You mentioned some of BMW's lease programs were enhanced this month - can you provide program info for:
330ci, 530i and M3 - 36 mos 15k miles/yr? I see the money factor of .00080 for the 325i at 36 months - what is the residual for 15k miles/yr? Is the 325Ci rate different?
No problem, bravest086. I would be more than happy to work up a sample lease payment on this truck for you. However, in order for me to do so I need you to provide me with its full MSRP. For now, I can tell you that in your area, Toyota's New York region, Toyota Financial Services' base lease money factor and residual value for a 3 year, 15,000 miles per lease of a 2005 Toyota 4Runner Limited 4WD should be .00148 and 58%, respectively.
You are right, CFB. Audi will stop producing the allroad during the 2005 model year. It will eventually be replaced by an A6 wagon and its planned SUV the Q7 (known as the Pike's Peak in its concept stage). I personally doubt that Audi's lease program on the allroad will be significantly worse later on this year. Generally speaking, vehicles incentives increase as the model year progresses. While it is impossible to predict what an automaker will do with its future incentives with 100% accuracy, if I had to make an educated guess, I would say that Audi's lease program on the allroad will probably be a little better several months down the road than it is today. Even if it isn't it would take a heck of a large difference in this vehicle's lease payment to make up for all of the payments that you would have to eat if you were to turn in your current allroad at this time.
The only owner loyalty incentive that I am aware of on the 2005 allroad right now is $750. If you were to lease an '05 allroad 4.2 through Audi Financial Services right now for 24 months with 15,000 miles per year, its base lease money factor and residual value should be .00100 and 68%. The numbers for an otherwise identical 36 month lease should be .00100 and 58%. The numbers for an otherwise identical 39 month lease should be (I know that you asked for the 42 month numbers but I haven't seen them recently) .00100 and 55%.
Hi texasteasip. If you were to lease a 2005 Lexus RX 330 2WD without navigation and without the rear entertainment system through Lexus Financial Services right now for 4 years with 12,000 miles per, its base lease money factor and residual value should be .00165 and 49%, respectively.
Hi andre1. If you were to lease a 2005 Nissan Murano SL 2WD through Nissan Motor Acceptance Corp. in December for 36 months with 15,000 miles per, its base lease money factor and residual value should be .00174 and 59%, respectively. The numbers for an otherwise identical 39 month lease should be .00199 and 53%. The numbers for an otherwise identical 42 month lease should be .00174 and 56%.
Hi st7. If I was in your situation, I personally would not purchase this car and the end of its lease. I do not know exactly how much diminished value it has experienced because of this accident though. You may want to stop by one of the following discussions to try to find out: "Pricing used vehicles involved in accidents/reconditioned" or "Real-World Trade-In Values".
Don't worry about it, artd1. It happens all the time. Let's try to work up a sample lease payment on this truck for you and see what we come up with. According to my calculations, if you were to lease a 2005 Lincoln Navigator Luxury 4WD with an MSRP $63,000 and a selling price of $53,000 (which actually may be possible, but seems to be a little on the low side to me), through Ford Credit right now for 36 months with 15,000 miles per year, your zero down, pre-tax monthly payment should be around $804. The payment for an otherwise identical lease with only 12,000 miles per year would drop to around $771. A 39 month, 15,000 miles per year lease would have a payment of $792 and a 12,000 miles per payment of around $762. So as you can see, you were right that this truck's lease payment will indeed be in the area of $800 per month.
No problem, keeferb. OK, if you were to lease a 2005 Nissan Pathfinder XE 4WD through NMAC right now for 39 months, with 15,000 miles per year, its base money factor and residual value should be .00170 and 61%. The money factor for an otherwise identical lease of an '05 Pathfinder SE 4WD would be the same, but the residual value would be 59%.
Good point about BMW Financial Services' lease acquisition fee, kyfdx. While it wouldn't apply yet, I thought that you might be interested in the fact that BMW FS' is supposedly raising its acquisition fee by $100 to $625 on January 1st.
Hi jarbatz. The lease payment that you were quoted on the Saturn VUE that you are considering looks about right to me. Chevrolet does not currently have a 39 month lease program on the Equinox, but I would be able to give you an idea of what the 36 month payment would be like for the Equinox that you are considering. In order for me to do so though, I need you to provide me with its full MSRP and selling price.
