Lease Questions - Ask Here

beemerluv

I see what you are saying, if I understand correctly, my biggest threat comes from total loss of the vehicle, if this should happen, early on in the lease, then I will have paid out more money than necessary, guess I'll have to keep my fingers crossed. Let me get your opinion on this deal: 06' 530, s.p., p.p., sirius, MSRP $52190, final agreed price $48940 (approx. 1k over invoice), monthly payment 598.40 (tax incl.), money upfront: $2000 cap cost red. $625 aquisition. $600 sec. $598 first mo. $549 wheel/tire insur. $145 reg. & inspec. I did a little research beforehand, and I feel pretty confident that I did not get reamed out, what do you think?

jeffsauls

Car_Man:

Can you provide me with September MF and residual info for the Passat 2.0T (not value edition) and Saab 9-3 2.0T Sedan, based on 36 mos at 12k/yr? Thanks so much.

dfosher

My dealer just told me the 36-mo. residual on a 325xi is 62%. And the 325i is 63%. He said the AWD models have lower residuals. Is this true?

Also, when is Edmunds.com going to list pricing for the BMW 325xi?

Thank You!

dpav

Car_Man: Is a residual value calculated from MSRP. For example .59% from MSRP... ?

Looking for 3 year residuals for 06 Odyssey EX-L and 06 Acura TL

Thanks

arrosen

Yes... The residual is ALWAYS calculated off of the MSRP.

crandleman

No, it isn't actually. Toyota figures the residual off of the BASE MSRP with no destination or options included. Every other car company does it the way you said above.

corral

Dear car guy, I am also reminding you for information on phaeton leasing. On sept 5 I was offered to lease the car for dead invoice 69999 on 77040 car. The residual was 53% for 36 months and 45,000 miles and money factor was .00011.

Now another dealer called me yesterday and offered 1000 over invoice .00066 and 55% for the same terms.

Is there lease cash yet? and is there the old money factor and residual or a new one?

Also does the lease require a security deposit, sometimes like when I leased my jetta there was an awsome rate and residual and securtiy deposit waiver.

Thanks

mcho3

did you end up getting the car?
that sounds crazy good...

andybean224

Hello Car Guy. This is my first time leasing. I'm looking at a new Lexus RX 400h hybrid SUV. I know that the gas savings don't justify the increase over the non-hybrid version, but I like the idea of supporting hybrid technology. Consider it an investment in the planet. That said, I don't want to throw money away on the lease arrangement, so if you could offer your thoughts on the numbers the dealer faxed me, I'd be grateful:

MSRP: $50,863 (selling at sticker, which is what this car is going for here)
Residual value: 62% $31,535.06
Annual miles: 12k
Mileage adj: +2% $1,017.26 (I didn't ask for this, so I'm not sure where this came from?)
Adjusted residual value: $32,552.32
Customer cash/rebate: $5,000 (I was thinking of putting down $5k to lower the payments...)
Inception fees: $1,219.02
Excess cash/rebate/equity: $3780.98
Assignment fee: $600
Payment recap: 36month $679 + 8.25% = $735.02

FYI, the dealer said my FICO was 809. Your thoughts? Is there anything else you need to weigh in? I'd like to get the payments down to around $500-$600 a month, but other than throwing money down upfront, I'm not sure how one does this.

Thanks for your help.

Andrew

kyfdx

The '06 530i numbers look good.. I get $571/mo.+ tax, so depending on your tax rate that should put you right around your $598/mo. number... If you roll in all your upfront costs and the cap cost reduction, leaving only sec.deposit and first payment upfront, the payment would be $670/mo.+ tax..

regards,
kyfdx
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dave328

I am cross posting this from the M45 lease board. This forum was extremely helpful during my lease hunting and I want to share my experience and a few lessons learned with others.

Here is my final deal on a Infiniti M45 with Journey and Nav.

MSRP 52,510
CAP COST 49660 (1K over invoice plus 550 acquisition fee minus 33.54 cap reduction[long story])
42mos
610.06 + 47.28tax = 657.34/mo
MF 0.00205 (I was shown their finance sheet to confirm that this is the base MF for 42 mos)
Residual 59% (This is according to my calculations)

I'm happy with the deal. Aside from a couple of attempts at padding the MF, it was pretty straight forward. This was in Orange County, so. Cal.

For those who are newbies venturing into the dark and foggy lease-land, I have a couple of pointers.

Hammer out the cap cost. This is one of two key negotiation points. For me felt I would be happy with 1k over invoice and so I made that offer and it was accepted without haggling. Don't negotiate on the monthly amount, the dealer with throw out an irrelevant number and do all sorts of crazy stuff.

