2013 and earlier-Honda Odyssey Lease Questions

CarMan@Edmunds

Hey howard2dot0. I highly doubt that Honda will provide any sort of lease support on the 2007 Odyssey when it arrives at dealers. Having said that, an '07 model may actually end up being less expensive to lease than an '06 model. This is because they both will have the same lease money factors, Honda Finance's standard program, but the '07 model will have higher residual values than the '06 model. If you are able to negotiate a selling price on an '07 that's anywhere near the price that you could get an '06 model for, its lease payment will be lower.

Car_man
Host
Prices Paid Forums

CarMan@Edmunds

Hi seattleml320. Dealer invoice is a pretty good price for this vehicle. Once the $500 dealer cash that is available on it is taken into account, you are essentially getting it for $500 over. The money factor that you were quoted looks good as well. It is right in line with Honda Finance's current buy rate for consumers who qualify for its "Super Preferred" credit tier and opt to have their security deposits waived. So the two negotiable aspects of your deal look good to me. You would be better off having the dealer cut you a check for your trade rather than using the proceeds from it as a down payment for your lease though. I always advise community members against making down payments on leased vehicles because if their vehicles are stolen and never recovered or totaled in an accident, their down payment essentially disappears.

Car_man
Host
Prices Paid Forums

CarMan@Edmunds

Hi medmdmd. The money factors that you posted are correct for Honda Finance's "Super Preferred" credit tier. I haven't seen its standard factors for other tiers recently. Honda Finance's current 36 month residual values for a base 2006 Odyssey EX are 60% with 12,000 miles per year and 58% with 15,000 miles per year. 15,000 miles per year is the highest mileage allowance that Honda Finance publishes residual values for. If you need to drive more than this, you will have to purchase additional miles on a per-mile basis. It is less expensive to do so at lease signing than it is to wait until lease-end and have to pay an excess mileage penalty. Honda Finance's 48 month, 15,000 mile per year buy rate lease money factor and residual for a base '06 Odyssey EX are .00265 and 48%.

Car_man
Host
Prices Paid Forums

medmdmd

Interesting.

The EX-L RES 36 mos lease residuals as of May 1st were only 57% for 12k mi and 55% for 15k mi.

I wasn't aware that the residual percentages varied so much between trim levels and were so much higher on the base EX.

Learn something every day . . . .

howard2dot0

Thanks for all the great replies to my seemingly endless questions.
Here is one more.
I can't seem to get any leasing deals that I like where I live (Houston), so I am thinking about leasing from Grand Honda in Illinois.
Anyone have any advice for or against leasing from another state?

medmdmd

If you search the Prices Paid Honda Ody forum and search Texas, you may not need to go out of your big state.

The best purchase price is the most important part of getting a good lease. There is competitive pricing on the Odyssey at several Texas dealerships during the past three months:

http://townhall-talk.edmunds.com/direct/view/.ee93eaa!keywords=allin%3Amsgtext%2- - - 0limit%3A.ee93eaa%20date%3A3m%20texas%20OR%20tx&count=20

robertw477

Does anyone know if American Honda Finance does any Multiple Security Deposits on a lease? I would like to save some $$ if they have such a program.

Thanks
Robert

howard2dot0

medmdmd,
thanks for all your helpful answers to my pesky questions.
i took a dramatic turn and lease a chrysler pacifica for $350/month. to my surprise, so far i really like it. we thought couldn't live w/o a minivan, but we were wrong.
thanks again for your help.

howard2dot0

thank you.

bdc9475

Car Man:

Would you provide me with the Residual and Money Factors for the following:

2006 Honda Odyssey EX-L
36 Month Lease
12,000 miles per year/ 15000 miles per yr.

I believe the numbers are .57% residual and .0027 or .0028 money factor. Please confirm or correct.

Also, can car dealers manipulate the residual values like the money factors or are the residual values fixed.

Thanks

irishrogue1

my l 2yr lease is ending. car is clean and under mileage (just barely). buy out is $19,100. Current certified used dealer asking price in DC is 22,900. there are alot of them out there.... Do I have any leverage on buy out price? by the time they prep my car, certify it used and put it on the lot and they sell it for $21-22, there might be $1000 profit in it for them...

