you what sort of payment I come up with.

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CarMan@Edmunds

No problem, deeb. If you were to lease a 2005 Honda Civic LX Sedan through American Honda Finance Corp. right now for 3 years with 12,000 miles per, its base lease money factor and residual value should be .00136 and 56%, respectively. If you were to lease a 2005 Nissan Altima 2.5 S through Nissan Motor Acceptance Corp. right now for 3 years with 12,000 miles per, its base lease money factor and residual value should be .00127 and 59%.

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CarMan@Edmunds

Hello ktkat. The first problem that I have with this deal is the lease money factor that you were quoted. Infiniti Financial Services' base 36 month money factor for the 2006 M35 AWD is only .00178 this month. Even if you were to have your car's security deposit waived in exchange for a .00015 increase in this factor, it would only increase to .00193. As a result, I suspect that your dealer may be marking-up IFS' base lease money factor to add additional back-end profit to this deal. Banks' published lease money factors are not negotiable in that dealers do not have the authority to lower them, but if a money factor is being marked-up by a dealer you certainly can negotiate the mark-up out of your deal.

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ktkat

Thanks carman.
What documentation can I bring to the dealer to show that the money factor for the M35AWD should be .00178 (or is it .00173?) for March 2005? Is this published somewhere?
You said that the money factor was the "first" problem you have with the deal. What else strikes you as unreasonable with the #s?

gcmello

Car_Man,

Thanks for the numbers. Now I'm off to my "friendly BMW dealer" to see what I can do to close the deal. Really appreciate your quick response.

Gerry

CarMan@Edmunds

Hi mikey5. Are you saying that you were able to lease a 2005 Infiniti G35 Coupe with a selling price of dealer invoice? I doubt that is the case. If you were able to, this car would have a 42 month, 15,000 miles per year, zero down, pre-tax monthly payment of around $399. If you you did not pay invoice for this car, what was its selling price? I need this number to calculate a lease payment on it for you.

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CarMan@Edmunds

Shayna, Volvo is providing $500 lease cash for new York residents on most models this month. Volvo's current lease program is scheduled to run through March 31st.

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hongcho

I just have a hypothetical question (sorry if it was asked before).

I usually don't like paying interests, so I was wondering if something like this is possible.

Can one get a lease and pay the amount (i.e., MSRP - residual) early (or in the very beginning if possible)?

Thanks.

Hong.

dwynne

Volvo seems to be having trouble moving the S60r and the V70r. I looked at the S60 when it first came out and didn't like FWD and the little leg room in the back seat. With AWD and 300hp these are now more interesting. I think I would prefer the V50r (more room) but they are even harder to find the the S60r models.

The Edmunds incentives page shows $2000 in dealer money for the S60r and 2 different amounts in dealer money for the V50r totalling $4,000.

In addition, I have heard there are special lease rates for these two cars.

What do you have? The cars are pretty nice compared to the competition, but extra money off and a sweet lease deal might make them REAL attractive :-)

Thanks!

coffee_fan

car_man, thanks for your reply. Could you provide the same MF, residual and lease cash on the Arc wagon for 36/12kmiles?

Thanks again

addi

Could you let me know the residual for a 2005
Prius. I am having a difficult time getting the information from Toyada. Thought I might try leasing for 36 months instead of purchasing the car. Thanks.

tomtaks

thanks a lot Car_man. Are there other wonderful lease manufacturer's lease promo out there?

tomtaks

selm

Car_man,

Thanks for your response. I did some of my own calculations and have decided to wait for the 2006 model even if it means waiting until the end of summer/beginning of fall. By then, I am hoping that a lower money factor and higher residual will equate to roughly the same monthly payment I would be getting with this dealer cash incentive. Thank you again.

carnaught

Thanks Car_man.....food for thought.

jbaer

Car_man -

I have a rather bizarre question and one you probably won't be able to answer but here it goes. I am interested in leasing a saab 9-3 however I have also heard a lot about how GM might sell Saab and how saab is in horrible financial straits. What happens if I lease a car and the company goes out of business? What happens to the actual lease, buy back, and what about the warranty? Thanks in advance.

cpeterson3

Sorry for the late reply but as always, thanks a bunch for great information and priceless service... three cheers for Carman!!

Does anyone else out there wish he could be your sales person??

funky1020

You are really a blessing to me, thank you for answering all of my questions. Ok, so you think I can lease the X3 for less than $461. How can I negotiate this? Have the salesman come down off the selling price? According to him I have to pay the bank fee, the refundable deposit, taxes and 1st month. Is this becasue I live in NY? Anyway...is there any dealer cash available on the X3? I am ready to make a decision, but if i can get a better deal i'd sure like one. Thanks again!!!

jimbojones

The full MSRP is $28,940, the selling price would be $26,940, 3 year lease, 15k miles (though if posssible I might go 18k miles).
I have a 2001 Mazda 626 LX (cloth, 4 cyl., 58k miles) that I would want to get rid of through the lease. I owe about $6800 on it.
Thanks for all the help.

rp0913

CAR_MAN

I negotiated the price down to 31687 before the 2500 rebate 29817 total price after rebate. I'm looking at Jeep's 39 month lease with 15k miles a year. The residual on that is 52% and the APR offered through Chrysler is 7.9%

drowningleasee

My lease on my 2001 Mitsubishi Eclipse is up on May 15. I am allowed 48,000 miles and am already up to 83,000 miles. I am planning to buyout the car (its current value is about $9,000 and the buyout is $12,500). Any suggestions?? Can I negotiate the buyout price with Mitsubishi Motors Credit??? I am drowning in this vehicle!

jaye28

I am chiming in on this conversation late, but we are interested in the current lease promotion on the 2005 BMW 525. $449/mos 36 mos. $3399 due at signing. 10K miles/year. Is this a good deal? We have never leased a car. Can we negotiate more miles per year or a better mos. payment?

prisch

Hey Car_Man,

Just posting a reminder about whether Audi has published the March lease rates for the new A4 yet? I'm interested in the MFs and residuals for the following:

2.0 Quattro with a Manual transmission and the
3.2

Both with 10K per year and 36 month leases.