Edmunds dealer partner, Bayway Leasing, is now offering transparent lease deals via these forums. Click here to see the latest vehicles!
Porsche 911 Lease Questions
This discussion has been closed.
Popular New Cars
Popular Used Sedans
Popular Used SUVs
Popular Used Pickup Trucks
Popular Used Hatchbacks
Popular Used Minivans
Popular Used Coupes
Popular Used Wagons
Comments
Given the same payment for two leases I would go with the lease that has the low residual and low MF.
This leaves you in a better position at the end of the lease if you decide to sell the car or keep it.
Do not put down 'a decent cap reduction'. With a lease it is best to put as little money down as possible. If you put down a big cap reduction and the vehicle is totaled you do not get that money back.
I am not personally all that familiar with U.S. Bank's lease program for Porsches, but it wouldn't shock me if it was about the same as Porsche Credit's given the lack of support on Porsche leases. If U.S. Banks' money factors and residual values are lower yet its lease payments are about the same then theoretically you would be better off leasing through it than through Porsche Credit because the lower residual value would make your car's lease-end purchase price lower.
Car_man
Host
Prices Paid Forum
Car_man
Host
Prices Paid Forum
2007 C2 Cab manual
$85250 purchase price/$93000 MSRP
39mo lease
15K miles
52000 residual (61%)
0.00259 MF (not thru Porsche)
lease $1268/mo (not including tax)
Thanks much.
Can you give me your input with regard to the following deal I worked out at a dealership in Connecticut:
Car - 997 Carrera S (Car is in inventory)
Invoice including destination - $89,205
Quoted price by dealer - $83,405
Lease term - 36 months
Residual - 59% or $52,631
Annual mileage - 10,000
Upfront fees:
Acquisition Fee - $745
Registration - $155
Documentation - $239
Disposition Fee - $350
Base payment excluding taxes - $1310.55
He didn't give me the money factor but is quoting the rate between 6 and 7 percent.
Are any of the upfront fees negotiable?
Do you think I am getting a reasonable discount (6.7%)?
What is your personal opinion if you had to decide between the Carrera S and the Targa 4?
Thanks,
Steve
I'd appreciate your opinion on this lease through Porsche Credit.
Carrera S Cab MSRP $121,290
Cap Cost $116,938 ( This includes $6000 needed to pay off my trade, so the negotiated cap cost was actually $109,938)
Residual $49,456
Due at signing
Cap Cost Reduction $26,578.98 (I want to do this to reduce my payments so I can lease the car through a business, and I plan on buying the car after the lease is over)
1st mo pmt $1216.64
Tire fee $8.75
Registration $781
Sales and Use Tax 2059.87
60 mos 12K per year
Pmt including tax $1216.64
Thanks,
Caboman1
Don't put down a large cap cost reduction.
Here is some feedback from Car Man regarding Cap Cost Reduction from some other lease forums on Edmunds:
"you may want to consider not making any sort of capitalized cost reduction on your lease. You would be better off going with a zero down lease."
"If one totals a leased vehicle in an accident, their vehicle is gone and with is goes any benefit that they were receiving from having made a cap cost reduction."
"It's true that it is not really a good idea to make capitalized cost reductions on leases. Consumers who do risk losing them if their vehicle is totaled in an accident or stolen and never recovered."
Carrera S vs Targa 4 - two very different vehicles and a very personal decision. Drive both back to back and pick the one you like best. My choice would be the C2S.
Are you kidding??
My 2005 S Cab was fairly well loaded (nav full leather/power seats, bose, sport chrono, sport exhaust, etc.) and came with a MSRP of $102,880. The 2007 equivalent MSRP would have been $106k +/-. I got a $10,800 discount on mine in September 2005. Your quoted price is a $11,400 discount - which would be very good - except it sounds like the car is loaded up with (excuse my bluntness) a lot of cosmetic junk. There are a lot of C2S Cabs with MSRP's of 105k or less that are VERY well equiped.
I can pretty much guarantee you that, if my assumption is correct, this car will take an enormous hit on depreciation due to the limited (in some cases NEGATIVE) resale value of custom colors, over the top interiors with graphite packages, etc., etc. I've seen cars sit on dealer lots for months with prices at or below a nicely equiped silver/black car that has decent options. If this overloaded 911 S Cab is just your cup of tea and you intend to keep it for 10 years, great. But in any less time than that, a 911 Turbo at $130k would be a less costly car to own, factoring in resale.