How/who do I approach to negotiate a lower buy out?

thanks
Sean

robertw477

You cant negotiate the buy out. Your deal is with American Honda not the dealership. Technically you would have to return the car to them and then if you want the car try to work something out. Most people lease because they dont want to buy. The dealer might still want to make the $1000+ they can on the car no matter how many they have. Doesnt matter to them American Honda covers their overhead for the car on the lot...

Good luck

Rob

mcmark

After negotiating a good purchase price - below invoice, the dealer is telling me the Honda lease programs are based on the MSRP.
What gives?
Which factor in the lease calculation should they be adjusting to factor in the lower price that I have negotiated?

ccnj1

Hi Car_man:

I have an 04 Odyssey that I am currently leasing for $259.88 a month. It is a cloth interior with RES. They were hot to get rid of them in 04 to make room for the new design.

I am going to go over mileage, as I have it until Aug. 7th, and I am currently at 23,880. I have been trying to get a new lease deal that is affordable.

Right now, a local Honda dealer has an offer of $369 with $2000 down plus tax, documents and license and registration so about $2500 down. The mileage is only 10,000 a year so that won't work for me. However, they said they would negotiate the mileage. It os only good until tomorrow.

The dealer I have my current lease through is asking me to wait until July or even August to see if there will be a good program out there. My question is, Do you think they will come up with something for the EX-L RES by the time my lease is up? (Aug 7th)

Best prices I got in NJ were

EX L
$27,350 to buy
28,990 tax
$339.00 plates

29515 out the door

$460 mo.


LX

$22,700
$24586
5yrs

Thanks in advance,
Cathy

mcmark

I negotiated a purchase price for the Odyssey. I then told them I wanted to lease. When I saw Initial Cap Cost, it was $1,000 higher than the negotiated price. Dealer said is was because I wanted a $0 down lease, and that the $1,000 was the first month's payment and the Registration. Our monthly payment is a little over $620, and I'm guessing registration is $350-$400...but I'm not 100% comfortable that this is accurate.
Can you tell me what you think.

thanks!!

eg67

Cathy,

I doubt that Honda will come up with a program that is better than what you can nagotiate yourself these days. In NJ almost all dealers are selling any Odyssey below invoice.

Planet Honda is selling EX-L RES for 28,200, but they have some BS fees. I got the EX-L RES at DCH Kay Honda for $370 a month, plus 3K at signing. First I worked on the selling price, then converted to a lease. At the end selling price was 28,400 with the only fees being 253 motor vehicle fee and 137 documentation, plus of course the 595 Honda acquisition fee.

eg67

The residual (buy-out) price is based on the MSRP. Once you know what the residual amount is, subtract it from the nagotiated price. You should only be paying the lease on this amount, the difference between the nagotiated selling price and the residual which is based on MSRP. There are some good calculators and articles on this site that can help with this.

CarMan@Edmunds

The numbers that you posted are correct, bdc9475. The .00270 money factor is for consumers who qualify for Honda Finance's "Super Preferred" credit tier and pay a security deposit, the .00280 factor is for leases with the deposit waived. Vehicles' residual values are essentially set in stone. Individual dealers do not have the authority to alter banks' resids.

Car_man
Host
Prices Paid Forums

CarMan@Edmunds

Hi mcmark. The selling prices of leased vehicles absolutely can and should be negotiated, just as if you were financing or paying cash. The lower your vehicle's selling price is, the lower your interest charges will be and in turn the lower your lease payment will be. On the other hand, your vehicles' residual value (which is used to calculate the depreciation portion of your monthly payment) is based upon a percentage of your vehicle's full MSRP.

