2016 Lexus ES 350 Lease Questions.

Michaell

swann1409 said:

Michaell, thank you for the response, and yes two of these are autonation dealers. So, assuming I call them out on the residual and they modify it. What would be an acceptable payment range? the ones you listed? Should I go back to them with those numbers?

You don't want to negotiate the payment - you want to negotiate the price, taking into consideration that Florida has some of the most outrageous dealer fees in the country. Then, ensure you understand all the fees, and make sure they don't inflate the MF.

That way, you should get the best payment.

swann1409

michaell -- I am panicking a bit because I have a few weeks left and, being single, don't wan't to be left without a car. So, I emailed the dealers back and they all clarified that they made a mistake and that the residual was in fact 57%. Given that, the lowest cap price was option 3 at $38,033 and a $479 including tax. I likely have on last round of negotiating with them so I was thinking to offer them $465 per month including tax and see how far that gets me. If no one counters then take the $479.00 deal? I don't think that there is any more room to negotiate on the price. Rather -- I don't think they will be willing to negotiate on the price. it seems they are focused on the payment.

Michaell

swann1409 said:

michaell -- I am panicking a bit because I have a few weeks left and, being single, don't wan't to be left without a car. So, I emailed the dealers back and they all clarified that they made a mistake and that the residual was in fact 57%. Given that, the lowest cap price was option 3 at $38,033 and a $479 including tax. I likely have on last round of negotiating with them so I was thinking to offer them $465 per month including tax and see how far that gets me. If no one counters then take the $479.00 deal? I don't think that there is any more room to negotiate on the price. Rather -- I don't think they will be willing to negotiate on the price. it seems they are focused on the payment.

When calculating a lease payment, there are four numbers, but only two of them are variable - the money factor and the cap cost.

You want to ensure the dealer is using the base MF and you want to make sure you understand how the cap cost is arrived at - negotiated price plus any taxes and fees you are not paying up front.

With that, the payment takes care of itself.

gmanusmc

swann1409 said:

michaell -- I am panicking a bit because I have a few weeks left and, being single, don't wan't to be left without a car. So, I emailed the dealers back and they all clarified that they made a mistake and that the residual was in fact 57%. Given that, the lowest cap price was option 3 at $38,033 and a $479 including tax. I likely have on last round of negotiating with them so I was thinking to offer them $465 per month including tax and see how far that gets me. If no one counters then take the $479.00 deal? I don't think that there is any more room to negotiate on the price. Rather -- I don't think they will be willing to negotiate on the price. it seems they are focused on the payment.

@swann1409: Just going off the info you've provided so far, it doesn't sound like you're getting the lowest possible sale price that would result in your best lease payment. Again, I'm not sure what your current market is, but you should be getting at least 10-12% discount from msrp as a sale price PLUS the $2700 lease cash as a rebate. If that happens and you qualify for the lowest money factor, I'm fairly sure your ultimate payment will be a good bit lower than 479. Dwindling 2016 inventory might be working against you though.

Michaell

gmanusmc said:

swann1409 said:

michaell -- I am panicking a bit because I have a few weeks left and, being single, don't wan't to be left without a car. So, I emailed the dealers back and they all clarified that they made a mistake and that the residual was in fact 57%. Given that, the lowest cap price was option 3 at $38,033 and a $479 including tax. I likely have on last round of negotiating with them so I was thinking to offer them $465 per month including tax and see how far that gets me. If no one counters then take the $479.00 deal? I don't think that there is any more room to negotiate on the price. Rather -- I don't think they will be willing to negotiate on the price. it seems they are focused on the payment.

@swann1409: Just going off the info you've provided so far, it doesn't sound like you're getting the lowest possible sale price that would result in your best lease payment. Again, I'm not sure what your current market is, but you should be getting at least 10-12% discount from msrp as a sale price PLUS the $2700 lease cash as a rebate. If that happens and you qualify for the lowest money factor, I'm fairly sure your ultimate payment will be a good bit lower than 479. Dwindling 2016 inventory might be working against you though.

One last thought ... engage with multiple dealers. The competition will help you get the best price.

gmanusmc

Michaell said:

gmanusmc said:

swann1409 said:

michaell -- I am panicking a bit because I have a few weeks left and, being single, don't wan't to be left without a car. So, I emailed the dealers back and they all clarified that they made a mistake and that the residual was in fact 57%. Given that, the lowest cap price was option 3 at $38,033 and a $479 including tax. I likely have on last round of negotiating with them so I was thinking to offer them $465 per month including tax and see how far that gets me. If no one counters then take the $479.00 deal? I don't think that there is any more room to negotiate on the price. Rather -- I don't think they will be willing to negotiate on the price. it seems they are focused on the payment.

