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Lease inception basically means lease origination or the point in time at which the lease is signed. Probably not a very good word choice on my part. At this time, up front charges are due and payable. If it's a sign and drive lease, I usually pay only TTL charges.
Hope this clarifies things.
John
I thought it was part of the Adjusted Capitalized Cost, of the Excel lease formula. I'm building mine at this time, which by the way yours is very good. So, it became unclear to me where "lease inception" is placed.
Thanks again for your help.
-Fletch
Just wanted to say that I love what you guys are doing with this forum. I have learned so much just by browsing. Thanks for giving us the info to better prepare when going to the dealership.
I do have one question though, does anyone know the money factor for the 2008 Pilot. I currently live in Dallas,Texas and would like to lease a Pilot VP. I don't really care much for the add ons or extras so I believe the VP will fit me nicely. Is the following deal worth the hype.
Closed-end lease for 2008 Pilot 2WD VP Automatic Transmission (Model YF2828EW) for $299.00 per month for 36 months with a $2,105.00 capitalized cost reduction available to customers who qualify for the AHFC Super Preferred credit tier. Other rates/tiers are available under this offer. $2,999.00 total due at lease signing (includes first month's payment, security deposit, AHFC upfront acquisition fee and capitalized cost reduction; total net capitalized cost and base monthly payment does not include tax, license, title, registration, documentation fees, options, insurance and the like). Security deposit waived in lease example. Not all buyers may qualify.
Subject to limited availability. Through 10/1/2007, to approved lessees by American Honda Finance Corp. Closed end lease for 2008 Pilot 2WD VP Automatic Transmission vehicles (Model YF2828EW), for well qualified lessees. Not all lessees will qualify. Higher lease rates apply for lessees with lower credit ratings. MSRP $29,030.00 (includes destination) less the capitalized cost reduction (which may be paid by the suggested dealer contribution) resulting in actual net capitalized cost $23,997.83. Dealer contribution may vary and could affect actual lease payment. Taxes, license, title fees, options and insurance extra. Total monthly payments $10,764.00. Option to purchase at lease end $15,676.20. Lessee responsible for maintenance, excessive wear/tear and 15 cents/mi. over 12,000 miles/year for vehicles with MSRP less than $30,000, but for vehicles with MSRP of $30,000 or more, mileage cost is 20 cents/mi. over 12,000 miles/year. See dealer for complete details.
What do you think I should do. What info should I get from the dealership to make a decision on whether to lease or continue searching. Upgrade or what? Thanks for your help
Bochito_e
36 months, 15k miles, residual = .50
Honda's Lease Rates (36 months):
Super Preferred: 1.71%
Preferred: .0029
Acq Fee: $595
MSRP: $34,840.00
PRICE: $33179.00
Govt Fees: $16.50
Taxes: $294.84
Doc $289.00
Tot Init PMT: $3,514.30
ADJ RESIDUAL $17,420.00
Is this a good deal or look else where?
EX-L with navi (front wheel drive):29,016
EX-L with navi (four wheel drive):30,282
Give them 1% over invoice price. This is a lease so avoid putting a down payment. You have a good money factor of .00171. If you drop it to 1% invoice with that money factor and no down payment you will have a decent price. You must bargain with them.
If you do it right you can have a monthly payment of $534 with no money down.
I do have a conceptual question if anyone has any thoughts. Why is it that when you put aftermarket options (we got the side steps) on a leased car they are not just added into the lease calculation. I had just assumed that they would increase the price, residual value, etc. and that the payment calculation would be adjusted to reflect this. Essentially the step would be depreciated with everything else. This makes sense to me as at the end of the lease, I will give them back with the rest of the car. Of course this isn't how it worked out. The price and residual were not adjusted at all and the entire cost of the step will be paid over the course of the lease. So it seems to me that we will be "renting" the vehicle, but "buying" the steps, but at the end of the lease we won't own the steps and will still have to give them back. Doesn't make sense to me. I can kind of see that we get value from it not being figured into the cost and residual if we buy the car at the end of the lease, as we will be able to buy a slightly more valuable vehicle for cheaper, maybe we break even in this case. But if we give it back, don't we get screwed?