Car_man
Host
Prices Paid Forums

CarMan@Edmunds

Hi Cathy. The salesperson that you spoke with only claimed that they deal they quoted you was only good for one day because he or she was trying to create a false sense of urgency in you to get you to commit to leasing a new vehicle ASAP. Honda's June lease program is scheduled to run through July 5th. You should have until then to accept this deal, and given the fact that Honda's current lease program for the Odyssey is nothing special you should not even feel too pressured to commit by that date. Honda is not currently providing any sort of lease support on the 2006 Odyssey. As you have been able to tell, its current lease program for this model is way worse than the amazing one that you were able to take advantage of a few years ago. If I was in your situation and I wasn't completely sick of my van, I personally would consider extending my current lease for another couple of months to continue to take advantage of the attractive monthly payment. Honda Finance usually lets lessees extend their leases for a short period of time. The more time you can squeeze out of the great deal that you got on your current Odyssey the better. Of course the fact that you are over your van's allowed mileage complicates things a little bit, but if you can cut down on driving it as much for the length of your extension as a bonus you might even be able to avoid having to pay a substantial excess mileage penalty.

Like I said, you don't have much to lose by waiting to lease a new Odyssey. Its lease program can't get much worse than it is right now. Perhaps Honda will introduce additional dealer cash (more than the $500 that is available on it right now) when its new July programs are introduced. Or perhaps the 2007 Odyssey will be less expensive to lease when it is introduced. The one thing that absolutely would not do is lease a new Odyssey for five years with only 10,000 miles per year. From the sound of it, you would be WAY over your mileage allowance at the end of a lease like that.

Car_man
Host
Prices Paid Forums

CarMan@Edmunds

Hey mcmark. If you don't want to pay a thing at lease signing, then you would have to roll your van's first month's payment, Honda Finance's $595 acquisition fee, and any required state taxes or fees into your vehicle's capitalized cost. Furthermore in order to get your van's security deposit waived, you would have to use a money factor that is .00010 higher than Honda Finance's buy rate to calculate your vehicle's monthly payment.

Car_man
Host
Prices Paid Forums

ccnj1

Thanks so much for your response. Do you think I should extend for a year or less? When will the 07 come out? I have someone coming to inspect the 04 on the 25th of this month. If I decide to extend, then I will have to do the next mechanical check up asap.

Cathy
Ps: Any idea how my froiend who leases a Toyota SUV is not responsible for maintenance? All she does is change the oil.

CarMan@Edmunds

You're very welcome, Cathy. I don't know if Honda will let you extend your current lease for an entire year. As long as you are not sick of your van, why not extend your lease as long as possible? You are easily paying $100 a month less for your Odyssey than it would cost to lease a new one. I am not sure of the exact date that the 2007 Odyssey will begin to arrive at dealers, but it should be within the next couple of months.

As a lessee, you can easily get away with just changing your vehicle's oil every 3,000 miles and skipping all other maintenance. Oil changes are important because vehicles can get very messed up without them. I personally never do anything to my leased vehicles other than change the oil.

Car_man
Host
Prices Paid Forums

stevern

Cathy,

You can definitely extend your lease for up to a year with Honda Financing. You essentially are leasing month to month and can get out at any time during the 12 months without penalty. The only thing they require is that you give 1 month notice prior to turn in (which I'm assuming if you lease another Honda product, they may not hold you to this so strictly.)

I did the same on our 04 Odyssey last month. Hopefully the lease deals improve soon.

Steve

karpin

Would one of our dealer rep friends please let us know the new program rates when they are released today for the period beginning tomorrow? I am looking to lease an EXL (no nav or RES) and I am trying to see what Honda has done with the money factor and residual for this model for July. Also, is there any new or additional dealer money for July? Thanks!!!

ccnj1

for another month. I was hoping for a better deal. Oh well, guess I am keeping my 04 for another yr.

