Porsche Boxster Lease Questions

CarMan@Edmunds

Hey kjw. Here's the latest info. If you were to lease a 2006 Porsche 911 C4 Coupe with a Tiptronic transmission through Porsche Credit right now for 36 months with 12,000 miles per year, its buy rate lease money factor and residual value should be .00290 and 60%, respectively. The numbers for a 48 month lease of this car should be .00300 and 52%.

I've seen the lease program for the all new Cayman as well. It's a beautiful car by the way :shades: . If you were to lease a 2006 Porsche Cayman S with a Tiptronic transmission through Porsche Credit right now for 36 months with 12,000 miles per year, its buy rate lease money factor and residual value should be .00290 and 52%, respectively. The numbers for an otherwise identical 48 month lease should be .00300 and 44%.

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CarMan@Edmunds

Hi the_dude1 (I have to throw this emotorcon in there for your name :shades:). Your Boxster's lease payment will depending upon how much you pay for it. Always remember that the selling prices of leased vehicles are negotiable, just as if you were paying cash for them. Shop around and see what sort of price you can get for this car. Once you have negotiated an attractive price, let me know what it is and I will be more than happy to use Porsche Credit's actual lease program to estimate what your lease payment on it should be.

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pfolk

I'm about ready to sign a lease with Porsche Financial on a Cayman but I wanted to make sure I'm not making a mistake on pricing. The car books out over $70K but PFS will use an MRM of $69.5K to capitalize the lease and a residual of 55% for a 36 month lease and 10K miles/year. The money factor seems way too high at .00345 for Tier 1 credit.

I researched independent leasing programs through leasewizard.com. Their best deal has a money factor of .0024 but the residual is 51% for 36 months and 12K miles/year (lowest available on the web entry form), and it pencils out within a few dollars of the Porsche program on monthly payments. I probably will not keep the car at the end of the lease, so my prime objective is lowest cost of use during the lease term. Am I making a mistake to stay with the Porsche program? The finance manager at the dealership claims she has searched the local bank programs and her deal is as good as the independents.

CarMan@Edmunds

Hi pfolk. It appears as though the dealer that you are working with is marking up Porsche Credit's buy rate lease money factor to add additional back-end profit to your deal. This car's current buy rate lease money factor for a 36 month lease is .00290. You certainly should bring this issue up with your dealer, but they may not be willing to work with you - especially given the fact that they probably won't have any trouble selling any Cayman that they can get their hands on right now. They are going to want to get as much money for this car as possible while it's still hot. Porsche's 55% residual value for a 36 month, 10,000 mile per year lease of this car is solid so you are probably best off going through Porsche Credit. Just make sure to try to get the dealer calculate your car's lease payment using the buy rate.

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kjwbmwm5

Carman,

Local dealer has finally found car and expect it this week or early next week, end of February. I feel I have gotten a good discount but want to confirm the current Money Factor and Residuals for a base 911 Coupe with Automatic (Tiptronic). Can you please provide the figures for 36 and 48 months and with 12k per year in mileage. Thanks, kjw

krumpitz

The rates you get through LeaseWizard.com are not THEIR rates...they are rates that the major national players are offering and they have a small profit built in for the dealer. The software is dead on accurate so if your dealer is giving you a BETTER deal than what they say, take it....

alsolia

Great forum Car_man.. it allowed me to finilaze my spreadsheet for lease calc.
Can you please give me the money factor and res value of a 2006 Boxster S w/ NO tiptronic, 10,000 miles/year and lease term 36 months. Do standard Boxster have same residual %age?
What about the 911 convertible? dealer tells me, res is about 58% for 3 years.

thanks in advance

alex

habitat1

According to the link below, a 911 should have a 63% residual.

911 residual value

alsolia

Thanks habitat1... very interesting article even though they don't have the new residual values for the redesigned 2005 and 2006 Boxster.
According to dealers quote, it seems that they put the Boxster standard at 56% and the $ at 54%...any one can confirm?
thanks

alsolia

I decided to drop the Boxster S and concentrate on the regular one.