None of this will change anything. I'm not worried about the ~$10/month difference and still think it was a good deal. I asked this of both the sales and finance people and nobody could answer any better than "that's how it is." I don't doubt that's how it works, I'm just more curious than anything as it doesn't make sense to me.
was looking for Residual percent.. as well as 'money factor'/interest rate
also did some research but noticed that there isn't any 'dealer cash' anymore on the '08...
any updates on this info much appreciated..
Honda's current advertised lease for the 2008 Pilot is a pretty good deal, but like most manufacturers' advertised lease payments I suspect that savvy consumers who are in an area that has a decent level of competition can shop around and negotiate a lower selling price than the one that was used to arrive at the monthly payment that was mentioned in the ad. Negotiate as low a selling price as you can on the Pilot that you want and then have the dealer that gives you the best price calculate your lease payment using the aforementioned money factor.
Car_man
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Prices Paid: Buying & Leasing Experiences Forum
Car_man
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Prices Paid: Buying & Leasing Experiences Forum
Let's take a look at the deal that you were offered. Honda Finance has enhanced its special lease money factor for the 2008 Pilot for the month of October. Its current buy rate for the 2008 Pilot EX-L 2WD is .00121 for consumers who qualify for its top credit tier and pay a security deposit at lease signing. Make sure that the dealer that you are working with uses this factor to calculate your monthly payment.
Now let's take a look at the selling price that you were quoted. I believe that Honda's dealer invoice for this truck is $31,640. That puts the selling price that you were quoted at around $1,500 over invoice. If you are in an area that has a decent level of competition, there is a decent chance that you can beat this price by a couple hundred dollars. I personally would shoot for a price of around $500 to $1,000 over invoice and see what happens. You should be able to get an idea of what sort of price you can expect to negotiate on this truck by visiting the following discussion: "Honda Pilot Prices Paid and Buying Experience".
Car_man
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Prices Paid: Buying & Leasing Experiences Forum
Car_man
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Prices Paid: Buying & Leasing Experiences Forum
Honda is still providing $1,000 dealer cash on the 2008 Pilot, but it is not compatible with Honda Finance's special lease program.
Car_man
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Prices Paid: Buying & Leasing Experiences Forum
I have a leased 2004 Pilot EXL with a residual value of $18,517. The Cap Cost was 29,181. It was a 3 year lease, and the miles on the car are 38,500. The lease is up at the end of October. Either thinking of buying this out or getting into an 08 or 07 CR-V.
The Edmunds, NADA, and KBB market values for the Pilot are all around $20,500.
Any advice would be much appreciated.
Thanks-
Gregg
1st payment including tax, registration and first monthly payment is $ 1625
monthly payment: $ 636
lease term 36 months
miles/year: 12000
this is before negotiating the price.
Do you think that I should go ahead and negotiate, and how far should I aim for?
Someone told me to wait to Nov or Dec that I might get a better price or a better deal for Toyota highlander or Mazda CX 9.
This is my first lease and my first new car and I am still confused. Any ideas?
:confuse:
- 2008 Pilot SE 4WD
- NYC Area
- 36 Month Lease
- At Signing: Tax, Honda Finance Acq Fee ($595), DMV, first month
- 12,000 Miles per year
- Monthly Payment: $348
We bargained them down to $500 below invoice and with the .00155 Money Factor and a 56% residual it all seems right (according to the various lease calculators out there). To tell the truth we hardly bargained at all. I had the distinct feeling I could have gotten another couple of hundred off the price. But compared to other dealers the pricing was good enough to make me stop bargaining.
Is there some new level of lease support from Honda that is making this happen? With the new design coming online and the Highlander so popular, maybe Honda is looking to move these things.
But considering this has a moonroof and a DVD player, the price seems pretty incredible.
Opinions? I'll report back tomorrow if I end up unhappy.
Above you noted that for a 2008 Honda Pilot VP 2WD through Honda Finance for 36 months, its buy rate lease money factor should be .00121, assuming that buyer qualify for Honda's "Super Preferred" credit tier and pay a security deposit at lease signing. Would this apply to the 4WD EX-L W/Navigation? Also, assuming a 12,000 miles/year, would the residual value be %57? Does Honda publicize these lease deals, how would a customer come to know about this information (besides this message board)? Thanks.