I have had an opportunity to take a look at Volvo's December lease program for the car that you are interested in, Lee, and I would be more than happy to help you out. I do not believe that Volvo is providing any sort of lease support on the 2005 S60 R this month. If this is indeed the case and you were to lease one through Volvo Finance, you would have to use its standard lease program. Volvo Finance's December 36 month, 15,000 miles per year base lease money factor and residual value for the '05 S60 R should be .00345 and 54%. The numbers for an otherwise identical 42 month lease of this car should be .00345 and 49%. It is providing $4,000 cash assistance on '05 S60 R models that are leased through banks other than Volvo Finance. If you end up leasing this car through an independent bank make sure to take this cash into account when you negotiate its selling price.
Hey Lee. Here is the info that you're looking for. If you were to lease a 2005 BMW 330ci through BMW FS right now for 3 years with 15,000 miles per, its base lease money factor and residual value should be .00080 and 58%, respectively. The numbers for an otherwise identical lease of a 2004 BMW 530i should be .00125 and 60%. Finally, the numbers for an otherwise identical lease of a 2004 M3 coupe should be BMW FS' standard .00240 and 61%.
I was at the Volvo dealer on December 1st and they did not mention the cash assistance for third party leasing. I just called the salesman and he didn't seem to know about it, but was able to look it up and confirmed the $4,000 assistance.
I should be receiving an updated quote from him via e-mail today.
The MSRP for the Equinox is $27,825, Invoice is $25,082 and TMV is $25,759. Please remember to factor in my remaining $1500 in lease payments as well as my GM discount.
Thanks so much!
Also - any info regarding GMAC's credit requirements would be much appreciated!!
Hey CARMAN! Thanks for helping out. In answer to your question: The 4Runner Limited 4x4 '05 with options, MSRP is $40,420...$40,985 with destination charge. Look forward to hearing back from you with numbers and/or advice. Thanks, Bravest
Sure... if you could work up a sample lease based on current incentives etc...I guess I could compare it to the balloon being offered to me in NYC. Lets base it on an '05 Saab 9-3 Arc...Auto, sunroof, metallic, heated seats. MSRP is 34,545. Assume no money down and include $500 lease loyalty incentive.
Incidently, I am relocating to Cali (LA) no later than March '05.....considering that I do not have to pay to have the car shipped, do you think I would be better off waiting and dealing out west?
i had posed a question on a proposed lease for a G35X and was wondering if you would assist in evaluating whether this is a fair deal....
thanks in advance....
i have reposted the information for your convenience. I'm interested in leasing the 2004 G35X, the All Wheel Drive.
My local dealer is offering what seems like a reasonable deal (there is this new Winter Engagement Event that is geared towards liquidating the 04's) , and i wanted to be assured that it really is.
Here are the details.
42 month lease with no money down except the motor vehicle fees.
the MSRP on the vehicle is 35890 which includes the premium package.
15k miles per year.
the payment offered is 389.99 per month
the residual value is 55%
with a trade that is being appraised at $3,000(Plus the 6% tax i'm saving on the trade in value) i can go down to $299.99 per month.
please advise if this makes sense and whether i'm doing ok. i have no idea how to calculate lease deals.
I think the limited may be too costly to lease, so if you could also look into the SR5 which has an MSRP of about 32,750 which icludes options and destination charge. You're the best! Bravest
Hello Carman, can you post the residual and money factor fro 05 PT cruiser GT convertible for 3 years 15k mi and 12kmi per year in AZ. In local advertisement, it mentioned that Chrysler has $1000 bonus for finance through Chrysler financial corp. Would Lease qualified for this $1000 bonus? Also is there any difference in residual between model with and without Nav? thanks.
Wondering if Porsche is offering any sweeteners for December on the Porsche Cayenne and Cayenne S? I'm interested in a 36 month lease at 12k miles. My local dealer has both 2005 & 2004 models and I'd consider either, given the right deal. Can you confirm money factors and residuals for each?