Can anyone tell me what are the residual values as of today for the 2005 and 2006 model w/o Tiptronic for a 36 months lease please?

thanks

CarMan@Edmunds

Hey kjwbmwm5. If you were to lease a base 2006 Porsche 911 Coupe through Porsche Credit right now for 36 months with 12,000 miles per year, its buy rate lease money factor and residual value should be .00290 and 59%, respectively. The numbers for an otherwise identical 48 month lease should be .00300 and 51%.

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CarMan@Edmunds

I'm glad that you like this forum so much, alex. If you were to lease a base 2006 Porsche Boxster S with a manual transmission through Porsche Credit tight now for 36 months with 10,000 miles per year, its buy rate lease money factor and residual value should be .00290 and 54%, respectively. The money factor for a non-S Boxster would be the same, but the residual value would increase to 56%. A base '06 911 Convertible would have a 36 month / 10k residual value of 59%.

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alsolia

Thanks Car_Man for these precious info.

Do residual decrease during the year? i.e a 36 months residual for a Boxster in September is 59% but should be close to the 48 months one (51%) if you lease the car in August the following year?

Thanks

CarMan@Edmunds

You're very welcome, alsolia. Yes, vehicles residual values gradually decrease as the model year progresses. The residual values for the Boxster that you are interested in will almost certainly be lower several months from now than they are today.

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alsolia

I read on another website that Porsche Finance Service is using 6% APR for their lease/finance program. Can anyone confirm that?

thanks

CarMan@Edmunds

Hi alsolia. Porsche Credit's current (May / June) buy rate standard lease money factor is .00290 for 36 month leases. This is equivalent to an interest rate of around 6.96%. For conventional loans, Porsche Credit's base interest rate is 6.0% for up to 60 months.

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porsche_fan

Really useful forum, Car_man! I am looking into a 36mo/15k mi/yr lease for a 2006 base Boxster (non-S) with stickshift. My local dealer quoted me a residual of 53% through Porsche Credit and a money factor of 0.0035. So I am pretty sure that he is marking-up the money factor considerably but does he also want to make some money on the residual? From what I see in this forum his buy-rate should be 0.0029 and the residual 56%.
What is a reasonable discount for a 2006 Boxster 'typically equipped' for about $52k MSRP? Has anyone used a car-buying service successfully?
Thanks!

canuck10

I have just moved to California (work transfer) from Canada and want to lease a Boxster (manual) with a few options...MSRP about $47,500.
I have excellent credit in Canada and a great job in California, own my own home and all that...but in shopping for cars I find I am being sent to subprime lenders and offered crazy lease rates-as if I was some deadbeat.
How can I get a fair deal? I heard that the 07s come out in June and that I can get a better deal in June on a 06 as a result. Is that true?
Help VERY much appreciated. CA is my new home and I'd be a great customer for the right dealer that treats me well now.

gmanmd

I was looking to lease a Porsche Boxster base for 36 months, 10K mi/yr and the negotiated price for 2006 was $49095. He quoted me a monthly price of ~$780 with a down payment of $3200 (including taxes). He said I would probably have a better deal with the '07s as they have higher residuals and I would still get the same deal with him ($4k off sticker). I did not get the buy rate and residual from him. Are these numbers in line with what they should be for the price of the car? It seemed a little high to me, but this is the first time I'm leasing a car in this price range. Thanks.

CarMan@Edmunds

Thanks porsche_fan. As you suspected, it appears as though the dealer you are working with is marking your car's money factor up. However, dealers do not have the authority to alter vehicles' residual values so the resid that you were quoted should be okay. Let's take a look. According to the latest information that I have seen, if you were to lease a 2006 Porsche Boxster (non-S) through Porsche Credit right now for 36 months with 15,000 miles per year, its buy rate lease money factor and residual value should be .00290 and 53%, respectively. I am not personally all that familiar with what the market is like for the Boxster right now, so I really can't give you any feedback on what sort of price to expect.