I've seen $3k with no markup on financing. I aslo heard $5k, but there was a markup on the financing that I believe made the first deal far better.
If the car is like prior versions, I expect that later in the model year, it will again turn out to be the least popular in the 911 family and far larger discounts will be had.
Thoughts? Experience?
Car_man
Host
Prices Paid Forum
Car_man
Host
Prices Paid Forum
As far as this car's money factor goes, Porsche Credit's current buy rate lease money factor is .00310. This is equivalent to an interest rate of around 7.4%. There is a decent chance that you can do better than that by leasing through an independent bank. If one has a better program than Porsche Credit, your dealer will likely steer you in that direction.
Car_man
Host
Prices Paid Forum
I also usually advise consumers against leasing for such a long time. A lot can happen over the course of a 5 year lease to make you want or need a new vehicle. Your family situation could change, your commute could change causing you to go way over your mileage allowance, your job could change causing you to want a more or a less expensive vehicle, or you could just plain get sick of your vehicle. I usually recommend that consumers lease for 39 months or less.
If you are comfortable with entering into such a long lease and making such a large down payment, this car's price looks pretty good to me. Just make sure that the dealer that you are working with uses Porsche Credit's current buy rate lease money factor of .00310 to calculate your car's monthly payment and you're in business.
Car_man
Host
Prices Paid Forum
I am not good at [I should say I am not smart enough] to understand how leasing is work, or how the money factory stuffs, can you simple talk about it? and also, I am looking around to get a costumer order on 911S [2007, 997],how many down payment do I really have to pay and also how many discount do I really get? If I put a $5000 down, the MSRP of the car is 97000, and I am going to lease the car for 5 years [ I am going to buy the car at the end anyway], how much will the monthly payment going to be?
Thanks for your kind concern and your time.
Lowbmc
I would agree in a heartbeat that if I could take the cash purchase price of my car, divide it by 72 and have that be my payment for 72 months, it would be a no-brainer deal. But in your example, you aren't actually buying the car for 0% interest, you are leasing it for 36-48-60 months after which you have nothing. Using 4 years, you are paying a total of $62,000 to lease a car costing $93,100. If that total lease cost is less than what your own borrowing cost (or opportunity cost) plus expected depreciation is, then the lease deal is good. If not, it's not. That's still pretty simple to me.
As far as how much of a down payment you should make on your lease goes, the answer is none. I personally always advise consumers not to make large down payments on lease vehicles. Consumers who make one risk losing it if their vehicle is totaled in an accident or stolen and never recovered. All consumers who choose not to make any down payment have to pay at lease signing are their vehicle's monthly payment, a security deposit equivalent to that payment rounded up to the nearest $50 increment, their acquisition fee that is charged by the bank they are leasing through... Porsche credit charges $745, and any required state taxes or fees.
The lease payment of the car that you are interested in will depend upon what sort of selling price you are able to negotiate on it. If you provide me with this car's approximate selling price I will gladly use Porsche Credit's current lease program to estimate what your monthly payment should be.
Car_man
Host
Prices Paid Forum
Car_man
Host
Prices Paid Forum
Car_man
Host
Prices Paid Forum
I'm curious as to your thoughts on how I would evaluate the purchase vs. lease, using the figures for lowbmc's car.:
Lease: $1,277 x 60 months = $76,620 total payments over 5 years.
Purchase: $93,190 (I'm using this figure, although it sounds very high for a loaded 911S Coupe - I would shoot for a 10% MSRP discount to $87,300).
Financing/opportunity cost over 5 years at 5% after tax borrowing rate = $23,300.
Total cost of purchase = financing + depreciation. For lease to be a better deal than purchase, $76,620 needs to be less than $23,300 + depreciation; i.e. depreciation needs to be more than $53,320. In this case, if the car is worth more than $39,870 in 5 years / 60k miles, you would have been better off buying.
Lots of assumptions there - but in my case, where the underlying cost of borrowing is less than 5% after tax, I would have a tough time leasing. Not to mention that I would hate monthly payments of nearly $1,300 in the few months that we had crappy winter weather. I bit my big bullet once, but prefer that to 60 deep pin pricks.
What say you?
Also, Porsche never provides any lease support on the 911. This means that if you want to lease one through Porsche Credit you will have to use its standard lease money factor of .00310. This is equivalent to an interest rate of over 7.4%. You may not even be able to find a dealer that is willing to lease you this car without marking your money factor up. If this happens your interest rate will be even higher than this. It looks to me as though you would probably be better off financing your new 911 rather than leasing it.