You're welcome, Jarbatz. I don't know the exact purchase price that you would qualify for on this Equinox if you were to purchase it through General Motors' supplier purchase program, so for now let's assume that you can get it for invoice before any incentives are taken into account. This would put this truck's capitalized cost at $1,500 over invoice after taking your remaining lease payments into account. I just remembered that General Motors' lease program for this truck varies depending upon which one of its 5 regions you are in. For now I will assume that you are in either its South Central, Western, or Southeast regions. According to my calculations, if you were to lease a 2005 Chevrolet Equinox AWD with an MSRP of $27,825 and a capitalized cost of $26,582 through General Motors Acceptance Corp. in one of these areas right now for 36 months with 12,000 miles per year, your zero down, pre-tax monthly payment should be around $369.
You're welcome, Bravest. Let's work up a sample lease payment on this truck for you and see what we come up with. According to my calculations, if you were to lease a 2005 Toyota 4Runner Limited 4WD with an MSRP of $40,985 and a selling price of $34,500 (which sounds unrealistically low to me, but that's what you posted in your earlier message) through Toyota Financial Services in its New York region this month for 3 years with 15,000 miles per, its zero down, pre-tax monthly payment should be right around $385.
Here you go, apothny. According to my calculations, if you were to lease a 2005 Saab 9-3 Arc with an MSRP of $34,545 and a selling price of $30,145 through Saab Financial Services Corp. right now for 3 years with 12,000 miles per, its zero down, pre-tax monthly payment should be around $391. Deducting the $500 loyalty cash from this car's capitalized cost would drop the payment to around $377.
As far as waiting until you move out west to get your new car goes, if you don't have to pay to ship it then I really don't see any reason to wait.
Hey brodway. I already responded to your earlier post about this lease. Here is a copy of my response:
"Let me begin by saying that I always advise consumers against making any sort of down payment when leasing. I do so for two main reasons. The first is if your vehicle is totaled in an accident or stolen during your lease, your insurance company pays off the bank that you were leasing it through and your down payment essentially disappears. The second main reason is that down payments on leased vehicles do nothing to reduce their lease-end purchase prices. So your lease-end purchase option price for this G35 would be exactly the same, regardless of whether you had used the proceeds from your trade as a down payment, or had made absolutely no down payment at all. If you enjoy the convenience that trading your current vehicle in provides over selling it on your own, have the dealer that you are trading it in to cut you a check for it rather than use the money as a capitalized cost reduction for your lease.
You never mentioned the selling price of the car that you are interested in leasing. This is an important number for you as a consumer to know for two reasons. First, the selling prices of leased vehicles can be negotiated, just as if you were paying cash for them. Without knowing the price of the car that you want to lease you don't know how good a price you are getting it for. The second reason is that one needs the selling price of a vehicle that they want to lease is that it is necessary to calculate its lease payment. I would be more than happy to work up a sample lease payment on the car that you are interested in for you that you can use to compare to the payment that you have been quoted if you let me know what its selling price is. I also need to how many miles per year you want to be able to drive this car.
In your post you mentioned that you don't know how to calculate lease payments. There is a great article on the subject that it available here at Edmunds.com. You definitely should check it out prior to leasing anything. Here is a link to it for your convenience: Calculate Your Own Lease Payment."
Here you go, rnpaul. If you were to lease a 2005 BMW 325i through BMW Financial Services in December for 42 months with 15,000 miles per year, its base lease money factor and residual value should be .00080 and 53%, respectively. Notice that I provided you with this car's 42 month numbers instead of the 48 month numbers that you asked for. I did so because this is the longest length lease that BMW's special lease money factors are available for. If you were to lease for 48 months, the money factor that is used to calculate this car's payment would jump to BMW's standard money factor, which is around .00240.
If you were to lease a 2005 Lexus IS 300 with an automatic transmission through Lexus Financial Services right now for 4 years with 15,000 miles per, its base lease money factor and residual value should be .00093 and 44%, respectively. The numbers for an otherwise identical 3 year lease of this car should be .00088 and 53%.
Hey Bravest. In order to calculate a sample lease payment on this SR5 for you, I need to know what its selling price is. If you nave not negotiated one with any dealers yet, you should be able to get a good idea of what you should pay for it by looking up its Edmunds.com True Market Value in the New Vehicle Pricing section of this site or by stopping by the following discussion: "Toyota 4Runner: Prices Paid & Buying Experience".
