Lease questions - how to use MF and RV?

merseyreds

I'm new to leasing (looking at a 2018 MDX SH-AWD w/ Tech Package) and wondering if there is a guide or tutorial as to how to actually use the lease information provided here to get the best lease deal possible. I understand in general what the money factor is and what the residual value is, but how are people here actually using the data provided on these lease threads here for their specific vehicle/situation to make sure they're getting a good deal?

Sorry if I missed something obvious. Thanks for any help.

kyfdx

merseyreds said:

I'm new to leasing (looking at a 2018 MDX SH-AWD w/ Tech Package) and wondering if there is a guide or tutorial as to how to actually use the lease information provided here to get the best lease deal possible. I understand in general what the money factor is and what the residual value is, but how are people here actually using the data provided on these lease threads here for their specific vehicle/situation to make sure they're getting a good deal?

Sorry if I missed something obvious. Thanks for any help.

Pretty good explanation of how the calculations work.
https://forums.edmunds.com/discussion/12602/general/x/how-to-calculate-monthly-lease-payments/p1

merseyreds

Great, thanks for the help.

So another dumb question - so is the point of people getting the MF and RV on these threads just so they can calculate the lease payments themselves to double check that the dealer isn't throwing anything unexpected in there for them? My understanding is that the MF and RV should be standard across most/all dealers, correct?

Finally, I also see people asking about incentives. Do these vary by state and/or month? If so, how do the incentives for a 2018 MDX SH-AWD Tech package in Connecticut look for February (I'll be starting the lease in February)?

Thanks again for the help.

Michaell

merseyreds said:

Great, thanks for the help.

So another dumb question - so is the point of people getting the MF and RV on these threads just so they can calculate the lease payments themselves to double check that the dealer isn't throwing anything unexpected in there for them? My understanding is that the MF and RV should be standard across most/all dealers, correct?

Finally, I also see people asking about incentives. Do these vary by state and/or month? If so, how do the incentives for a 2018 MDX SH-AWD Tech package in Connecticut look for February (I'll be starting the lease in February)?

Thanks again for the help.

Yes, that's correct. The dealers don't like to disclose those numbers because it puts them at a disadvantage in the negotiations.

The RV is fixed by the bank and will be the same at all dealers. However, the MF can be marked up by the dealer for extra profit, so knowing what the number 'ought' to be levels the playing field.

The program numbers change every month (or two, for Acura).

The 2018 MDX lease thread can be found here:

https://forums.edmunds.com/discussion/49209/acura/mdx/2018-acura-mdx-lease-deals-and-prices#latest

geminimichelle

This is helpful information.

If I am paying all cash up front for a lease, is there really any way to negotiate if the RV is set in stone? I understand that dealers can play with the MF (if buyers aren't informed), but since I'm not going to have a monthly payment with interest calculated in, does the MF even matter to me?

What are other ways I can make sure I'm getting the lowest price on a lease? Thank you!!

kyfdx

geminimichelle said:

This is helpful information.

If I am paying all cash up front for a lease, is there really any way to negotiate if the RV is set in stone? I understand that dealers can play with the MF (if buyers aren't informed), but since I'm not going to have a monthly payment with interest calculated in, does the MF even matter to me?

What are other ways I can make sure I'm getting the lowest price on a lease? Thank you!!

Single-pay leases still have finance charges, as you aren't paying in full for the entire vehicle, just paying the lease payments ahead of time.

But, most single pay leases have much lower money factors, sometimes virtually eliminating the finance charges (like the Acura you asked about). But, on a lease program that starts with a relatively high money factor, even a single pay lease won't eliminate the finance charges. It varies by bank/make

geminimichelle

Thank you so much for your quick replies!