Find out the base money factor for the term of the lease. It seems to vary slightly depending on the length. Have the dealer commit to the rate, in writing if possible.

Find out the residual for the term of the lease. This is set and non-negotiable. This does vary slightly among different banks but if you ar going through the manufacturer's lease program, it is set.

There is a sweet spot for the monthly payment. For the M45, it is 42 mos. The monthly payment is approx $50 less for the 42 mos compared with 36 mos. I don't think I'll have any problems keeping the car for another 6 mos, so I was happy to do it.

Have the dealer e-mail you the exact terms for the lease, including the MF and cap cost, before you go in to sign the papers and cross check with your own calculation using the edmunds calc. Or you can use this site:

http://www.leaseguide.com/calc.htm

It is a little simpler to use than the edmunds site.

If you find a discepency, point it out nicely. I think most high end dealer will play nice but they might need a bit of nudging.

Pretty simple, you just have to keep your eyes open and know your numbers.

Happy hunting!

Dave

108flat

reminder...
Is the 2006 Toyota Tundra lease program out?
Trying to find residuals and depreciation pct for MSRP $27645 4WD, V8, access cab. 24 month.
thanks

lola1

I had received a letter from Honda Financing that if I "been pre-approved for financing a new Honda and when I take advantage of this offer, Honda Financing will waive remaining monthly payments. Just present this letter to your Honda dealer.."

I took the letter to the dealer, the dealer agreed that the last payment would be waived, I bought a new Honda, but the dealer financed it through Chase.

Now, Honda Financing is saying I owe them the last payment, because the car was not financed through them. I now understand how the letter implied that it needs to be financed through them, but frankly I feel that was up to the Honda dealer. By the time we agreed to a price on the lease, and were signing the financing paperwork, I was no longer looking at the Honda letter to question whether or not the financing had to go through Honda Finance.

Another thing is I got charged $536 for a bumper deep scratch. I wanted to mention this because I see several people refer to the fact that "Honda Finance waives up $1500 for excessive wear and tear," however, again you need to read the fine print. They will waive the charge if the damage totals LESS than $500 up to a Maximum of 1500. Any event that costs $500 or more to repair I am responsible for.

As far as the remaining payment, Honda Leasing says that yes, the Honda Dealer should not have financed through Chase, but I am still responsible for the payment and I need to go back to the dealer, which I have, and they say they will take care of it. However, I'm not very hopeful.

My question is, do you think I have a legitimate complaint, and if so who can I write a letter to or take this complaint to. I can't seem to get past the Honda Finance customer service people who just keep telling me I should have known that the financing had to go through them, and I have to pay.

Thanks for any advice.

jhk_db

Can you provide me with the money factors and residuals for the MB SLK350 and the MB SL500? The SLK350 would have a number of options including the COMMAND/NAV (msrp $56K) and the SL500 would have the comfort package (msrp $96K). The lease would be for 36 mos, 12K per year. (In case you need it, the region is Florida.) Thanks.

rroyce10

... **I now understand how the letter implied that it needs to be financed through them ....**

I can't say why they preferred Chase vs Honda, maybe a credit thing, maybe a rate thing - who knows.? ...... but if you were buying a house, I bet you would know the difference between Suntrust and Countrywide at the closing ....

** I see several people refer to the fact that "Honda Finance waives up $1500 for excessive wear and tear," however, again you need to read the fine print** ..

Another "urban legend" ...... a nick here and there, fine .... but most people think a new paint job, a complete service and new rubber is less than $1,500 ..l.o.l...

**Honda Finance customer service people who just keep telling me I should have known that the financing had to go through them, and I have to pay**

That pretty much sums it up ........................

Terry.

andybean224

Oop, sorry. Car Man. If anyone out there can help me make sense of these numbers and give me a little guidance on what I can do to lower the numbers, I'd appreciate it.

Thanks.
Andybean224

nupeskee

Car man looking for MF and Residuals for 06 VW Jetta GLI six speed and DSG. Would like to see numbers for 12K miles, 36, 39, and 48 months. Same for 15K miles. Thanks.

x021627

no, I had had 2 TL's previously and decided to go the lexus es 330 route for the luxury aspect. I am happy with my choice.

motorista

Thank you, bdr. I am in fact leaning towards purchase. The only reason I was considering the lease is that I'm a little worried about the Phaeton's reliability and maintenance costs given how complex it is. With a lease, I can walk away at lease end, otherwise I might get stuck with a difficult trade. Still, purchasing is more appealing financially.

chunglau

Hello Car_Man:

Can you give me the MB MF and residual for the E350? Assume 36 month lease, 12K mile/year. Thanks.

scamutz181

I am changing jobs, and while I previously had a company vehicle, I will now have to buy one. Is there a site that lists the current specials/incentives on leases? I am not real picky about what I will be driving, as long as it is a good looking vehicle with all of the bells and whistles..but finances will be tight until commissions start coming in, so I'd like to lease something for 24 months or so rather than buy. Any ideas?