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CarMan@Edmunds

Hi gmanmd. I would be happy to use Porsche Credit's actual lease program to estimate what your lease payment should be on this car, but in order for me to do so I need you to provide me with its full MSRP, including the destination charge. Let me know and I'll tell you what I think of this deal.

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gmanmd

The MSRP is $53990 with destination. Thanks Car man.

porsche334

Car_man
It's pretty impressive that you know Porsche's buy rate and money factors. Where do you find all of this information?

CarMan@Edmunds

Thanks for the additional information, gmanmd. OK, according to my calculations if you were to lease a base 2006 Porsche Boxster with a manual transmission, an MSRP of $53,990, and a selling price of $49,095 through Porsche Credit right now for 36 months with 10,000 miles per year, your zero down, pre-tax monthly payment should be around $754.

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davezaristo

Hi,

I negotiated a deal this weekend:

MSRP: 49,200
Selling price: 41,000

0 money down and i got quoted $728 including tax for 36mo/12,000 miles...does this sound like a decent deal?

Please help! Thanks!

habitat1

I've never leased a car, so I'm not sure if it's a decent lease deal given money factors, residual values and all that stuff. By paying cash for all of my cars, I know I can comfortably afford them. But I done gone to business school and understand about opportunity cost of putting out $43,500 up front (or substantially more for a 911 S Cabriolet). So here's my complete analysis:

1) Price: $41,000 - I'll assume 6% tax based upon my state, so final price = $43,500, including taxes.

2) Total of $728 per month lease payments for 3 years = $26,208. Over 3 years your payments equal 60% of the total price of the car and at the end of 3 years you have - NOTHING.

3) Opportunity cost of buying for $43,500 cash = 4.6% per year (equal to a 7.0% home equity loan, less the tax savings, since interest is deductable). For three years, that equates to a total after-tax interest expense (or opportunity cost) of approximately $6,000.

4) But wait, you are dishing out $728 every month, not just $26,208 at the end of three years. Over three years, the additional opportunity cost of $728 per month is another $1,810 for a total of approximately $28,000

5) The difference between $28,000 and $6,000 is $22,000. Do you think your Boxster will be worth more than $43,500 minus $22,000 = $21,500 in 3 years? I would hope so. By comparison, I bought a 2002 Honda S2000 in November 2001 for $32,000, drove it for 2.5 years and 20k miles and traded it for $23,500 in May 2004 for a net total depreciation of only $8,500. Had I kept it for two more years, I could still get around $21,000 for that car today.

The bottom line, strictly in my opinion, is that you seem to have gotten a great deal on the price of the car (17% off is by far the best I've ever heard for a new Porsche). But leasing a base Boxster for $728 seems like a horrifically bad idea to me in general. I am giving you my opinion as a very, very happy owner of a 2005 911 S Cab. I'm not sure I would have ever gotten there if I had $728 lease payments in my prior life. Hell, next month we make the final $1,050 mortgage payment on our house. Which, current soft housing market notwithstanding, is now worth about the same as a Boxster S, 911 S, Cayman S, Cayenne S, and Carerra GT COMBINED (or about 17 base Boxsters if you are counting).

I don't mean to sound like an obnoxious imitation of Suze Orman. For all I know, you are a vascular surgeon making $2 million a year and writing off the entire lease payment. So take my opinion for whatever it's worth to you.

kyfdx

I too, think you negotiated a great price on the car... But, lease deals on most Porsche models are not that great..

Unless you absolutely have to lease, I'd just buy the car.. The payment with tax for a 60 month loan at 6.5% would only be around $850, including tax and with nothing out of pocket.