Here is the information that you are looking for, topgun7. If you were to lease a 2005 Chrysler PT Cruiser Convertible GT through Chrysler Financial for 3 years with 15,000 miles per, its base lease money factor and residual value should be .00200 and 53%, respectively. The residual value for an otherwise identical lease with only 12,000 miles per year would increase to 55%. Unlike with many other vehicles, there does not appear to be any difference between the residual values for this car equipped with or without navigation. When negotiating your lease on it, keep in mind that DaimlerChrysler is providing $1,500 lease cash and the $1,000 bonus for deals through Chrysler Financial that you mentioned for a total of $2,500 that will help you to negotiate an attractive selling price.
Hi Ken. Porsche is not providing any sort of lease support on the Cayenne in December. They really haven't had to provide much in the way of support on it since its introduction, other than some cash on demo models to help dealers unload their remaining Cayenne S models at the end of the 2004 model year, so it stands to reason that they would not have to add any now at the beginning of the 2005 model year and as winter approaches and AWD models are in greater demand. If you were to lease a 2005 Cayenne S through Porsche Credit right now for 3 years with 12,000 miles per, its base lease money factor and residual value should be .00210 and 59%, respectively. The money factor for an otherwise identical lease of a 2004 model would be the same but the residual would drop to 54%
car man, I need help on this offer. I'm a first time lease-r and want to know if this deal is any good : Acura TL '05 w/ navi msrp around 35,500 42 mo lease, 12k miles $2000 down $499+tax/mo
Thank you for your response...I did not realize the original message was intended for me...Just to add, the selling price of the vehicle is 30975...
The only reason i'm trading in my vehicle is because i would not want to sell it myself...The vehicle is 11 years old and i would not want anyone to return back to me with any problems that may arise in the future. In addition, the dealer is offering a price i would probably be hard pressed to get on my own. The suggestion you made, however, sounds logical...i would certainly want the check upfront for the trade in, if rolling it into the lease provides nothing but risk exposure to me...
Thanks again for all your help.
"Let me begin by saying that I always advise consumers against making any sort of down payment when leasing. I do so for two main reasons. The first is if your vehicle is totaled in an accident or stolen during your lease, your insurance company pays off the bank that you were leasing it through and your down payment essentially disappears. The second main reason is that down payments on leased vehicles do nothing to reduce their lease-end purchase prices. So your lease-end purchase option price for this G35 would be exactly the same, regardless of whether you had used the proceeds from your trade as a down payment, or had made absolutely no down payment at all. If you enjoy the convenience that trading your current vehicle in provides over selling it on your own, have the dealer that you are trading it in to cut you a check for it rather than use the money as a capitalized cost reduction for your lease.
You never mentioned the selling price of the car that you are interested in leasing. This is an important number for you as a consumer to know for two reasons. First, the selling prices of leased vehicles can be negotiated, just as if you were paying cash for them. Without knowing the price of the car that you want to lease you don't know how good a price you are getting it for. The second reason is that one needs the selling price of a vehicle that they want to lease is that it is necessary to calculate its lease payment. I would be more than happy to work up a sample lease payment on the car that you are interested in for you that you can use to compare to the payment that you have been quoted if you let me know what its selling price is. I also need to how many miles per year you want to be able to drive this car.
In your post you mentioned that you don't know how to calculate lease payments. There is a great article on the subject that it available here at Edmunds.com. You definitely should check it out prior to leasing anything. Here is a link to it for your convenience: Calculate Your Own Lease Payment."
*Edit* Hello CarMan, my first post here, so I'll address this to you:
#1
if I have negotiated a price lower than msrp is the residual based off of that lower price as a % of cap cost, or does the residual stay the same and all I'm doing is negotiating my 'rent' payment lower. The reason I ask is I am considering a BMW 525 lease with a likelihood that I'll buy the vehicle. I know I'll be paying more money than buying the vehicle straight out, but I need low payments for now, until I build my commission business and then I'll be able to handle a heftier purchase payment. I'm trying to make sure that my negotiations are affecting the residual value, so that when I attempt to purchase the vehicle, the price is lower. I'm guessing residual is just a percentage of the cap cost, but let me know.