Thanks a bunch!

Mike

bdr127

I am changing jobs, and while I previously had a company vehicle, I will now have to buy one. Is there a site that lists the current specials/incentives on leases? I am not real picky about what I will be driving, as long as it is a good looking vehicle with all of the bells and whistles..but finances will be tight until commissions start coming in, so I'd like to lease something for 24 months or so rather than buy. Any ideas?

I know you said you are not picky, but could you give us some more info on what you are generally looking for?.... What are "bells and whistles" to you? To some it's power doors/windows/sunroof; for others, it's navigation and radar cruise control.... What kind of price/payment range?

someguy1

Anyone,

I would love the residuals for 3 years 15K a year on the following SUV's

2005 Infiniti FX35
2005 Acura MDX
2005 BMW X3
2005 Audi All-Road 2.7T

Thanks in advance
KA

mcho3

my girl friend and i were s hoping for a new 2005 tl w/nav and got this great deal from one of the dealers. when we went we agreed on the price right away and gave them the deposit. then this is the part, well we told them that she was from out of state and that she is here for next two month trying out a position here localy. Then they told me that every thing should be ok and that come back for the car later. when we left they called us and told me that bank did not approved the loan and that the monthly payment would be $30 more because the residual at this new bank will be lower. then i told them that i will co-sign or provide letter providing her future employment locally i mean i was going to provide what ever they wanted to keep the deal. But when we got to the dealer they had the deposit check in there hand ready to say :"sorry we tried and isn't going to work, here is the check." they just didn't try to make the sales at all. it feels to me they just stated the low price to get us in and when we didn't fall for their ways they just dumped us for another customer. what do you think about this? please let me know? they didn't want to do anything else? what am i missing here.

scamutz181

Ok, maybe not bells and whistles...just not a stripped down vehicle. I need power everything, enough room to fit my wife and three kids in it if need be. No radar cruise, scanners, nav. system necessary.

I'm looking for respectable transporttation for the shortest lease term possible...(24 months I assume?) I will be selling new high end housing, so I just need something as cheap as possible for now, but that I can still put a couple of clients in to drive them around the subdivision.

I see adds on tv for $299 Lexus sedans, etc...but can't seem to find them now that I'm in the market.

Ideally, under $300, with up to around $2500 down. I could go more if necessary, but that's the ideal.

Does something like this exist?

Thanks.

rroyce10

.... **:"sorry we tried and isn't going to work, here is the check." they just didn't try to make the sales at all. it feels to me they just stated the low price to get us in and when we didn't fall for their ways** .....

First of all, we need to get you into "paragraph school" .... trying to read your post is like trying to hit a Lob Wedge 100 yards, it's almost impossible unless you're Tiger Woods ........

Anyway, I doubt very much the dealer was just trying "to get us in and when we didn't fall for their ways" .. what would be the point.? their time is certainly worth more than yours, especially if they don't get the sale .. it sounds like a credit problem -or- a lack there of ... maybe limited credit with no "real means" of employment, maybe no cash down or very limited..? ..... if the dealer handed back your check, then there is alot more than you are telling us........ :confuse:

Terry.

CarMan@Edmunds

Hi everyone. I have been working on another project for Edmunds.com for the past several days and have not spent much time in this discussion. I would appreciate it if those of you who still have questions that you would like to have answered post them again. It would be helpful if you post any model-specific questions about leasing in the new discussions that I created over in the Prices Paid and Buying Experiences forum. I will be happy to answer any general questions about leasing here. Thanks and talk to you soon.

Car_man
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gregm3

Hey car_man

This is a great forum to get information, thank you for that! I am looking at leasing or purchasing a 2005 Infiniti G35 Coupe/6mt/premium/aero package (MSRP $37,250). If I lease, it will be for 36 months/12,000 miles a yr. Could you tell me what the current (September) MF and residual is for this car?

If I purchase, it will probably be for 48 or 60 months. Could you tell me what the current interest rate is from Infiniti Financial Services (top tier credit)?

Thanks in advance!

motorista

Welcome back, Car Man. Here is my re-post from a few days ago, as requested. I tried the new forum you indicated but could not figure out how to post there - I'm new to this web site so it's probably something dumb I'm doing/not doing.

