Howdy, Stranger!

It looks like you're new here. If you want to get involved, click one of these buttons!





Howdy, Stranger!

It looks like you're new here. If you want to get involved, click one of these buttons!

Have you recently switched from a luxury sedan to a luxury SUV? A reporter would like to talk to you; please reach out to [email protected] by 7/25 for more details.
Did you get a great deal? Let us know in the Values & Prices Paid section!
Meet your fellow owners in our Owners Clubs

2013 and earlier Lexus GX 460 Lease Questions

1356711

Comments

  • magee1magee1 Posts: 2
    Can you tell me where (and how) I can come up with that number?

    Thanks so much.
  • kyfdxkyfdx Everywhere, USAPosts: 122,878
    Selling price minus residual = Depreciation
    $44,500 - 29,029 = $15,471 / 36 months = $429.75 monthly

    (Selling price + Residual) X Money factor = Finance charge
    ($44,500 + $29,029) X .0021 = $154.41

    Depreciation + Finance Charge = Monthly payment
    $429.75 + $154.41 = $584.16 PLUS tax

    At signing, you would have to pay first payment, security deposit (if required), acquisition fee and title/license fees... This is all pre-tax.

    regards,
    kyfdx
    Host-Prices Paid Forums

    Did you get a good deal? Be sure to come back and share!

    Edmunds Moderator

  • bdl99bdl99 Posts: 5
    Can anyone tell me what I could expect as a Tier1 MF for 36 month lease on GX470? I am in NJ and looking for a GX470 with Nav and 3rd Row. I was also interested in sports package but no one in the area appears to have any.

    Today I was quoted .00275, which seems high to me. Is it just that there are no deal currently or should I be trying elsewhere? I was also quoted

    MSRP $53,143
    Purchase price $51210
    Residual (59%) $31354
    Mileage allowance 12,000/year
    Money factor .00275

    I'm assuming that there would be some more movement on the purchase price but didn't even go there based on the MF.

    The other element to this deal is that I still have six months left on my RX330 lease, so they would be buying the RX330 for $30K to purchase out of the lease. I think there was a shortfall of about $800 which I think they rolled in to the lease price. My RX330 has sports package and 25K miles so I don't think they are using any of there movement on giving me a high price for the RX330.

    thanks
  • Help! I'm desperatly trying to figure out your numbers. I hope you are right and I'm just not getting it.

    I figure a selling price of 44,500 with a 55 % residual to me more like this.
    44,500-24,475=20,025 / 36 = 556.25

    You would have to have a 67% or so residual value to get these numbers.

    I have a negotiated price of 44,500 with a 58% resiual and a .00255 money factore (not real keen on that) trying to figure out if I can afford this payment.
    thanks again! :D
  • bdl99bdl99 Posts: 5
    cwakefield

    Shouldn't the residual be 55% of the MSRP not 55% of the selling price.
  • The calculation above by kyfdx shows the calculation using 'selling price' He used 44500 which is the same as mine. I don't see MSRP given...
  • bdl99bdl99 Posts: 5
    I don't think that kyfdx showed the MSRP, but I believe he did use if from an earlier message. The earlier message shows MSRP of $50050 and 58% of 50500 is indeed $29029 (as shown in the message from kyfdx)

    thanks
    Brian
  • kyfdxkyfdx Everywhere, USAPosts: 122,878
    Yup... what bdl99 said... The residual is always calculated off of the MSRP.

    Did you get a good deal? Be sure to come back and share!

    Edmunds Moderator

  • Gotcha!! Thanks!
  • trjtrj Posts: 1
    Does anyone know the current Money Factor rates on 06 GX's, now that the "December to Remember" offer is long gone?
  • You're very welcome, hpt. Unfortunately, now that the special "December to Remember" sales event is over, Lexus is no longer providing any sort of lease support on the GX 470. As a result, if you were to lease one through Lexus Financial Services right now, you would have to use its standard lease money factors. Its current buy rate standard lease money factor for consumers who qualify for its Tier 1+ credit tier is .00265. As you can see, this is a lot worse than this truck's December money factor.

    Car_man
    Host
    Smart Shopper / Prices Paid Forums
  • Hi bdl99. While the lease money factor that you were quoted for this truck looks high, it's about right. Unfortunately, Lexus is not providing any sort of lease support on the GX 470 this month. As a result, if you were to lease one through Lexus Financial Services you would have to use its standard lease money factor, which is .00265 for consumers who qualify for its Tier 1+ credit tier and .00275 for consumers who qualify for plain Tier 1.