@swann1409: Just going off the info you've provided so far, it doesn't sound like you're getting the lowest possible sale price that would result in your best lease payment. Again, I'm not sure what your current market is, but you should be getting at least 10-12% discount from msrp as a sale price PLUS the $2700 lease cash as a rebate. If that happens and you qualify for the lowest money factor, I'm fairly sure your ultimate payment will be a good bit lower than 479. Dwindling 2016 inventory might be working against you though.

One last thought ... engage with multiple dealers. The competition will help you get the best price.

Excellent point Michael - that way you can sit back and let the dealers do the work until one of them reaches the target price you are aiming for.

pradeeprox

Michaell said:

pradeeprox said:

2016 ES350

MSRP: 45,879
Rebate: 2700
Discount: 2000
Adjusted cap: 41,179

36months/10k = $488
9MSD's = $4500
RV = 58%
MF after MSD's = 0.00005

Another dealer gave the following quote

MSRP: 42,479
Rebate: 2700
Discount: 2200
Adjusted cap: 37,579

36months/10k = $446
9MSD's = $4500 or $4050 ??
RV = 58%
MF after MSD's = 0.00013

Both are Zero out of pocket with tax everything rolled in.
This is in Ohio with a sales tax of 6.5%

How good of a deal are they both??

The cap costs don't include the taxes and fees - Ohio taxes the sum of the payments and collects it up front, so if this is a true "sign and drive" lease, that amount (plus the other fees) would be added into the selling price.

Get the adjusted cap cost with all the taxes and fees rolled in.

The adj cap cost for the first car was $41,764 and for the second car was $38,904
I am very much interested in getting the one with the $45k MSRP but the payments are at $488
Aiming for a sub $450 payment

gmanusmc

pradeeprox said:

Michaell said:

pradeeprox said:

2016 ES350

MSRP: 45,879
Rebate: 2700
Discount: 2000
Adjusted cap: 41,179

36months/10k = $488
9MSD's = $4500
RV = 58%
MF after MSD's = 0.00005

Another dealer gave the following quote

MSRP: 42,479
Rebate: 2700
Discount: 2200
Adjusted cap: 37,579

36months/10k = $446
9MSD's = $4500 or $4050 ??
RV = 58%
MF after MSD's = 0.00013

Both are Zero out of pocket with tax everything rolled in.
This is in Ohio with a sales tax of 6.5%

How good of a deal are they both??

The cap costs don't include the taxes and fees - Ohio taxes the sum of the payments and collects it up front, so if this is a true "sign and drive" lease, that amount (plus the other fees) would be added into the selling price.

Get the adjusted cap cost with all the taxes and fees rolled in.

The adj cap cost for the first car was $41,764 and for the second car was $38,904
I am very much interested in getting the one with the $45k MSRP but the payments are at $488
Aiming for a sub $450 payment

To do that you will need to negotiate approx $1300 more off the agreed sale price (more discount from dealer). The residual is what it is and with the MSDs, you've got the money factor about as low as it can be without being zero.

budigibabu

gmanusmc said:

budigibabu said:

Thanks so much for the response... got $3900 dealer discount in addition to $2700 for a $42K MSRP. .. also - is there a Disposition Fee? can it be negotiated?

Lexus Finance has a $350 disposition fee - will be waived if you lease another Lexus - other than that it is not negotiable as far as I know.

By the way, that looks like a pretty good deal.

Thanks so much for all the help.... This is a fantastic forum!!

Got - ES 350 + premium package + safety ++ ( no navigation!) with $4675 dealer discount + $2700 Lexus incentive - with $7375 less than MSRP.

budigibabu

just want to add for 36/12K....

Michaell

budigibabu said:

gmanusmc said:

budigibabu said:

Thanks so much for the response... got $3900 dealer discount in addition to $2700 for a $42K MSRP. .. also - is there a Disposition Fee? can it be negotiated?

Lexus Finance has a $350 disposition fee - will be waived if you lease another Lexus - other than that it is not negotiable as far as I know.

By the way, that looks like a pretty good deal.

Thanks so much for all the help.... This is a fantastic forum!!