Thank you for your reply, Car Man! I really appreciate your advice.
So, here's my gentle reminder, as you requested, plus a recap of where I am:

- The car:
2005 Phaeton V8 w/ PCX Comfort and Cold Weather package and 4F6 Keyless Access, MSRP 73,955 including 1,300 gas guzzler tax and 655 destination charge.

- My situation: at least 20kmiles/year, possibly more. I have a trade valued at 17500 on which I owe approx. 13,300. I can put down the difference towards the new car if opportune.

- What I was offered (*before* VW's latest incentives of 9/7):
Selling Price 68,539 with zero down. To compute amount to be financed add 7% sales tax and about 1000 for title, registration & Misc.
Lease: 48 x 969, 20kmiles/year, residual approx 29500. Or
Buy VW financing 66 x 1185 2.9%. Or
Buy bank financing net of dealer 5500 cash incentive, 60 x 1259 5.24%

I understand that VW has now increased the dealer cash to 7500 for bank financing, and added a new 2000 dealer cash incentive for VW financing. I still don't know if they sweetened the lease terms.

Let me know what you think.
Motorista

jhk_db

Can you provide me with the money factors and residuals for the MB SLK350 and the MB SL500? The 2006 SLK350 would have a number of options including the COMMAND/NAV (msrp $56K) and the 2005 SL500 would have the comfort package (msrp $96K). The lease would be for 36 mos, 12K per year. (In case you need it, the region is Florida.) Thanks.

CarMan@Edmunds

You're welcome gregm3. If you were to lease a 2005 Infiniti G35 Coupe through Infiniti Financial Services right now for 36 months with 12,000 miles per year, its buy rate lease money factor and residual value should be .00199 and 58%, respectively. Infiniti is not currently providing any special financing rates on the 2005 G35 Coupe. As a result, if you were to finance one through IFS, you would have to use its standard interest rates. Chances are that you will be able to beat its standard rates by financing through an independent bank. If you decide that you want to finance, it would be in your best interest to get pre-approved before discussing rates with your dealer. Doing so services two purposes. First it gives you an idea of what sort of interest rate you qualify for. Second it will motivate the dealer that you buy from to try to beat your pre-approved rate.

Car_man
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CarMan@Edmunds

Thanks motorista. You can use any equity that you have in your trade as a down payment on your lease, however you would be better off having the dealer that you trade it in to cut you a check for it instead. 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 Phaeton would be exactly the same, regardless of whether you had put several thousand dollars down, or had made absolutely no down payment at all.

Given the mileage that you put on your cars, you might be better off financing instead of leasing. Whether you should go with VW Credit's 2.9% rate or take the dealer cash and finance through an independent bank depends upon how low the third party's rate is.

Car_man
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CarMan@Edmunds

Hi jhk_db. According to the latest information that I have see, if you were to lease a 2005 Mercedes-Benz SL500 through Mercedes-Benz Credit right now for 36 months with 12,000 miles per year, your buy rate lease money factor and residual value should be .00255 and 57%, respectively. The numbers for an otherwise identical lease of a 2006 SLK350 should be .00325 and 62%, respectively. These rates are for consumers who pay a security deposit, $795 acquisition fee, and have good credit.

Car_man
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Rickster

Last December, I wasn't in a position to buy a car and since the lease deal I was able to obtain was better than the loan I could get at the time, I entered into a lease. Now, I've received a few windfalls and would much rather just own the car outright. Unfortunately, the lease payoff number I've been quoted by the leasing company is not only more than the current value of the car, it's higher than the original purchase price when I bought it. Two questions:

1. Is there a formula for determining whether the savings from not paying the monthly interest and depreciation built into the lease payments can mitigate the cost of buying out the lease?

2. Are there any chips I can play with the leasing company to incent them to lower the buyout price?

Thanks so much for your help.

sjl225

Hi Carman

Can you please provide me with MF's and the residuals for both vehicles?

24 Months
10 & 12K P/Y

By the way; Has Porshe started leasing again in NY.

Thanks
sjl225

allinde

I have 2002 Jeep Grand Cherokee, the lease expires in January and I am considering purchasing the vehicle. Due to an issue with forged second lease on this car the dealer was forced to lower my monthly payments to $300.00 per month. I have leased the car for 4 years and 15000 miles per year. In order to accomodate the lower payment the dealer lower the residual value at lease end to $10,600.00. The car currently has 50,000 miles on it, I think it would be best to purchase the vehicle and then if I decide to sell it later I can, probably for more than the 10,600. Let me know what you think and any tips on lease buyouts.

Thanks

arrosen

Car man -

Could you please give me the residual and MF for a 2005 Chrysler T&C Limited and Touring, 15K miles?