    You probably would be better off waiting to lease the new Lexus GX that you're interested in. By doing so, you won't have to pay to get out of your current lease and Lexus may eventually introduce some sort of lease support on it. The next logical time for it to do so is April, but there certainly is no guarantee that it will have any sort of special lease program on this truck then. The main reason to wait would be to avoid having to pay the costs associated with getting out of your current lease early.

    Car_man
    Host
    Smart Shopper / Prices Paid Forums
  • Hi trj. I am sorry to say that Lexus is not currently providing any sort of lease support on the GX 470. As a result, if you were to lease one through Lexus Financial Services, you would have to use its standard lease program. Its current buy rate standard lease money factor is .00265 for consumers who qualify for its Tier 1+ credit tier.

    Car_man
    Host
    Smart Shopper / Prices Paid Forums
  • FYI, I went back to the dealer that had quoted me invoice and a money factor of .0012 in December. Because they had quoted me by email, and we had a record of it, she was able to honor the deal on Jan 30. Walked out with a lease of $630 per month and change, loaded with nav, Levinson, tow, chrome tip. Down was roughly $1000, which included the first payment. She also offered to sell my friend an RX at invoice that very day. Otherwise, yes, the money factor has risen quite a bit, making the leases more expensive right now. We had a tremendous experience with this dealer, they gave us a straightforward quote via email, and we drove up and just signed the papers. No crap, no finance manager, etc. And we love the vehicle. Thank you Edmunds for the great info!
  • I almost forgot, we have the rear entertainment option too.
  • bdl99bdl99 Posts: 5
    Hi Car_man

    Thanks for the information. I have one question that I'm hoping you can help with:

    Where does any capital reduction fee fit in to the lease calculation? I've followed the examples that you have posted and they have been a great help. I'm now actually looking at an MDX and their offer calls for a $1005 capital reduction charge. I've read of the inherent risks of putting money down, but a MF or .0014 is not to be sniffed at.

    Do I:
    1) Just reduce the sale price by $1005
    2) Reduce the depreciation cost by $1005
    3) Something else more complicated

    thanks
  • That's great news, cdfwife. Congratulations on your new truck. Enjoy!

    Car_man
    Host
    Smart Shopper / Prices Paid Forums
  • You're very welcome, bdl99. If you decide not to make a capitalized cost reduction on an advertised lease that calls for one, the vehicle's capitalized cost will be higher. Specifically, in this example if you choose not to make a $1,000 cap cost reduction, the cap cost would go up by that same amount and the vehicle's monthly payment will increase a little. Keep in mind that most manufacturers' advertised lease payments leave a little meat on the bone so to speak. You may be able to negotiate a lower selling price on the truck that you want than the one that was used in the advertised lease. If so, this will help to make up for some of the cap cost reduction that you have decided not to make.

    Car_man
    Host
    Smart Shopper / Prices Paid Forums
  • Can you tell me the dealer name,
    I am quoted for lease the following lease, I like this dealer but seems like he is trying to take advantage of my liking Lexus, I have Rx330 currently.

    $1770 drive off, with first months payment
    $780 per month with 15K a year on a 36 mo lease..

    Thanks
  • The dealer was Crown Lexus in Ontario, Southern California. Internet department. Email me for contact name if you like. They are also selling my friend an RX330 at invoice.

    Good Luck.
  • shepalishepali Posts: 72
    Carman - what are the current lease factors for a GX470 for a 24 and 36 month lease, with 15,000 miles/year? (i.e. MF & residual)
    Thanks
  • amcpaamcpa Posts: 10
    Also, what about the money factors for 20K miles per year for 24, 36 and 48 months?
  • jr32jr32 Posts: 23
    I'm told that in Ill, unlike many other states, the buyer has to pay the taxes on the lease sale price. My question is: If I lease from a dealer from another state, do I have to pay Il taxes? Being that I don't own the vehicle, the lease bank does, I don't see why I would have to pay taxes if the lease bank is in a state that doesn't charge taxes on lease vehicles. Any idea?
  • Hi shepali. If you were to lease a 2006 Lexus GX 470 without the rear entertainment system through Lexus Financial Services right now for 24 months with 15,000 miles per year, its buy rate lease money factor and residual value should be .00265 and 63%, respectively. The numbers for an otherwise identical 36 month lease should be .00265 and 57%.