Got - ES 350 + premium package + safety ++ ( no navigation!) with $4675 dealer discount + $2700 Lexus incentive - with $7375 less than MSRP.

budigibabu said:

just want to add for 36/12K....

Congrats! Enjoy the new Lexus.

gmanusmc

budigibabu said:

gmanusmc said:

budigibabu said:

Thanks so much for the response... got $3900 dealer discount in addition to $2700 for a $42K MSRP. .. also - is there a Disposition Fee? can it be negotiated?

Lexus Finance has a $350 disposition fee - will be waived if you lease another Lexus - other than that it is not negotiable as far as I know.

By the way, that looks like a pretty good deal.

Thanks so much for all the help.... This is a fantastic forum!!

Got - ES 350 + premium package + safety ++ ( no navigation!) with $4675 dealer discount + $2700 Lexus incentive - with $7375 less than MSRP.

That's almost 18% off msrp - a very solid deal - congrats and enjoy!

txssanp

Hello. I was hoping someone could tell me the MF and residual for Dallas/Ft Worth tx area for a 36mo/15k per yr lease. Thanks!

kyfdx

txssanp said:

Hello. I was hoping someone could tell me the MF and residual for Dallas/Ft Worth tx area for a 36mo/15k per yr lease.
Thanks!

.00110 MF and 55% residual. $2700 lease cash.

MF might be slightly lower, as we've seen reductions in some regions.

stevofl1

Would you happen to know the MF and residuals for south florida, 36mo/15k. Thanks

Michaell

stevofl1 said:

Would you happen to know the MF and residuals for south florida, 36mo/15k. Thanks

55% and .00095. $2700 lease cash.

txssanp

kyfdx said:

txssanp said:

Hello. I was hoping someone could tell me the MF and residual for Dallas/Ft Worth tx area for a 36mo/15k per yr lease.
Thanks!

.00110 MF and 55% residual. $2700 lease cash.

MF might be slightly lower, as we've seen reductions in some regions.

I was wondering if someone could explain the math behind the MSD? Is the reduction amount regional or is this set by LFS? Is there a max reduction or a minimal MF?

aldave64

@pradeeprox, would you mind to share which Lexus dealer you are looking at in OH

kyfdx

txssanp said:

kyfdx said:

txssanp said:

Hello. I was hoping someone could tell me the MF and residual for Dallas/Ft Worth tx area for a 36mo/15k per yr lease.
Thanks!

.00110 MF and 55% residual. $2700 lease cash.

MF might be slightly lower, as we've seen reductions in some regions.

I was wondering if someone could explain the math behind the MSD? Is the reduction amount regional or is this set by LFS? Is there a max reduction or a minimal MF?

.00008 reduction for each SD, up to a maximum of 9, for a total reduction of .00072
Not sure of Lexus minimum MF, but this likely wouldn't get you down to it, so you would get the full value of the reduction. It's a substantial savings.

gmanusmc

txssanp said:

kyfdx said:

txssanp said:

Hello. I was hoping someone could tell me the MF and residual for Dallas/Ft Worth tx area for a 36mo/15k per yr lease.
Thanks!

.00110 MF and 55% residual. $2700 lease cash.

MF might be slightly lower, as we've seen reductions in some regions.

I was wondering if someone could explain the math behind the MSD? Is the reduction amount regional or is this set by LFS? Is there a max reduction or a minimal MF?

Make sure they use the correct starting money factor that you qualify for. For example if you qualify for .00090, don't let them subtract the MSDs starting at .0011. Some dealers will try this slight of hand. Make them show you the calculations - some lease agreements don't show you the actual money factor - just the total interest.

rossdm

Can you give me the current MF and residual for an ES 350 with Safety System + and Luxury Package in Florida, 36/12? Top tier credit.

Then using those numbers, what monthly payment would you come up with on this deal:

MSRP 42,734
minus Trade In 6,000
minus Lease Cash 2,700
minus Dealer Discount 4,000

Adjusted Cap Cost 30,034
Tax = 7%

Thanks!

Michaell

rossdm said:

Can you give me the current MF and residual for an ES 350 with Safety System + and Luxury Package in Florida, 36/12? Top tier credit.

Then using those numbers, what monthly payment would you come up with on this deal:

MSRP 42,734
minus Trade In 6,000
minus Lease Cash 2,700
minus Dealer Discount 4,000

Adjusted Cap Cost 30,034
Tax = 7%

Thanks!

57% and .00095. With your prices, I get $224/mo with tax.

