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2013 and earlier Volvo XC90 Lease Questions
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Way back at Message #837 I did a 2 year lease for an 2008 XC90. I am in the last 90 days of the lease. I want to keep the car and only have 18k on the odometer.
The lease is through Volvo Finance. The original buy-out is $30,373. I believe I need to go through a dealer not directly with Volvo finance.
I have seen offers in the past for nearly $5,000 below the original buy-out.
Is this still the case or has the residual market changed?
I also would like to convert to a CPO (Cert pre-owned) car with Volvo. Does this cost extra too or part of the deal of closing out the lease?
Does it pay to try different Volvo dealers to get a better deal?
Any suggestions are appreciated.
Car came out in 03,and it wasn't until 06 that Volvo had to get creative.
Prices have been going up at auctions all over the country,So I don't know that you will see a $5000 price adjustment. Should be able to get a couple grand,plus the cost of CPO.
Market is correcting itself now. Generally speaking during recessionary times used car sales go up. People who need cars are less comfortable spending NC money. With Volvo's(and other lux brands) CPO program buying used can be very beneficial.
$3750 Dealer Incentive (is this for 5 pass. only? or both 5 and 7 pass.?)
$5000 Lease incentive for outside financing
$1500 Volvo Loyalty
$1500 NEA discount
Any other incentives available? Are these incentives stackable? Does this mean that you can lease a car, be a prior customer, and a teacher, and start negotiations with $11,750 lopped off immediately?
Thanks for some real clarification.
Also, does the "what others are paying" price include the incentives which are shown under the "view" screen?
Thanks. Confusing.
My local dealer is telling me a few things that I would like verification on
1) The 3 Yr. residual is only 34%
2) US Bank is the only bank leasing Volvos
3) The best money factor I can get with a 750+ credit score is .00230
Is this all true, is it really that bad??? I can’t believe that they feel this vehicle will only be worth $15,651 in 3 years.
Avg markup is a lot closer to $2000
US Bank is the only company doing leasing at the moment.
Yes,the incentives are stackable.
I WON'T be a returning Volvo customer.
Even with the $33.3K deal I worked out; that's $200 over invoice, less $8K in incentives, with that money factor and residual it is still about $625 / month. $125 more than I paid for my 2008 XC90.
I'll wait three years and buy the XC90 used for $15K. As a matter of fact, in a year or so, i'll just fine someone on swapalease.com who wants out of their XC90 lease and I'll be ahead of the game, because the car will be worth more than they owe.
What if gas hits $4.00/gal and stays there?
Banks operate in a knee jerk fashion, so that is why the residuals are where they are.
Look, no one is offering the same kinds of leases they did 2 yrs ago. It just costs too much to do so. When you are selling fewer cars(as everyone is) those costs are magnified.
BMW Financial is probably offering a subvented residual in lieu of other incentives.
I doubt that an X5 will be worth 55% of MSRP in 3 yrs.
3 yr old X5's wholesale in the $19-20k range, and they all stickered north of $50 grand.
So, the lender takes the loss. Pretty hard to justify when sales are down.
We didn't know how lucky we had it with those $500 payments on $48K vehicles... The banks were losing their shirts.. they just didn't know it yet. Now, they know it, and the price reflects the risk.
On the plus side.. if you like to buy your vehicle at the end of the lease, you'll get a pretty good deal.
$500 lease payment on an SUV? Try a Tiguan, RDX or RAV4.. Doubt you'll find anything full-sized for that payment.. Or, possibly a stripped Pilot..
Cheap leases are going to be hard to find for awhile...
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Agreed!
I don't think that will last.
Last question, I promise
Does US Bank offer a 2 year 10,500/year lease like Volvo Finance did, if so, what is the residual and money factor on that option?
Thanks,
Joe
Also, cheap leases are gone. It is better to extend the current VCFNA leases; it MIGHT get better by the end of the year but not as good as 2 years ago. The SUV market has tanked and the wholesale value is still low (has got better a bit lately though).
I will keep you posted on the process
It is 4y lease with 12,000 miles/yr. Nothing down, and monthly payment of 510 (through US bank of course)
Residual was %32. But I can buy it at the end for $11,400.
I shopped for other brands. You can not beat this. Lexus, Acura, MB and BMW SUV are much more expensive for same equipment. My Volvo quote was cheaper than slightly less-equipped Honda Pilot 2009.
Add to that, the 5 yr 60k warranty, which includes maintenance and wear/tear and one would be foolish to pass this. You can just buy the XC90 at the end and sell it next day to Carmax. You will make few thousands if you have a clean car.
Good luck to all.
Does 31% sound right? I thought I saw a 36% residual for 36 mos in prior posts.
I'm getting ready to turn in my 2008 volvo now off a 2year lease that I had through volvo (21K) - residaul is only 27,300, but if i can get a brand new Volvo on a 4 year lease for 510 a month it sounds like a no brainer - especially with the maintenance and wear and tear included. I had the basic package before (no navigator or upgrades) and was paying 540/month (including tax)
39 months @ $559.63/month $787 upfront, which is first payment and doc fee. I think the doc fee is just another way for the dealer to get a couple hundred bucks - but I can't verify that, useless someone knows if US bank charged them a doc fee? What I would really like to know is if you get an extra 3000 miles for the 39 month lease or is it capped at 36,000?
Car_man
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Just spoke to a salesman today, he said starting 9/1 the alternative lease support is only $3000 now for XC90 3.2AWD, down from $5000 before, does anyone know if that's true?
Also, does anyone know the lease terms available from US Bank? Looking for residuals (%) and money factors for 36 or 48 month lease (or closest to), 12k/year. Bank fee charged by US Bank?
Thanks very much for any answers!
But keep in mind this was a salesguy speaking, that's why I'm looking for independent verification here by Car_Man or anyone else who might know...