Jimmie4
Got to the dealership and everything seemed hunky dory (except for a cosmetic issue with the Pilot which they whisked away to fix). Anyway, just when we were about to finish the sales manager called us in and reported that an error had been made. They had been working off the wrong invoice price (an EX price, not an SE) and the deal couldn't happen. We were understandably -- and justifiably -- upset (and we had their offer in writing).
Anyway, either we are very gullible, or these guys are great actors. We ended up believing them. They offered us a lease based on the invoice price of the Pilot. It came to $388 per month (with all other terms same as referenced in the original post). When we asked about increasing the lease to 15000 miles per year they offered to do it for $15 more per month. They also offered us four free oil changes. It still seemed like a pretty good deal and we took it.
The cosmetic issue ended up being unfixable, so we are going back either tomorrow or Saturday to get a different vehicle.
So are these guys the greatest salesmen of all time, or did they legitimately make an error? And are we suckers for getting fooled by a bait and switch, or are we nice people for accepting a decent offer and not demanding the original great deal?
I suppose that either way, it is pretty much a positive (or at worst neutral) influence on our karma!
I'll report back after we actually have the car in hand. This story ain't over yet.
By the way, I haven't posted the dealership's name intentionally. Once this is all over I will do so...
It was Staten Island Honda.
Besides shlepping out there and the $9 toll, it all went well. Car was great. Final deal was real.
I'm going with the "they made an honest mistake" theory.
Final deal:
Highlander SE (DVD, moonroof, mats)
Tax, First Payment, DMV up front.
$404 a month for 36 months
15000 miles per year.
Four free oil changes.
Seems like a good deal. Was it?
Alabama
MSRP 34,880
cap cost 31,639
50% residual
36 mth/15,000yr
money factor 00121
due up front $887 ( admin fee $595, billing & clerical$399 and registration $16.50)
monthly payment $471.05
M
$595 Bank fee
$199 Doc Fee
$199 Reg Fee (NY Reg)
$445 First Month Payment
------------------------
$1438 Total out of pocket
The payments are $445/mo including 8.25% tax.
I had the same terms from Mahwah and Staten Island but neither of them could go below $453/mo so I think I got a good deal. Also, I was very skeptical at first but the salesman was very honest. The strange thing was when I looked at my lease the residual was around 61% with the money factor at .00155. I don't have the lease in front of me but the price was $28000 or so and the residual was $18000 or so. When I plugged in the rest of the numbers to the lease formula I figured they could have gone as low as $437/mo but since 2 other dealerships couldn't come close to $445/mo I wasn't bothered by the extra $288. If anyone needs more details I'll gladly provide them.
I will be deciding between a CR-V and the Pilot and would greatly appreciate the November 2008 money factor and residual for this car (2008 pilot EX-L 4WD - no nav and no ent.) to aid in figuring out how they lease out. Looking for 36 months and 12k miles per year.
Thanks!
Thanks again!
Since you are new to leasing, you definitely should check out the following informative articles that are available here at Edmunds.com prior to getting into any serious negotiation with dealers: 10 Steps to Leasing a New Car and Calculate Your Own Lease Payment.
Car_man
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Prices Paid: Buying & Leasing Experiences Forum
Car_man
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Prices Paid: Buying & Leasing Experiences Forum
Car_man
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Prices Paid: Buying & Leasing Experiences Forum
Car_man
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Prices Paid: Buying & Leasing Experiences Forum
Car_man
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Prices Paid: Buying & Leasing Experiences Forum
Car_man
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Prices Paid: Buying & Leasing Experiences Forum
Pilot 4WD VP
MSRP $29,630
Sale Price $27,800
Residual Value $16,296.50
Base Cap. Cost $2,269.55
Total Money out of Pocket $3,000
Money Factor 0.00117
Base Payment $322.73
Total Payment $355
I have been emailing alot of dealers in west pa and i am suprised but i cant seem to do much better than this offer above. I'm not saying it is a bad offer just thought i could do better. Can a host give me an opinion.
