Honda Pilot Lease Questions

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Comments

  • dwynnedwynne Member Posts: 4,018
    It is the discount on the sticker. Our VP had an $800 discount on the sticker, so the actual MSRP is less the $800, but generous AHFC uses the MSRP NOT COUNTING the discount when figuring the residual dollar amount.

    If you add $800 to the MSRP you see online then calculate the residual it should be spot on.

    Dennis
  • dwynnedwynne Member Posts: 4,018
    It is the discount on the sticker. Our VP had an $800 discount on the sticker, so the actual MSRP is less the $800, but generous AHFC uses the MSRP NOT COUNTING the discount when figuring the residual dollar amount.

    If you add $800 to the MSRP you see online then calculate the residual it should be spot on.

    Dennis
  • madaddymadaddy Member Posts: 4
    there is an $800 sticker price kick back for the RSE (DVD player) on the current SE models this should explain the difference
  • lease_billlease_bill Member Posts: 11
    OK,

    last trip to the dealer and here's the final deal we've got.

    Honda Pilot EX-L 4WD with Navigation

    Terms of the lease: 36 months 12K miles

    MSRP: $35,645
    Invoice: $32,270

    Destination Charge: $645
    Adjusted MSRP: $36,290
    Adjusted Invoice: $32,915

    Sale Price: $31,157
    Discounted Below Invoice by: $1,758 (love it!)

    Residual: $18,502

    Money Factor: 0.0003
    Interest Rate, %: 0.72% (sweet!)

    Cash at signing: $1,300 (1st month, registration, bank fee)

    Monthly Payment w/o Tax: $380
    NY Tax Rate: 8.375%
    Monthly Payment: $412

    Keep in mind that there was also limited inventory of EX-Ls, only three cars on the lot at that particular dealer. I called around and none of other dealers had dark colors (black or dark gray) in stock.
  • tsinoytsinoy Member Posts: 24
    Got a word from one of the dealer, there is an $800 VP reduction which they added back to compute for the RV thats why it came up to be $18592... anyway closing a the deal soon.. thanks a lot dennis and kyfdx!
  • dwynnedwynne Member Posts: 4,018
    It is the discount on the sticker. Our VP had an $800 discount on the sticker, so the actual MSRP is less the $800, but generous AHFC uses the MSRP NOT COUNTING the discount when figuring the residual dollar amount.

    If you add $800 to the MSRP you see online then calculate the residual it should be spot on.

    Dennis
  • dwynnedwynne Member Posts: 4,018
    Sounds like a winner to me. At the low rate, I would roll in the bank fee (at least) into the deal and maybe the other fees and perhaps first payment. Where else can you borrow money for 0.71% for 3 years?

    Dennis
  • dwynnedwynne Member Posts: 4,018
    I am guessing you are getting the SE? The 4WD MF I posted is wrong and it should be 0.00030? Hennessy?

    Dennis
  • dwynnedwynne Member Posts: 4,018
    I can't edit the message now, but the MFs are the wrong ones - they should be 0.00030 for the 4WD models shown in the deal.

    Note that the payments should stay the same with the fees rolled in, just the stated MF is wrong. They have rolled the bank fee in and perhaps either rolled the security deposit or bumped the MF up by 0.0001 to have the deposit waived.

    Dennis
  • tony1034tony1034 Member Posts: 32
    lease bill, sounds like a good deal.

    I am in NJ and picking up a 2008 EX-L AWD this Friday....

    Here is my deal:

    Honda Pilot EX-L 4WD (no RES or NAV)
    Terms of the lease: 36 months 15K miles (wanted the extra mileage and its only $20 more a month. Better than paying over mileage fees)

    MSRP: $33,445
    Invoice: $30,282
    Ad-ons: $745 (chrome step-bars. My wife liked the look and they can be part of the residual value so you only end up paying like $432 for them or $12 month)

    Destination Charge: $635
    Adjusted MSRP: $34,825
    Adjusted Invoice: $31,662

    Sale Price: $31,162
    Discounted Below Invoice by: $500 (with the 1K lease incentive the dealer is making $500 plus any hold-back)

    Residual: $17,761 (51%)
    Money Factor: 0.0003
    Interest Rate, %: 0.72%

    Cash at signing: $825 (1st month, registration & doc fees)

    Monthly Payment w/o Tax: $406
    NJ Tax Rate: 7.0%
    Monthly Payment: $433

    My wife had to have black with the gray leather so they traded another dealer for the car. If we took one of the ones off the lot, we could have saved a few hundred bucks but you have to make the wife happy....LOL This is our 4th Honda lease with this dealer and we really like the service. We are always in and out in less than 1/2 hour leasing these cars. Time is worth money so I don't mind them making a few hundred bucks versus trying to get a better deal with another dealer to save $10-20 month. The other Honda dealers in central NJ are horrible....LOL
  • lease_billlease_bill Member Posts: 11
    tony1034,

    Which dealer in NJ are you dealing with?