Cathy

kkirtland

We are currently leasing a 2002 Odyssey which has 63,000. Our lease is up in about 30 days and we are looking at leasing a new Odyssey EX-L RES. My question is do we have any power in the negotiation process with the dealer on our current vehicle since we are currently leasing it (through Honda Finance)? It is in good shape with only minor repairs necessary (probably worth $13,000 approx acc. to Edmunds). If so, can you suggest an effective way of handling this with the dealer to get the best bottom line price? Thanks for your help!

tac_7

I am currently interested in a 2006 Odyssey EX-L RES w/ DVD. I am working with a dealer right now and I need some advice on his quote. I have a 2002 Tahoe that I have negative equity in. I am rolling $5300 but am putting $2000 toward the negative equity to take it down. He told me he would sell me the car for $28775, MSRP is $32100. Hei s quoting me $550/month on a 48 month lease with 15,000 miles. I had used a lease calculator and it showed $481. Is there something I am missing here? Any advice would be helpful.

jelly238

Car Man!
You are awesome for helping us all out.
Can you give me an aprox monthly payment for a lease on an Ex-L with dvd and nav
MSRP- $35,145
Quote- $30,100 dest is included
$2,000 down payment (I know you don't recommend, but I want to lower my monthly.)
7% tax in NJ
I am planning on keeping this for awhile so can you give me a price on a 48 month lease and also a 60 month lease? Thank you!

mrthnman

I am looking for a 36 month lease on the EX-L RES , anoyone know what a good price would be or a good dealer to reccomend for this ?

travelguy

I am looking to lease a 2006 Odyssey EXL with NAV/RES for 36 months and 15K/year.
Willing to put $3000 down.

Looking for advise as to what the best deal would be in the Chicagoland area.
Many Thanks

tac_7

We received a quote on a 2006 EX-L w/dvd and have a question. The MSRP is $32,395 and the negotiated price is $28,775. The dealer is telling us the residual is $16,800 and the money factor is .00249. We were under the impression that the residual should be higher. He was around $470 for 48 months and $530 for 36 months. Can you tell us if the residual and money factor seem approriate to you? Thanks.

nyer

We live in Huntington, NY (Long Island), and are in the market to lease an Odyssey EX-L with DVD/RES. When speaking with a local dealership, they quoted me a monthly pmt of $600. This includes a selling price of $31, 400, money factor of .029, term of 36 months/12K miles, and a residual value of only 51%. The residual value right away jumped out at me as being too low, especially for a Honda, so I pointed this out to the salesperson only to get the response that the bank sets this amount and it is final. I'm not buying this, but am looking to you for confirmation.
Next factor is that our lease is up on our 2004 VW Passat Wagon in December '06. Instead of rolling the remaining pmts into the new Odyssey lease, (which the quote above includes ($350/mo. X 5mos), can I prepay this remaining pmts directly to Volkswagon without penalty? If there is a penalty, any idea to what degree? Also, is it true that Honda only offers 12K or 15K miles per year and not 10K? The bottom line is that we like the vehicle and want to lease it, but at a fair price. Unfortunately, the dealership part of the equation can spoil the fun of getting a new car. If I am leaving anything out that I should be thinking of to ensure I can negotiate the fairest deal possible please let me know. Thank you for your help.

guest

I am in the market for the same exact car , I live in Brooklyn & I just started to get quotes , the one quote I did get was for $521 a month including tax no money down , I try to ignore all the residuals, invoice prices & just compare monthly payments , I am hoping to do a little better than $521 , I'll let you know , I am trying to get more quotes this week , I dont want to sign till 7/31

doc2426

I have been reading the board for the last couple of weeks in preperation for my '02 LX lease running out in August.
I went to my local dealershuip last week to price out the LX leasing options.
This quote was from a dealership in Brooklyn, NY
After about two hours I walked away with this quote:
36 months
1,800/down (inlcudes tax, title, destination and my first months payment)
12k miles
They will also pick up the last months payment on my current lease.
and I got the roof rack
my monthly payment was quoted at $340

I'm as close to clueless as you can get with this, so I'm curious if that seems like a good deal.
I called around to two to three other dealerships in the area nad was quoted right about the same price.

odydriver

Does anyone know what happens to an outstanding DMV registration bill once you turn in a lease? I turned my leased Odyssey several days before my registration fees were due. I figured that the car was no longer mine, but I did not think through the procedural mechanics of what happens with the registration, etc.

It's been over a month since I turned in my car, and I just received another bill with a ton of late fees. Has anyone dealt with this issue? Who do I talk to clear this up -- I mean, the car isn't mine and I don't have it anymore.