However, that doesnt take into account the up front fees - are you paying them up front?

And, we don't recommend using trade equity as cap reduction - that money is lost if the car is stolen or totaled. Use some of the equity to address the up front costs, and have the dealer cut you a check for the balance. Use that to offset the higher payment.

rossdm

Michaell said:

rossdm said:

Can you give me the current MF and residual for an ES 350 with Safety System + and Luxury Package in Florida, 36/12? Top tier credit.

Then using those numbers, what monthly payment would you come up with on this deal:

MSRP 42,734
minus Trade In 6,000
minus Lease Cash 2,700
minus Dealer Discount 4,000

Adjusted Cap Cost 30,034
Tax = 7%

Thanks!

57% and .00095. With your prices, I get $224/mo with tax.

However, that doesnt take into account the up front fees - are you paying them up front?

And, we don't recommend using trade equity as cap reduction - that money is lost if the car is stolen or totaled. Use some of the equity to address the up front costs, and have the dealer cut you a check for the balance. Use that to offset the higher payment.

Thanks - good point. One dealer is telling me that .00095 is "lower than our buy rate on the ES. We can get you .00125 at the best rate." I'm sure he's just trying to build in extra profit on the deal.

What is a money factor "buy rate" anyway?

Waiting to hear from another dealer today - expecting .00095 money factor.

Thanks again for the help!

Michaell

rossdm said:

Michaell said:

rossdm said:

Can you give me the current MF and residual for an ES 350 with Safety System + and Luxury Package in Florida, 36/12? Top tier credit.

Then using those numbers, what monthly payment would you come up with on this deal:

MSRP 42,734
minus Trade In 6,000
minus Lease Cash 2,700
minus Dealer Discount 4,000

Adjusted Cap Cost 30,034
Tax = 7%

Thanks!

57% and .00095. With your prices, I get $224/mo with tax.

However, that doesnt take into account the up front fees - are you paying them up front?

And, we don't recommend using trade equity as cap reduction - that money is lost if the car is stolen or totaled. Use some of the equity to address the up front costs, and have the dealer cut you a check for the balance. Use that to offset the higher payment.

Thanks - good point. One dealer is telling me that .00095 is "lower than our buy rate on the ES. We can get you .00125 at the best rate." I'm sure he's just trying to build in extra profit on the deal.

What is a money factor "buy rate" anyway?

Waiting to hear from another dealer today - expecting .00095 money factor.

Thanks again for the help!

Be advised that Lexus has regional numbers - and, we don't have the data for all regions.

The buy rate is the base rate that we quote; dealers are free to mark that up for extra profit.

Reach out to multiple dealers - that way, you'll have a better chance of getting the best deal if they are competing against one another.

gmanusmc

Michael/kyfdx - a general question to help clarify a discussion going on in another forum.
Is there any difference in residual percentage between ES350s with base, premium, luxury, or ultra luxury packages (other than for lease term/mileage allowance)? For example purposes, use CA as a location.

Thanks

Michaell

gmanusmc said:

Michael/kyfdx - a general question to help clarify a discussion going on in another forum.
Is there any difference in residual percentage between ES350s with base, premium, luxury, or ultra luxury packages (other than for lease term/mileage allowance)? For example purposes, use CA as a location.

Thanks

No difference based on package or options.

sundeviloc

What is the MF and residual for a 36/10 in so cal?

kyfdx

sundeviloc said:

What is the MF and residual for a 36/10 in so cal?

.00095 MF and 57% residual.
$3100 lease cash.

torque11

Dear Moderator,
Can you please share current MF, residual in New Jersey for 36/10K & 36/12K for ES350 2016
Thanks !

Michaell

torque11 said:

Dear Moderator,
Can you please share current MF, residual in New Jersey for 36/10K & 36/12K for ES350 2016
Thanks !

.00095 MF and 57% / 56% residual.
$3100 lease cash.

lexusguy23

Hi can I get the numbers for TX, 10k and 12k miles for the following? Also lease cash incentive on either? Thank you!

2016 ES350
2017 ES350

Michaell

lexusguy23 said:

Hi can I get the numbers for TX, 10k and 12k miles for the following? Also lease cash incentive on either? Thank you!

2016 ES350
2017 ES350

2016 - 57% / 56% and .00190

2017 discussion is here:

http://forums.edmunds.com/discussion/42409/infiniti/q60-coupe/2017-infiniti-q60-lease-questions#latest

Michaell

Michaell said:

lexusguy23 said:

Hi can I get the numbers for TX, 10k and 12k miles for the following? Also lease cash incentive on either? Thank you!