    We went to the one in Edison.
  • steevosteevo Member Posts: 389
    Why going from EXl NAv to Se ? The SE prices out almost identically to the EX-L without Nav. If you ant get an SE which comes with DVD, you want an EX-L with NAV?
    Personally I would rather have the Leather and heated seats.
  • jsdilopsjsdilops Member Posts: 60
    Somebody help!!!
    Previous postings were stating that the residual for an EX-L AWD (no Res or Nav) for 12k and 15k miles/y was 54% and 52%.
    According to this deal that changed to 53% - 51% ???????????
  • greenjdcgreenjdc Member Posts: 25
    Yesterday I was told by a dealer that the residual for the EX-L AWD no res or nav for 12K is 53%. I asked several times because I had thought it was 54%. I was told that it is 54% for the SE and the EX.
  • greenjdcgreenjdc Member Posts: 25
    I know I've read on the board that they expire tomorrow. But Edmunds shows an end date of 3/3 for the $259 3yr/36K mile lease (which has the money factors). Which is right, or are both?
  • tsinoytsinoy Member Posts: 24
    Dennis, one last thing any idea what the RV for EXL-2WD RES? Dealer gave me around 47%, 12k/36 mos is that right...?
  • jsdilopsjsdilops Member Posts: 60
    Thanks, geenjdc, I will probably have a confirmation of the residual value for the FWD today from a dealer, which is what I'm looking for. I'm also assuming all residuals are 3% lower for FWDs, so if the EX-L AWD has a 53% rv, probably the EX-L FWD rv will be 50% and not 51% as I thought before.

    Anybody got the data for the EX-L FWD?

    This is all assuming 12k miles/y 36 months.
  • jsdilopsjsdilops Member Posts: 60
    hondacars.com says it expires 3/1/2008.
  • jsdilopsjsdilops Member Posts: 60
    Last thing I saw here is that the rv for an EX-L AWD with RES 12k/36 is 52%, and for the FWD version it must be 3% lower, e.g. 49%. The same FWD version 15k/36 then would be 47%.
  • lease_billlease_bill Member Posts: 11
    That is correct, residual for EX-L AWD Nav is 49% for 12K/36m.
  • dwynnedwynne Member Posts: 4,018
    I think leather does not hold value as well - it is not worth 54% of the increase in MSRP when the Pilot is 3 years old.

    Ditto the rear entertainment system (on some models).

    Ditto for sure on the Nav system.

    So if (for the sake of argument) Honda sold the EX, EX-L, EX-L RES, and EX-L Nav models. The residuals could be 54%, 53%, 52%, and 51%.

    So if the Nav option costs $2,200 at MSRP then they know it will not increase resale value by $1,144 after 3/36K so they drop the residual on the whole SUV to reflect this. EX-L MSRP $34,080 w/NAV: $36,280 so the residuals might be $17,216 and $18,502.80 .

    The EX-L is $2,300 higher at MSRP than the EX and the residual could be $17,216 and $17,161.20 .

    So the better LEASING cars have no leather, RES, and no Nav. You still don't have to pay for all of the expensive features, but you have to may more of the whole cost of the vehicle.

    They just base it on what they can get for these used when they are turned in. Leather appears to not be a popular options on a used Pilot and does not add much value. After 3 years the RES may be about worn out and we know the Nav will be even farther out of date.

    Dennis
  • dwynnedwynne Member Posts: 4,018
    The Honda web "current offers" page shows:

    01/03/2008 through 3/3/2008

    So the lease on the VP Pilots will go on through then, at least. Ditto the dealer incentives ON THE VPs since the dealer's price is $500 under invoice and they would not go for that without the $1,000 Honda gives them on leases.

    So on VPs we look good, PROBABLY on the other trim lines too.