Thanks in advance for your help.

BTW, I replaced the 2004 Ody with a 2006 -- I bought this time.

jsevenseven

Car Man:
What are the residual values for the Odyssey EX-L, EX-L RES, and EX-L NAV/RES for a 36 month 12,000 mile per year lease?

Thanks,

glenn06611

Hi Car Man:

Need your advice on a 2006 Odyssey EX-L RES (DVD) lease quote that we were just given in CT (Fairfield/New Haven Counties):

Here are the details from a Branford, CT Honda dealer:

MSRP: $32,945.00
Lease End Value %: 55.00%
Exp. Annual Miles per years: 12,000
Mileage Penalty: $0.10
Lease End Value: $18,119.75

Lease Term: 36 Months
Selling Price: $29,200.00
Cap Cost Reduction: $3,000.00
Acquisition Fee: $595.00
Adjusted Cap Cost: $ 26,795.00

Lease Factor: 0.00310
Tax Type: M
Sales Tax Amount per month: $22.81
Base Monthly Rental: $380.22

Total Monthly Payment: $403.03
Security Deposit: $0.00

DMV Fees: $155.00
Doc Fee: $289.00
Tax on fees: $26.62
Cap Reduce Tax: $180.00

Amount Due at start (with a $3k cap cost reduction): $4,053.67

My questions:
1) The lease factor seems high. Is it the current rate that Honda Finance is using?
2) I cannot get 2007 Odyssey pricing yet, but I'm thinking that the residual value will be in the 61% range for this model. True?
3) If so for the 2007, do you think that a better lease deal on an '07 is likely to be had in September or October? Even if they only will do a deal at invoice +$800 to $1000 or so? Maybe we should wait for the '07's? What do you think, based on your knowledge of last fall's new model year roll-out?

Our lease on an '03 Odyssey EX-L ends on 9/20/06, so we need to make a decision soon. Thanks so much!

Glenn06611

mcjazzzy

Hey Glenn,

Go to leaseguide.com and go to lease calculator..I entered your figures in and the lease factor is way too high..it comes to almost 7.50%..you can finance cheaper than that..for a lease it should be in the 2's or 3's..that was what I was told when I went to price one out a couple of months ago..so check it out..

Milly

glenn06611

Yes, I had pointed out to the dealer that the rate was close to 7.5% and he said that was what Honda Finance uses. And another CT dealer quoted me a lease factor of .0033 (7.9%!) on a 42 month lease for the Odyssey EX-L with RES!!

Good advice to use leaseguide.com. I have been doing so for several weeks now, and it is a great tool to help you understand what they are really doing in these lease quotes. Still looking to see what help our forum moderators can give me on my questions! Thanks.

edfr

How do you calculate a lease? I am in the market for a 2006 Odyssey either EX-L R&N or Touring R&N. Thanks for any advice

edfr

I am in NJ and ready to lease a Odyssey EXL-R&N 2006. Here is what I'm looking for

15K/year miles
36 month lease
MSRP 34595.
Inv. 31500.
Dest 595
Tax 7%

Are the following numbers right?

Honda Interest Rate 2.9% (right?)
Money Factor .00255
Residual Value 55%

If I am understanding things correctly, the dealers have a $500 market support from Honda then they get 2% from the MSRP from Honda as well? That being the case, I think $31000 is a fare price and if I offer $475/36 month with 15K I'm not being unreasonable. This would include tax, destination charge, everything.

Please tell me if my offer is valid. I also read about $3000 marketing incentive but I don't know exactly if what that is.

I went to the leaseguide.com and I must be missing something because it saying a lease should come up at $460 and that seems lower than all the forum info I've read HELP!

CarMan@Edmunds

Here's the information that you're looking for, jsevenseven. Honda Finance's current buy rate lease money factor and residual value for a 36 month lease of a 2006 Honda Odyssey EX-L without RES or NAV with 12,000 miles per year are .00293 and 57%, respectively. The money factors are the same for any other version of this van, but the residual value for an identical lease of an 06 Odyssey EX-L RES is 55%. It is 53% for the '06 Odyssey with RES & NAV. When negotiating your lease on this van, don't forget to take the $500 dealer cash that is available on it into account.