Thanks for responding to earlier message.
When I asked AHFC for November MF & residual they said you have to get it from dealer. AHFC said it gives base amount to dealer who then may add on to it, (increasing profit) . AHFC claims it just buys contract from dealer. It seems that when MF declines, so does residual,.eg., the last 3 months.
I live in Florida where dealers are requiring $599 for Doc. Fee, but will sell Pilot EXL 2WD for invoice of $29652. (MF .00082 and Residual of 51% as you indicated.) In light of Doc. Fee amount and Holdback, would an offer below invoice be reasonable? iF so, how much?
Thanks,
Jimmie4
Car_man
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The dealer invoice price of a 2008 Honda Pilot VP 4WD is $26,896. That puts the selling price that you were quoted at around $900 over invoice. This isn't bad, but if you are in an area that has a decent level of competition, I would not be surprised if you were able to shave another couple hundred dollars off. Make sure to stop by the "Honda Pilot Prices Paid and Buying Experience" discussion to see how much other community members have paid for similar trucks lately.
Car_man
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Prices Paid: Buying & Leasing Experiences Forum
Car_man
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Prices Paid: Buying & Leasing Experiences Forum
Thanks All.
I'm looking to lease a Honda Pilot EX-L FWD sometime between now and the end of the year, and am wondering what kind of Money Factor & Residual AHFC is offering, so that I can be in good shape to negotiate with the dealer. I live in Dallas, TX.
Can you tell me the Rez/MF for a 3yr/45kmi & 4yr/60kmi lease?
Thanks,
Thierry
The lease price i was quoted seems high to me and i am hoping that you can tell me what i should be paying. I received a quote from a dealer on a new lease for an '08 Honda Pilot EXL AWD with navigation system of $480/month for 36 months with $2000 down and 15K miles. The total price of the car offered is $32,115 (1K below dealer invoice). The sale price seems great but the lease price seems way too high to me.
This is the first car i've ever purchased so i have no idea what i should be paying. I would greatly appreciate your help.
Thank you!!
Frankly the other two reasons I've always avoided leasing is 1) I dread the thought of worrying about nicks and scratches on our returned vehicle and what the dealer might charge us for that; 2) all the terms and "stuff" has always seemed very confusing to me - as if it's a way for the dealer to hoodwink the consumer. I consider myself to be of at least average intelligence, but when I start looking at "cap rates" and what-not, I just lose interest and say "aww to heck with it, just let me buy it".
Thoughts?
Thanks.
Also, here is a way to look at. Money factor of .0017 by Honda equals 4.08% rate. Money factor by 2400 gets ya that. So that is definately less than your home equity. At the end of the lease buy the car outright if ya want and you got some cheap money and you know the car your purchasing from new.
I'm not sure about all the exact details MSRP ~35,000, Sale Price ~30,000, Residual Value 51%
but the bottom line deal is:
$1,000 out of pocket + 35 payments of $442 all taxes and fees are included.
I'm also returning a 05 PILOT AWD EXL which I still owe $644.15 on, which they will cover.
any comments are welcome.
Preston honda EX 4WD 3 yr/ 36000 lease
$3000 down/
$328 per month including 7% sales tax
This was after an offer of 348 was sitting on the table for two weeks
I believe Honda has released its December lease programs.
Can you tell me the following for a 24-month lease (15k miles per year) of a 2008 Pilot EX 4WD? I'm in NJ.
1) Money Factor
2) Residual
Thanks.
The payment dropped $20 and they dropped the cap reduction by a thousand?
Looks sweet to me.....
What is the fine print?
Please post the December numbers (cash, residual, money factor) for the 2008 Pilot EX-L 4WD - 36 months, 12k per year. Looks like it got better this month.
Thanks.
Just want to know if deal that I got past Saturday is good?
I got 2008 Honda Pilot VP 4WD in Brooklyn, NY.
$339.00/month
0 down, tax included
1200 from pocket (bank fee, 1st payment, title fees)
36 month/ 12000 miles per year
Thank you