Thanks!

b55140

Repost:

Can you please post the current (Sept 05) specifics for a lease on a Tundra in Utah? 36 mos, 15k miles.

Are there better deals on the 05 (over the 06?) My first pref is the SR5 DCab 4x4, but could be persuaded to a diff model based on lease attractiveness, as long as its 4x4.

Thanks!

karannarang

Hello

I have currently been offered - 2005 Accord LX SE Coupe (4 cyl.) for $17,650 with an invoice price of $18,700. The lease comes to $256 p.m. with a down payment of $1500 and the residual value is $10500 (approx). This is for 12000 miles per year. This is my first time leasing and I want to make sure its a good deal. Please feel free to make any suggestions. This is more of an emergency purchase coz my car broke down. Also let me know if you guys know of any good lease deals with similar down payments and monthly rates between $200 & $250

Thanks in advance.

cagorm

Hi Car_man,

Will you please post the September MF and residual for a G35 6MT sedan with 15,000 miles/year?

Thanks.

revizzed

I have a really strange situation that has left me not knowing what to do. I financed a car through Ford Credit in 1999. Well i had a lot of financial problem s and in 2000 i filed bankruptcy but i did not include the car, anyway i couldnt keep up with my payments and up until the time i filed bankruptcy ford would call me tell me im late etc. But after the Bankruptcy it all stopped. I stopped making payments and thaught they would just come get the car, they never did and still never have... I have registered car every year, kept insurance on it every year but nothing, now i moved and the new state wants copy of title, what do i do?? And what are the reprocussions of this going so long, how could they have overlooked this?? On my credit it shows as was bankrupted which it wasnt and shows balance as 0$
Confused in Miami

dfosher

My dealer just told me the 36mo/12k. residual on a 325xi is 62%. And the 325i is 63%. He said the AWD models have lower residuals. Please confirm?

kyfdx

Those numbers are accurate....

Actually, on the old E46 3-series model, the AWD residuals were usually much lower... Right now, there seems to be some pent-up demand for the AWD models..

regards,
kyfdx
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jb_turner

You should have been honest and declared the car or made the payments.

bobst

It sounds like you have been driving a car that does not belong to you. I suggest you give it back to the owners - Ford Credit.

eel14

I am currently leasing a 2002 Dodge Ram 1500 Sport through Chrysler Financial. My lease ends June 1, 2006 and was wondering about some options. My payments are currently $595.50/mo and current lease payoff is $18,959.12 (as of 9/23/05). I am trying to relieve some of my debt (and with gas prices) I would like to lower my truck payments. Should I wait until the lease end and finance the truck for the lease end price $14,156 (closed end lease) or could I try and refinance it now and lower my payments. Thanks for any assistance you can provide.

gold233790

Carman-

Could you provide the current MF and residual for 15k miles on Jaguar X-type 3.0 models- both '05 and '06?

Thanks.

genegray

I recently signed a lease contract on an '06 ML350 (with nav, appearance, sunroof, entertainment and heated seats) and traded in my 05 C240 which i started LEASing since Jan. (I posted this situation before "NEED PROFESSIONAL ADVICE" Lease trade-in for another Lease) The C240 had a negative equity of $3874.75 rolled into the new lease prog).
I wanna know if i fell into a trap on this deal that i got into.

'06 ML350 (with all those options mentioned) MSRP: $48,180
39 month lease, 12k miles
Agreed price: $43,440
d/o: $2800
monthly: 670
Residual: $30,425

desgnconcpts

Dear Car_Man,

I know you've been starting some topics in individual car make sections -- I really like that idea, it makes it much easier to look for info on specific cars that way. There was no topic for 2006 Buick Rendezvous. 2 questions:

1. Is the $2,000 rebate to customer available to use on GMAC lease?
this would bring the cost for 2006 in line with the Employee Pricing on 2005's
2. Can you provide MF and Residual for
24 mos -- 12,000 mi
24 mos -- 15,000 mi
36 mos -- 12,000 mi
36 mos -- 15,000 mi

Thank you for all the great work you do on "OUR" behalf!
Best Regards

dphantom

Hello guys,
I have a question regarding trading-in a lease car. I have a '04 325i sdn with a 3 yr lease contract. Now I'm thinking of trade-in this car with an SUV... my question is it possible to do this? Is it worth it? Is it same process like trading-in a own car? Get the trade-in price and remaining balance of the lease car then get the difference and add it to the price of a new car. And also is there such thing of leasing a used car?
Thanks Guys for ytour help...!!! Sorry for my ignorance in this situation... :-)