#2
Is acquisition cost pure b.s. or is it a valid fee that needs to be paid like freight? BMW 5 series national lease mentions nothing about acq cost except for residents of NY. Is this because New Yorkers must pay acq cost up front and not roll it in as part of their payment, or is NY the only state that is allowed to charge for acq cost?
Assuming an MSRP of 32,635 and an invoice of 29,409.12, what would be some lease prices on a 2005 Honda Pilot EX with leather, no DVD/Navi? I haven't gotten prices locally, but I have heard of $500 over invoice in a couple dealerships in Florida.
3 years, 36,000 miles. Located in New Hampshire if it matters (yay for no sales tax).
1) Residual is based off MSRP... If you negotiate a lower cap cost, you are making your lease payment lower, saving that money... but the residual is always a percentage of MSRP and is not negotiable.
2) Acquisition fees are non-negotiable and are paid to the bank... Some (most) BMW dealers will mark them up (bank allows them to add $200), and that part can be negotiated.
Car_Man will have to answer your New York specific questions.. The ad probably specifies NY, because acquisition costs might be higher there due to vicarious liability laws.
Yes, I live in Arizona, but I do know in the securities industry as well as with insurance, NY has some pretty strict regulations, and figured that they had to disclose acq fee.
It is bad news, however for me with respect to the residual not falling due to my negotiations. As I'm looking to buy the vehicle possibly at lease term, it seems I'll be back to paying msrp upon purchase later on. Hrmm, my first lease, but I wonder how negotiable BMW might be down the road if I look to buy it.
I've never leased before and I would like opinions on whether or not this is a good lease, or if I should be looking to lease something different:
2005 Honda Accord EX w/leather 4 cyl Fully loaded- no navi
The lease would be $193/mo for 36 w/ a $5200 trade in. Is this worth it? To buy is about $346 but I cannot afford to buy right now. Please let me know what you think. Thanks!
I'm coming off of a lease on a 3 yr old Lexus RX300. Back in 2003, I'd just missed the 2002 "December to Remember" event. When I was getting lease quotes, two dealerships said that I had missed the promotional 62% residual for 36 month lease and 12k/year.
I see a recent post from Car_Man that Lexus' promotion this year for the same term/miles is 59%. Just wondering if there's any historical knowledge or understanding of why the residual for this year is so much lower during the December to Remember promotion?
My lease expired in April of 2004, but in November I got a bill (as in previous years of the lease) for the property tax on the car. My county and city tax office said they don't pro-rate taxes and that it's up to the finance company to tax me only for the 3.5 months I leased it in 2004. I already spoke to a couple of people at finance company, but they blame the state. Anyone else have better luck with their finance co?
In my state, if you have the car registered on January 1st, then you owe taxes for the entire year... If someone buys it from you on January 2nd, then they get to drive it tax-free for the rest of the year..
I would imagine your state is similar.. The reason the car is taxed in Texas is because you live in Texas. From your bank's viewpoint, that doesn't concern them. My guess is there will be no pro-ration, because after you turned your car in, it was sold at auction... It may not even be in Texas anymore. Ergo, no one to pay the "pro-rated" portion that you wish to not pay.
Property taxes on houses work differently, of course... But, even then, the government doesn't actually pro-rate the taxes, the settlement/title lawyers do it for you.
Thanks kyfdx. The killer is that I ended up purchasing vehicle and had to pay sales tax. Maybe I should try going higher up the chain pleading my case since I used the same finance company.
Thanks for the response. You asked for a reminder in a day or two so here it is. Could you please provide me with the lease information on a 2005 Chrysler 300M? I am looking for 24/36 months and 12/15k miles. The area that I will be leasing in is the Greater Cincinnati area. Thank you in advance for your help.
If you bought the car, then you've been driving it for the whole year.... Property tax is separate from sales tax... I doubt you'll get out of any of it.. In KY, where I live, you'd pay it either way.
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You mentioned some of BMW's lease programs were enhanced this month - can you provide program info for:
330ci, 530i and M3 - 36 mos 15k miles/yr? I see the money factor of .00080 for the 325i at 36 months - what is the residual for 15k miles/yr? Is the 325Ci rate different?