At the end of 3 years, you'll only owe $19,100 on the loan, and you'll only have paid out $4400 more than for the lease... If you can sell the car for $23,500, then you are ahead..

What are 2003 Boxsters selling for now? I don't know, but even stripped models are going for high $20Ks, most likely..

Regards,
kyfdx

davezaristo

Thanks for your help...what if you taken into account the tax situation? I am in california and my tax rate here is 8.5%. I understand that if I lease, i will only have to pay for the lease portion of the tax. So if i take that into consideration, I am still ahead if i am buying rather than leasing? I really don't have to lease since I cannot write off the payments, but I was just concerning the reliability of the car and the potential costly maintenance cost once the box ages...

davezaristo

Thanks for your help..i am glad to hear a second opinion on this. Prior to the boxster, i've purchased all my cars cash as well and the only reason i was considering leasing a porsche is the fact that i won't keep it for more than 3 yrs. I guess i will definitely consider purchasing again instead.

kyfdx

I'm not suggesting that you keep the car out of the warranty period... Just that the lease deals aren't that great, and you may come out ahead in the long run by buying it, then selling after 3 years... or 42-48 months.. Porsche has a 4 year warranty, right?

You are correct about the tax.. You'll be paying on the full selling price, rather than just the payments, but I think our numbers took that into account.. Maybe $1600 more in sales tax on a purchase vs. lease, but the interest rate on an auto installment loan is probably lower than the imputed rate on the lease money factor..

Just because you buy it, doesn't mean you are stuck with it.... you might find that you can't stand it, and want to sell it after 30 months (yeah, right).. That will be a lot easier to do if you own the car..

regards,
kyfdx

habitat1

Since you are in California, with an 8.5% tax rate, the total cost of the car under a purchase becomes approximately $44,500 instead of $43,500. That doesn't change my conclusion above.

dhanley

Plus, even though you pay the full tax on purchase, if you trade, your tax on the car you are trading in on is less the trade--at least in most states. Not is CA, apparently.

gmanmd

I don't understand those lease numbers as well. I am in NY and awaiting my base Boxster with SPP, nav and Ipod connection . MSRP was ~$54000 and I got $4k off that and my lease is $722/month for 36/12k. I don't understand how your lease is around the same for essentially $9k off of this one unless the leasing issues are slightly different in CA. BTW, this is my first Porsche and my first lease. I am leasing due to the screwed up IRS deduction policies, as I am able to deduct the car for my job and leasing you can deduct the whole thing, but buying, the car depreciates according to a theoretical $16000 car even though you spend much more. Go figure.

dl7265

I am more familure with BMW leases, and what amount BMW will allow said dealer to mark up the MF ect.. Perhaps our host can advise if Porsche has any such policy ? And fwif very clean '02 are going for high 20K to 30ish. I concur with the above opinion on take the great discount on a purchase.

DL

cklyeung

Hi,

Does anyone know what the current money factor and subsequently monthly payment would be for a 2007 Boxster S?

Say for example,
Price: $58000
Lease Term: 36 mo
Mileage: 12000/year

And what is the current residual value for a 07 Boxster S?

Thanks in advance!

alsolia

Hello,

any of the great host here can enlihten us with the new PFS money factor and residual they are using now for the new 2007 Boxster please?

hqduong

Is it easier to lease a car with bad credit? I screwed up my credit a few years ago and I really regret it. I have basicly no debt now, and a nice salary.

What are the best ways to get a porsche with bad credit?

CarMan@Edmunds

Greetings cklyeung. Porsche Credit's current buy rate lease money factor and residual value for a 36 month lease of a 2007 Porsche Boxster S with a manual transmission with 12,000 miles per year are .00310 and 64%, respectively. I assume that the price that you mentioned in your post is this car's selling price. I would be happy to estimate what your monthly payment should be on the exact car that you are interested in, but in order for me to do so I need you to provide me with its full MSRP as well.