    Car_man
    Host
    Smart Shopper / Prices Paid Forums
  • Hi amcpa. The money factors for any length lease of this truck are the same as the ones that I mentioned in my previous post. This truck's 48 month, 15,000 miles per year residual value is currently 47%. 15,000 miles per year is the highest mileage allowance that LFS 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 the end of your lease and have to pay an excess mileage penalty.

    Car_man
    Host
    Smart Shopper / Prices Paid Forums
  • Unfortunately, jr32, I believe that the answer to your question is yes. So many people were travelling to states that had no sales tax to purchase their new vehicles that consumers are now required to pay their home state's sales tax on vehicles that were purchased out of state when they try to register them in their home state. The interesting aspect of this deal is the fact that you are talking about a lease and the bank's name will be on your vehicle's registration, not yours. It probably wouldn't matter. The bank that you are leasing through might get billed for the sales tax instead of you, but they would just send you a bill for it.

    Car_man
    Host
    Smart Shopper / Prices Paid Forums
  • gxworldgxworld Posts: 4
    hi guys and car_man. this is my 1st post but i've been reading posts for a long time. this year i plan to lease a new 06 gx470. this will be our 3rd car, will be used mostly for leisure. i've done my initial research so i felt compelled to approach my bank (navy federal cu) to give me a rough estimate on a lease. here are the #'s i gave the bank:
    06 GX470 w/Nav,3rd row and Rear entertainment
    MSRP 53970 (Cars.com)
    Target price 47000 ~400 over invoice
    NFCU lease offer:
    24months for 640.00 res 37300 15k miles 4.9%APR GAP incl
    36months for 655.00 res 30800 15k miles 4.9%APR GAP incl
    upfront cost: 200.00 + 1st month, no tax in texas if car is not used for income purposes.
    end of lease: 350.00 dispo waived if i lease again
    i can buy, trade or sell the vehicle at any time or return at the end of the lease. no downpayment involved.
    is there anything hidden or i need to ask the bank to clarify? good deal, bad deal?? pls feel free to throw you 2 cents. thank you guys in advance.
  • kyfdxkyfdx Everywhere, USAPosts: 122,878
    I'd check on that... Texas sales tax on leases are usually very high... Not sure how you would get out of paying that..

    Did you get a good deal? Be sure to come back and share!

    Edmunds Moderator

  • gxworldgxworld Posts: 4
    kyfdx, i'd appreciate you checking. that info i got from nfcu itself. if they're not being truthful, they'll probably ask for it later in the process. however, their website says "Initial taxes, registration fees and Navy Federal's origination fee are included in the capitalized cost." any of my fellow texans here who can shed some light to this, i'd appreciate it very much. thanks guys.
  • shepalishepali Posts: 72
    The taxes on leased cars in texas has changed recently (like the last 2-3 years or so...). It used to be VERY disadvantageous to lease in Texas - each and every lease payment included sales tax on the total value of the payment (both principal and interest) - it was this way on my 1999 Tahoe that I leased in Washington state and when I moved to Texas my payment went up!! So what people did was do a balloon payment loan, which resulted in the same terms as a lease when all was said and done (I did this on my 2001 SAAB). But, since then, they have changed the rules such that leasing a car has the same sales tax consequences as buying a car - so I actually leased my 2005 ES330.

    Also, I'm not sure how it works, but the dealerships earn 'tax credits' from the state based on the volume of cars they sell, I believe. Then, they get to sell a certain number of cars without sales tax - and that actually happened to me when I bought my 2005 ES330. While I was in the market for a new car in December 2006, almost all of the dealers were offering the same thing. What I don't understand is if that is really just a marketing thing (i.e., you are really paying sales tax, but they are discounting the car to cover it), or if it is really a state incentive. And I don't understand what happens if you traded in a car where you got the sales tax credits on a new car without the credits - I was initially told that you would still get the benefit of the sales tax on the car you didn't pay taxes on, but I have not validated that.

    So, I believe that what the bank quoted was that the initial taxes that are included in the cap cost, are in fact the sales taxes on the purchase price of the vehicle - which would be the same regardless of whether you leased or purchased.

    Having said all that, I am not an expert on Texas sales taxes - just someone who has leased 3 vehicles in this state, and purchased 2 others.
This discussion has been closed.