    Dennis
  • dwynnedwynne Member Posts: 4,018
    Keep in mind, the dealer can't change the residual so whatever they put down should be the right number or AHFC will not fund the lease. Dealers are allowed to mark up the MF, but almost no Honda dealer does.

    I never looked at any trim line except VP and EX so I don't know for sure those residuals, but as I posted elsewhere leather, the entertainment system, and nav do not add that much to the resale value at lease end, so you do not get as high a residual on models with those features as you do on ones without.

    2WD gets better mileage and costs a good bit less, but on most (all?) Pilot trim lines 4WD has a 2% higher residual.

    So if you are looking at a 2WD EX-L RES Pilot you have hit the "reverse jackpot" and would have about the lowest residual of any model. The only way it could be worse is if you had Nav as well :D .

    Dennis
  • jsdilopsjsdilops Member Posts: 60
    I believe that, if all other conditions are equal, the difference in rv between FWD and AWD is 3%, at least that's what I've noticed so far, but It might not be true in some cases.
  • dwynnedwynne Member Posts: 4,018
    You are correct, I typo'd that number.

    3% drop for 2WD and then more drops for leather, Nav, and the entertainment system.

    Dennis
  • jsdilopsjsdilops Member Posts: 60
    I just got a confirmation from 3 dealers in my area.!!!
    2008 EX-L FWD rv 12k/36 is 51%, 15k/36 is 49%

    Now, let's go for the price. I'm getting a car next week.
  • steevosteevo Member Posts: 389
    Wow this is surprising. You are apparently correct. But I don't buy the reality, at least not in the Northeast. Models with Leather also have Heated seats and I find it very hard to believe a car with cloth seats and a factory DVD system would attract more buyers than the same vehicle with heated leather seats and no RES. For example the SE prices almost identically to the EX-L, yet has higher residual. I find it hard to believe that 3 years from now the SE would move faster off a used lot in the Northeast..then again I could be wrong since it looks like the dealers around here have nothing but EX-Ls available.
  • dwynnedwynne Member Posts: 4,018
    It is the percentage of MSRP that changes, not that one may go for more than another used - it is likely that one will lose more of the value of the new vehicle.

    As I said, if you pay nearly $3k for leather it is not going to be worth $3k more in 3 years nor do they think it will be worth 54% of whatever of $3k.

    Most cars, and I assume the Pilot, only heat the front two seats. When my kids were younger and had to ride with me to school on cold mornings I can assure you they much proffered a cloth back seat to un-heated leather :D .

    There have been lots of comments on how bad a Nav systems hurts residual PERCENTAGE and how little extra you get back for a Nav equipped car down the road. The current Honda DVD upgrade price will buy you a nice Garmin portable GPS - so the built in Nav is WAY too expensive and updating the maps is high priced too.

    On the used market folks say "Gee, I wonder how much that costs to fix if it breaks" when the see the RES and Nav in the vehicles. Folks leasing for a term <= warranty don't car because they are covered. In fact, I think folks with loaded up Hondas are more like to buy HondaCare extended warranties - they don't charge any more for an 4WD EX-L Nav plan than they do for a 2WD VP plan, and the more expensive car has a lot more to go wrong with it (over the life of the vehicle). The same for a loaded up Ody mini-van - Nav, RES, power sliding doors, etc.

    Dennis
  • greenjdcgreenjdc Member Posts: 25
    3yr/36mos

    Sale price was $28,870, but they claimed that it had about $550 of dealer accessories (mud flaps, cargo mat, wheel locks, some other small stuff that I can't recall), which was supposedly $375 at cost. If I believe that, minus that stuff sale price was $28,495 which I think means I was a couple of hundred bucks into the holdback. If I got snookered on the accessories, someone please tell me - not that I'll do anything, I'd just like to know.

    Anyway, I put $1000 down, Capitalized cost was $31,715 (in MD you pay full 6% tax like it's a purchase so that plus destination is the bulk of what's rolled in there), and payments are $380.
  • uscguyuscguy Member Posts: 5
    I was quoted $298 a month for a pilot SE, 36 month 12000 miles plus tax, in Arizona .I think this is a good price.. Two dealerships are within $2.00 of each other. One dealership quoted $330 a month using, according to him, a factor of .00049, with a 51% resudial, and a price of $29000.00, which is way out of the other two ballparks.. Is this a good priced for the SE, or is there a better deal out there???