Thanks,
Lee
Bravest
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The only owner loyalty incentive that I am aware of on the 2005 allroad right now is $750. If you were to lease an '05 allroad 4.2 through Audi Financial Services right now for 24 months with 15,000 miles per year, its base lease money factor and residual value should be .00100 and 68%. The numbers for an otherwise identical 36 month lease should be .00100 and 58%. The numbers for an otherwise identical 39 month lease should be (I know that you asked for the 42 month numbers but I haven't seen them recently) .00100 and 55%.
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I was at the Volvo dealer on December 1st and they did not mention the cash assistance for third party leasing. I just called the salesman and he didn't seem to know about it, but was able to look it up and confirmed the $4,000 assistance.
I should be receiving an updated quote from him via e-mail today.
Thanks again,
Lee
That's good news - I'm having a hard time finding anything I like better than a BMW and the updated rates (except for the M3) look good.
Thanks again for your help,
Lee
The MSRP for the Equinox is $27,825, Invoice is $25,082 and TMV is $25,759. Please remember to factor in my remaining $1500 in lease payments as well as my GM discount.
Thanks so much!
Also - any info regarding GMAC's credit requirements would be much appreciated!!
Jarbatz
In answer to your question:
The 4Runner Limited 4x4 '05 with options, MSRP is
$40,420...$40,985 with destination charge.
Look forward to hearing back from you with numbers and/or advice.
Thanks,
Bravest
Incidently, I am relocating to Cali (LA) no later than March '05.....considering that I do not have to pay to have the car shipped, do you think I would be better off waiting and dealing out west?
i had posed a question on a proposed lease for a G35X and was wondering if you would assist in evaluating whether this is a fair deal....
thanks in advance....
i have reposted the information for your convenience.
I'm interested in leasing the 2004 G35X, the All Wheel Drive.
My local dealer is offering what seems like a reasonable deal (there is this new Winter Engagement Event that is geared towards liquidating the 04's) , and i wanted to be assured that it really is.
Here are the details.
42 month lease with no money down except the motor vehicle fees.
the MSRP on the vehicle is 35890 which includes the premium package.
15k miles per year.
the payment offered is 389.99 per month
the residual value is 55%
with a trade that is being appraised at $3,000(Plus the 6% tax i'm saving on the trade in value) i can go down to $299.99 per month.
please advise if this makes sense and whether i'm doing ok. i have no idea how to calculate lease deals.
Can you post 48mo 15k mf and residual for above cars (2005)and Is 300 36 mo?
Thanx
You're the best!
Bravest
Wondering if Porsche is offering any sweeteners for December on the Porsche Cayenne and Cayenne S? I'm interested in a 36 month lease at 12k miles. My local dealer has both 2005 & 2004 models and I'd consider either, given the right deal. Can you confirm money factors and residuals for each?
Thanks,
Ken
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As far as waiting until you move out west to get your new car goes, if you don't have to pay to ship it then I really don't see any reason to wait.
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"Let me begin by saying that I always advise consumers against making any sort of down payment when leasing. I do so for two main reasons. The first is if your vehicle is totaled in an accident or stolen during your lease, your insurance company pays off the bank that you were leasing it through and your down payment essentially disappears. The second main reason is that down payments on leased vehicles do nothing to reduce their lease-end purchase prices. So your lease-end purchase option price for this G35 would be exactly the same, regardless of whether you had used the proceeds from your trade as a down payment, or had made absolutely no down payment at all. If you enjoy the convenience that trading your current vehicle in provides over selling it on your own, have the dealer that you are trading it in to cut you a check for it rather than use the money as a capitalized cost reduction for your lease.
You never mentioned the selling price of the car that you are interested in leasing. This is an important number for you as a consumer to know for two reasons. First, the selling prices of leased vehicles can be negotiated, just as if you were paying cash for them. Without knowing the price of the car that you want to lease you don't know how good a price you are getting it for. The second reason is that one needs the selling price of a vehicle that they want to lease is that it is necessary to calculate its lease payment. I would be more than happy to work up a sample lease payment on the car that you are interested in for you that you can use to compare to the payment that you have been quoted if you let me know what its selling price is. I also need to how many miles per year you want to be able to drive this car.