Car_man
Host
Prices Paid Forum
With all due respect... if there was a " magic " formula that would provide anyone with a " good " deal leasing a $100k vehicle, there would not be a single leasing company in business. IMO from personal experience leasing cars.. unless there is a good business reason that allows you depreciation or a deduction, the leasing companies have you by the short hairs..good luck.
Chromedome
To protect myself, I have asked the new leaser to deposit 2 payments in escrow with an attorney (signed legal contract as well).
Is this a good idea? Any other ideas? Thx
There is no way that I would transfer a lease, and still be on the hook for it.. even if I knew the person. Your possible liabilities greatly exceed a couple of payments..
regards,
kyfdx
Edmunds Price Checker
Edmunds Lease Calculator
Did you get a good deal? Be sure to come back and share!
Edmunds Moderator
Please see my last post in regards to " short hairs ". Just another example of the lows of leasing. I'm sorry for the guy not being able to keep the Porsche, BUMMER! Trusting someone who uses your leased car with the liabilty being yours totally is fool-hardy at best, financial damaging in reality. Sell the car and take the financial knock. Good luck!
Chromedome
Car_man
Host
Prices Paid Forum
Just to update you, I've decided to keep the car. Both the financial implications and the fact that Porsche rejected 3 candidates has made me think twice about parting with the car.
I even put 4 brand new Michelin's on yesterday.
Thanks
If so what are the money factors and residuals at 15K and 20K miles? for 36m and 48month leases? (for both the turbo and a C4S Cab)
Thanks in advance.
Paul
Can you tell me what the current money factor is for 36mos/12k mile lease. Also for purchase with top tier credit what interest rates are for 60mos loan?
Is there any benefit to waiting till 08 model comes out to get discount on leftover 07 turbo?
Thanks
Car_man
Host
Prices Paid: Buying & Leasing Experiences Forum
Car_man
Host
Prices Paid: Buying & Leasing Experiences Forum
Was at my dealer today and saw a Meteor Grey with sportchrono and a couple of other options for around $128,000. There will likely be no discount on a 2008 ordered, so if that or a similar car could be purchased for a $10k discount, that's a lot of nice dinners. I got a $10k discount on my 2005 C2S Cab and the only significant option it came with that I wouldn't have ordered was the sport exhaust. And, as fate would have it, that's now one of my favorite options.
Everybody's math is different, but there do seem to be a few leftover Turbo's hanging around to potentially negotiate on.
ownership of a car that wasn't EXACTLY perfect for me...additionally at that pricepoint the $10K is not really even relevant...We had two Turbo Coupes in stock last quarter because both clients had either changed their minds or experienced some reversal of fortune...We sold the first one to a guy that had just inherited a bundle, and the second to a gentleman that had previously had 4 Porsches and bought a Corvette...this was in May...712 miles later he bought the Turbo on July 22nd, and we now have the Vette. Both Turbos nicely, but not lavishly equipped, as you indicated you had seen.
But, you are certainly correct..."everybody's math is different"...
I agree, but perhaps we have different definitions of "exactly".
For me, in the case of the Turbo, it would have to be a 6-speed manual, in one of 2-3 colors / interiors, come with the sport chrono option and not be loaded up with the cosmetic stuff. At that point, a $10k discount would be just about perfect.
I do agree with your point in another way, however. My wife and I looked at 100+ new homes over the course of the last 18+ months. Nothing was "exactly" what we wanted, typically with the builder offering more quanity of square feet than we need and way less construction and finish quality than we want. But most importantly, no real architectural inspiration, except in a couple of cases, that were in the wrong location. So we bought a tear down house, hired an architect and will be spending 16 months designing and building a Frank Lloyd Wright Prairie style house.
I have that kind of patience and passion for a house. But Porshce did well enough with the 911 that getting close to my preferred configuration and driving away with the car at a significant discount was my choice rather than waiting 4+ months and getting the EXACT configuration at full price.
Yes, I talked to the salesperson who sold me my 2006 C2S, recently , and he related that the number of cars being shipped and available build slots for the " S" have been greatly decreased by Porsche ( 997 )... ( I live in North County San Diego, CA ). With the flush pockets that Porsche now has and the complaints about the excess production ( thereby increased depreciation ) in previous years ( 996 ), maybe Porsche is protecting my investment.. I hope so.
Chromedome