    This is a great site for information.
  • greenjdcgreenjdc Member Posts: 25
    Is this AWD? And are you paying anything at close, or is it sign and drive?
  • uscguyuscguy Member Posts: 5
    It is FWD, and It includes $1900.00 for a down and first month. It does not include fees and license, which the dealer said would be about $1300.00
  • greenjdcgreenjdc Member Posts: 25
    Did they tell you what the actual sales price is? That's key. They'll throw all the other numbers at you but cut to the chase, and ask them what they're selling it for. Because as of today there is at least a $1000 lease incentive on Pilots, so you should ask for a sales price of at least $1000 below the invoice of $28,610 for the FWD SE (note I don't know if the incentive on the SE is going past 1/31 - anyone know?). So if they're selling it to you for more then that, you should ask for the incentive.
  • madaddymadaddy Member Posts: 4
    Just a follow-up on the transaction. I drove my Pilot in the fresh 8 inches of snow we had today. The dealer commented that their holdback was $660 on the vehicle. We settled at their quote with the addition of trailer hitch, wiring, compass mirror and all weather floor mats. I am satisified

    AWD SE
    $561 at signing (first month $347(incl'g tax), registration, tag, document fee)
    36 month /36,000

    thanks to the members for the knowledge and help
  • dwynnedwynne Member Posts: 4,018
    8" of snow? You for sure need AWD :D .

    Congrats on the new Pilot! What color did you choose?

    IIRC, your quote was just under invoice? So you got it for under invoice and they tossed in the mirror, hitch, and rubber mats? Not bad at all.

    Be careful in that snow.

    Dennis
  • tony1034tony1034 Member Posts: 32
    lease bill,

    We went to Coast Honda in Wall Township, NJ.

    My wife and I just got back from Honda less than an hour ago with her new black with gray leather interior 2008 Pilot EX-L. She is so excited. We had a 2002 Odyssey EX-L w/ RES and then a 2005 Odyssey EX-L w/ RES, but after the lease ended on the last Odyssey, she wanted a SUV (she was getting tired of the soccer mom image driving the mini-van....LOL). The Pilot does not have as much space as the Odyssey but whatever makes her happy :)

    Our salesman also said that the $1,000 lease incentive is no longer in effect as it ended yesterday on 1/31/08. But he put in our paperwork yesterday so we still got the deal. For February, he said they upped the $1500 cash to $2500 for purchases and on the leases they dropped the money factor lower but eliminated the lease incentive money. I'm not 100% sure what the new money factor is but I think it may be the same as the FWD rate. Residual on the AWD EX-L was still 53% for 12K miles and 51% for 15K miles.

    Best regards,
  • tony1034tony1034 Member Posts: 32
    By the way, our numbers were right on the money to what I calculated ($433) except I did not add for the wheel locks and in NJ the Pilot and Ridgeline both get a gas guzzler tax which is 0.4% of the cap cost (about $128). so out the door our payments for 15K miles a year were $437mo. Not bad......AND we were in and out in 30 minutes. :)

    Best regards,

    Tony P.
  • dwynnedwynne Member Posts: 4,018
    Sounds good! Congratulations to you and your wife.

    The lease specials shown online are only for the 2WD and 4WD VP Pilots, so we can't know what they did with the other trim lines until someone lets us know.

    They can't get much lower on the MF as it is nearly fee. If you look on your lease contract look at the amount listed next to "Rent Charge" - this is the interest you are paying on the lease. On our VP lease this is less than $200 :D .

    Dennis
  • lease_billlease_bill Member Posts: 11
    Tony P,

    congratulations on your new Pilot!

    It seems that having $1000 holdback in Jan was better deal that lower MF now.
  • jimcufsemalljimcufsemall Member Posts: 10
    Has anyone confirmed the Feb Pilot dealer purchase holdback? I noticed above a dealer mentioned $2500, but that sounds too good to be true! I currently have the below deal pending near Philly:

    2008 Pilot EX-L AWD
    34,080 sticker
    29,200 sale price

    I havent ruled out a lease yet, if I can keep a 15k under 450 Id be happy!