2016 ES350
2017 ES350

2016 - 57% / 56% and .00190

2017 discussion is here:

http://forums.edmunds.com/discussion/42409/infiniti/q60-coupe/2017-infiniti-q60-lease-questions#latest

Whoops, pasted the wrong link; 2017 ES discussion is here:

http://forums.edmunds.com/discussion/43269/lexus/es-350/2017-lexus-es-lease-questions#latest

lexusguy23

Thanks Michaell - Is there any lease cash or rebate on the 2016 ES350? Thanks!

Michaell

lexusguy23 said:

Thanks Michaell - Is there any lease cash or rebate on the 2016 ES350? Thanks!

None that I see.

kyfdx

lexusguy23 said:

Thanks Michaell - Is there any lease cash or rebate on the 2016 ES350? Thanks!

$4500 dealer cash on the 2016 models.

mmendoza2

Good Afternoon,

What is the MF and Residual % for a 2016 ES350 in South Florida for these terms:

36/12
39/12
42/12
48/12

What would it be for 10k a year for the same terms?

Any Lease cash?

Does the MF change based on the length of the lease?

kyfdx

mmendoza2 said:

Good Afternoon,

What is the MF and Residual % for a 2016 ES350 in South Florida for these terms:

36/12
39/12
42/12
48/12

What would it be for 10k a year for the same terms?

Any Lease cash?

Does the MF change based on the length of the lease?

56%/54%/52%/47% residual
Add 1% for 10K/yr.
.00190 MF for all terms.
$4500 dealer cash.

mcsjwu

Hi there,

Is it possible to share current dealer cash, MF, residual % in New Jersey for 27 month/15K per year for ES350 2016?

Thanks !

Michaell

mcsjwu said:

Hi there,

Is it possible to share current dealer cash, MF, residual % in New Jersey for 27 month/15K per year for ES350 2016?

Thanks !

59% and .00190.

$4500 lease cash.

carsearcher18

Hi guys can you let me know the current MF, residual, and incentives for 2017 ES350 for 36/10k and 36/7.5k.    I'm in Los Angeles.  

Also, a dealer is telling us that the Nov lease program will be the same for the December to remember event.  Is that true?

thanks!

kyfdx

carsearcher18 said:

Hi guys can you let me know the current MF, residual, and incentives for 2017 ES350 for 36/10k and 36/7.5k.    I'm in Los Angeles.  

Also, a dealer is telling us that the Nov lease program will be the same for the December to remember event.  Is that true?

thanks!

The 2017 lease discussion is here:
http://forums.edmunds.com/discussion/43269/lexus/es-350/2017-lexus-es-lease-questions#latest

Residuals won't change for December, but the current program is only scheduled through November 30th, so there could be changes in December.

chicago1984

Hey guys,

Is it possible that you guys can let me know the current MF, residual, and incentives for 2016 ES350 for 36/12k and 36/15k I'm in Chicago. Thanks.

kyfdx

chicago1984 said:

Hey guys,

Is it possible that you guys can let me know the current MF, residual, and incentives for 2016 ES350 for 36/12k and 36/15k I'm in Chicago. Thanks.

.00190 MF and 56%/54% residual.
$4500 dealer cash

sjeed

May I please have the MF and Residual for a 36/12 Lease in Northern CA for a ES300h, plus any Incentives (Lease Cash, Dealer Cash, Waived Payments, etc.) Thank you!

sjeed

sjeed said:

May I please have the MF and Residual for a 36/12 Lease in Northern CA for a ES300h, plus any Incentives (Lease Cash, Dealer Cash, Waived Payments, etc.) Thank you!

Disregard, posted in incorrect forum.

jzaid84

Resi/MF and Dealer Cash for:

2016 ES 350 33/12 36/12 39/12 (Texas)

Michaell

jzaid84 said:

Resi/MF and Dealer Cash for:

2016 ES 350 33/12 36/12 39/12 (Texas)

.00190 and 58% / 56% / 54%

$4500 dealer cash.

dealhackr

Hi, can I get #s and incentives for NJ for 2016?
Thanks!

Michaell

dealhackr said:

Hi, can I get #s and incentives for NJ for 2016?
Thanks!

.00190 and 54% for 36/15

$4500 dealer cash.