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CarMan@Edmunds

Hello alsolia. Please see my previous post for the information that you are looking for. If you would like information on the lease program for a different Boxster variant, mileage allowance, or term let me know.

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CarMan@Edmunds

Hi hqduong. I suppose that it goes without saying that the best way to get a new Porsche when one has bad credit is to pay cash for it. Obviously this is a lot of money to lay out at one time though. You may be able to finance or lease a new Porsche through Porsche Credit or an independent bank, but if your credit is in rough shape you will have to pay a higher interest rate than someone who has good credit would have to pay. Have you taken steps to repair your credit? This is very important. You should get a copy of your credit report and make sure to fix any errors or pay off any outstanding debts. This will help to improve your credit score.

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mentaljock

Hey everyone,

Since there aren't too many real examples of actual leases that people got, I though I would throw mine into the mix.

2006 Cayman S
2900 Miles
MSRP: 72k
Purchase Price: 60.5k
Money Factor: .00198
Residual: 40%
Term: 51 Months
Payment: $818.50 a month
Taxes and $650 Lease Fee paid upfront.

Even though the residual is a bit low, I feel like I got a pretty good deal due to the discount off MSRP...any input contrary is appreciated. Let me know if I left any information out of the post.

-Mentaljock

cklyeung

Thanks Car_man!

The MSRP would be $60500.

In addition, are the lease money factor and residual values the same for a 07 Boxster non-S? For example, if I'm looking at a 07 Boxster non-S for:

MSRP: $52000
Price: $50000
36mo
12k / year

What would I be looking at for that then?

Thanks again!

dl7265

40% ? yikes, call me when your done, Id love to have a slightly used Cayman S for 20K :shades:

DL

tpfc

Car_man,
Can you please provide November 2006 money factor, residual value, and estimate of monthly lease payment for a 2007 Porsche Boxster non-S with Tiptronic? MSRP including destination charge is $61,770 and purchase price is $57,504. I would appreciate quote for 12,000 mile and 15,000 mile lease. Thanks.

tpfc

Car_man,
I forgot to state duration of lease on above request. I'm looking for 36 month and 39 month lease rates. Thanks.

CarMan@Edmunds

No problem, cklyeung. Thanks for the additional information. According to my calculations, if you were to lease a 2007 Porsche Boxster S with an MSRP of $52,000 and a selling price of $50,000 through Porsche Credit right now for 36 months with 12,000 miles per year, its zero down, pre-tax monthly payment should be around $723.

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CarMan@Edmunds

Hi tpfc. Porsche Credit's current lease program is scheduled to run through October 31st. I can give you an idea of what this program is like right now, but you will have to check back with me in November for information on that month's program. Porsche Credit probably will not publish its November lease program until the first week of November. If you were to lease a 2007 Porsche Boxster with Tiptronic through Porsche Credit right now for 36 months with 15,000 miles per year, its buy rate lease money factor and residual value should be .00310 and 60%, respectively. The residual value for a 12,000 mile per year lease of this car would be 2% higher. I don't believe that Porsche is currently offering 39 month leases. Using this information and the prices that you mentioned in your post, an MSRP of $61,770 and a selling price of $57,504, I estimate that this car's 36 month, 15,000 mile per year, zero down, pre-tax monthly payment should be around $861. With only 12,000 miles per year, this car's payment would drop to around $831.

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tpfc

Car_man
Thanks for the info and the prompt response. The car should be arriving mid-November, so I'll touch base with you again in a couple of weeks to get November lease rates. Thanks again.

tpfc

Hi Car_man,
My 2007 Boxster non-S with Tiptronic will be arriving in a few weeks and I’d like to know the latest Porsche money factor, residual value, and estimated monthly payment for 36 month lease with 12,000 miles/year. MSRP including destination charge is $61,770 and purchase price is $57,504. Thanks.

CarMan@Edmunds

You're very welcome, tpfc. Talk to you then.

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