    Jim
  • uscguyuscguy Member Posts: 5
    To answer your question, the selling price was 28,000.00, the factor was .00014, the resudial was 51%. I got the lease work-up sheet, and it showed that the dealer incentative is still available in February and was $1300.00. The dealer hold back shows $695.00...At any rate with $1900.00 down, the monthly lease came to $298.00..Not quite sure how they got there, but it still felt like a good deal for a 36/12 lease on an SE, because I wanted the RES for my grandchildren. The payment is plus tax of course.
  • greenjdcgreenjdc Member Posts: 25
    Sounds good. I came down to deciding between heated leather seats (for me) or the RES (for my kids on long trip). Kids won out . . . this time!
  • dwynnedwynne Member Posts: 4,018
    I would never but $1,900 down on a lease and for sure when they are loaning you the money at 0.33% interest. Tell them you want a "sign and drive" lease or maybe just pay first payment at signing. Where else can you borrow money for such a low rate? Use their money not yours.

    Dennis
  • carshopper41carshopper41 Member Posts: 3
    Can you tell me what 2 dealerships in AZ were offering reasonable lease deals on the Pilot? Last weekend's Arizona Republic car section had ridiculously expensive advertised "deals" on Pilot leases (like $5000 down with payments higher than the national lease deal!). I figured I'd have to go to Southern Cal to get a decent deal.
  • uscguyuscguy Member Posts: 5
    I started out looking at the national lease info for the honda pilot VP, but wanted a RES for my grandkids...That option wasn't available in the VP or the EX, so I got to the SE. I didn't look at the EXL, but there is a lot of information on the message boards re those leases.
    As far as dealerships, stay away from Honda at Superstution Springs. They tried to play games and were $30.00 a month more for the lease I got. I delt with Tempe Honda, an internet guy named John Washington, who was really great. If you decide to go there ask for him and tell him Dwight referred you. The other dealership who came within a dollar of the price I got from Tempe, was Right Honda, although I went with Tempe because they got the info to me first. If you need any more info let me know. I posted the info on dealer incentives and hold backs, selling price, money factors, etc. You don't need to put a lot of money down, and depending upon the size of payment you can handle, roll everything into the lease. At the money factor I got of .00014, it is really cheep money, and silly not to. At least on the SE, they are willing to go into their dealer incentive of $1300.00 , which will get you way below invoice for the sell price...
    There are other factors involved. On the info they provided me, it showed a profit on the SE of $76.98, but who really knows. I had a great trade in, an 04 pilot EXL with really low miles and they will probably get around $4000 profit on it. I indicated in a prior post the sell price was $28,000, my mistake, it was $28,500.
  • jsdilopsjsdilops Member Posts: 60
    I've been quoted 2200 below invoice, with no delaer/doc fees, in an 2008 EX-L FWD, I'm not sure if they low-balling me, looks that this offer is eating almost all of the hold back.
    They said the price is good for a lease.
    The dealership is 30 miles from home.
    Would that be real?
  • jsdilopsjsdilops Member Posts: 60
    Sorry, Iook that that they were wrong. I really can't imagine how 3 dealers can tell me the same number and be wrong at the same time.
    I went to a local dealer, he showed me the residual spreadsheet for all Pilots, and it showed 50% for EX-L FWD 36/12k, and 48% for 15k.
    So, it's 1% lower that I thought, more in line with dwynne thougths. Leather doesn't residualize that well.
    Anybody can confirm these numbers? Help!!!
  • dwynnedwynne Member Posts: 4,018
    The dealer can't change the residual and the lease will not fund from AHFC if it is wrong, so I would trust that the dealer is right (until I get confirmation elsewhere).

    As to the low ball price, make sure the include the destination and dealer fee in the price. Some shady dealers will quote you online/on phone for the vehicle and "forget" to include the destination charge and the dealer fee. Then when you show up, they add those into the price and you go from a sweet deal to a terrible deal in a hurry.

    Dennis
  • dwynnedwynne Member Posts: 4,018
    Even with the insane low lease MFs and the incentives to dealers, Jan 08 Pilot sales were almost 11% LESS than Jan 07. So I think the deals will continue on all trim lines.

    Dennis

    image
  • piloti_stipiloti_sti Member Posts: 62
    Will look to snatch one up here in the next couple months. I have gotten several e-mails from dealers who I got quotes from basically saying to "make me an offer on a Pilot!!!"

    On another note Wow, it is easy to see Acura needs a Total overhaul. They seem to be really struggling, RL can't compete, TL getting old, RDX overpriced, TSX getting old.
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