Car_man
Host
Prices Paid Forum

CarMan@Edmunds

Hi glenn06611. I believe that the dealer invoice price of the van that you described, a 2006 Honda Odyssey EX-L with the entertainment system, is currently $29,751. You were quoted a price of $29,200 on the van that you are considering. This is right around dealer invoice once the $500 dealer cash that is available on this model right now is taken into account. Of course, they did tack a $289 doc fee in there for some profit, but overall this is still a good deal. The money factor that you were quoted is pretty close to Honda Finance's current buy rate for this model. Its current money factor for the '06 Odyssey is .00303 for "Super Preferred" tier customers with the waiver of its security deposit requirement. Overall I would say that this is a good deal, but I would eliminate the capitalized cost reduction if I was in your shoes. I always advise community members against making large cap cost reductions on leased vehicles because in the event that their vehicle is stolen and never recovered or totaled in an accident their down payment essentially disappears.

The 2007 Odyssey will have higher residual values, but it doubt that its resid for this term will be a full 6% higher like you mentioned. All things being equal, namely the selling price, the higher residual value would make the 2007 model less expensive to lease. Whether the '07 model actually ends up costing less to lease will depend upon what sort of price you are able to negotiate on one.

Car_man
Host
Prices Paid Forum

CarMan@Edmunds

Greetings edfr. The following article contains a detailed explanation on how to calculate lease payments: Calculate Your Own Lease Payment. Check it out and let me know if you have any other questions.

Car_man
Host
Prices Paid Forum

CarMan@Edmunds

Hey edfr. Unfortunately, the 2.9% special financing rate that Honda is currently offering on 36 month loans of the 2006 Odyssey is not available on leases. Honda is not currently providing any sort of lease support on this van. As a result, if you were to lease one through Honda Finance right now, you would have to use its standard lease program. Honda Finance's current buy rate standard lease money factor for 36 month leases is .00293 for consumers who qualify for its "Super Preferred" credit tier and pay a security deposit at lease signing. This is equivalent to an interest rate of around 7.03%. Also, Honda Finance's current 36 month, 15,000 mile per year residual value for a lease of an '06 Odyssey EX-L with the entertainment system and navigation is only 51%.

Honda is not providing a $3,000 cash incentive on the '06 Odyssey right now, just the $500 dealer cash.

Car_man
Host
Prices Paid Forum

mrhankuk

Been looking at the EXL model for some time and wanted to make a decision on leasing. Was in a dealership last night and was told if we didn't make a decision by 8/31 we would miss on the great deals.

From everything I read there are no "great deals" on Honda Leasing right now.

Should we wait until the '07s come out or go for the '06s available?

Thanks,

Mark

davidd3

Mark,

I'm in the same boat. I have resolved to wait for the 2007s. As for the 2006s, while now may be a great time to buy one, now is a bad time to lease one. High money factor + low residual value = high monthly lease payment notwithstanding the large discounts. It is hard to say if the 2007s will be less expensive to lease at first. The cons are as follows: MSRP of 2007 Ody EXL will be $400 higher, dealer discounts on early 2007s will likely not be as strong as late 2006s, and the $500 manufacturer to dealer marketing support will likely be gone. The pros are that the residual value of an early 2007 will be higher than a late 2006. As for the money factor, I don't think it will be any worse than it is now (more than 7%) and I hope that it will get better. Many other trackers of this forum must find themselves in the same situation. I would welcome their thoughts on the issue.

David

mrhankuk

Does anyone know when the 2007s will be hitting the Dearlership?

Is there a way to get the estimates on the residuals for the 2007s?

Thanks again!

Mark

davidd3

"Does anyone know when the 2007s will be hitting the Dearlership?"

In September. So any day now.

"Is there a way to get the estimates on the residuals for the 2007s?"

No way but to wait and see what the lease program will be. We can probably find out soon after Labor Day. My guess is that residuals will be in the 60% neighborhood if the past is any indicator.