In your post you mentioned that you don't know how to calculate lease payments. There is a great article on the subject that it available here at Edmunds.com. You definitely should check it out prior to leasing anything. Here is a link to it for your convenience: Calculate Your Own Lease Payment."
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If you were to lease a 2005 Lexus IS 300 with an automatic transmission through Lexus Financial Services right now for 4 years with 15,000 miles per, its base lease money factor and residual value should be .00093 and 44%, respectively. The numbers for an otherwise identical 3 year lease of this car should be .00088 and 53%.
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If you don't mind, I would like to compare the latest numbers on an '05 RL and an '05 A6 3.2, both at MSRP:
Acura '05 RL
MSRP $49,470
36 and 42 months with 17000 miles
Audi '05 A6 3.2
MSRP $50,670
36 and 42 months with 17000 miles
Thanks,
Lawrence
I need help on this offer. I'm a first time lease-r and want to know if this deal is any good :
Acura TL '05 w/ navi
msrp around 35,500
42 mo lease, 12k miles
$2000 down
$499+tax/mo
What deal Should I be negotiating:
Thanks!!
The only reason i'm trading in my vehicle is because i would not want to sell it myself...The vehicle is 11 years old and i would not want anyone to return back to me with any problems that may arise in the future. In addition, the dealer is offering a price i would probably be hard pressed to get on my own. The suggestion you made, however, sounds logical...i would certainly want the check upfront for the trade in, if rolling it into the lease provides nothing but risk exposure to me...
Thanks again for all your help.
"Let me begin by saying that I always advise consumers against making any sort of down payment when leasing. I do so for two main reasons. The first is if your vehicle is totaled in an accident or stolen during your lease, your insurance company pays off the bank that you were leasing it through and your down payment essentially disappears. The second main reason is that down payments on leased vehicles do nothing to reduce their lease-end purchase prices. So your lease-end purchase option price for this G35 would be exactly the same, regardless of whether you had used the proceeds from your trade as a down payment, or had made absolutely no down payment at all. If you enjoy the convenience that trading your current vehicle in provides over selling it on your own, have the dealer that you are trading it in to cut you a check for it rather than use the money as a capitalized cost reduction for your lease.
You never mentioned the selling price of the car that you are interested in leasing. This is an important number for you as a consumer to know for two reasons. First, the selling prices of leased vehicles can be negotiated, just as if you were paying cash for them. Without knowing the price of the car that you want to lease you don't know how good a price you are getting it for. The second reason is that one needs the selling price of a vehicle that they want to lease is that it is necessary to calculate its lease payment. I would be more than happy to work up a sample lease payment on the car that you are interested in for you that you can use to compare to the payment that you have been quoted if you let me know what its selling price is. I also need to how many miles per year you want to be able to drive this car.
In your post you mentioned that you don't know how to calculate lease payments. There is a great article on the subject that it available here at Edmunds.com. You definitely should check it out prior to leasing anything. Here is a link to it for your convenience: Calculate Your Own Lease Payment."
Car_man
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Hello CarMan, my first post here, so I'll address this to you:
#1
if I have negotiated a price lower than msrp is the residual based off of that lower price as a % of cap cost, or does the residual stay the same and all I'm doing is negotiating my 'rent' payment lower. The reason I ask is I am considering a BMW 525 lease with a likelihood that I'll buy the vehicle. I know I'll be paying more money than buying the vehicle straight out, but I need low payments for now, until I build my commission business and then I'll be able to handle a heftier purchase payment. I'm trying to make sure that my negotiations are affecting the residual value, so that when I attempt to purchase the vehicle, the price is lower. I'm guessing residual is just a percentage of the cap cost, but let me know.
#2
Is acquisition cost pure b.s. or is it a valid fee that needs to be paid like freight? BMW 5 series national lease mentions nothing about acq cost except for residents of NY. Is this because New Yorkers must pay acq cost up front and not roll it in as part of their payment, or is NY the only state that is allowed to charge for acq cost?
Thanks in advance
3 years, 36,000 miles. Located in New Hampshire if it matters (yay for no sales tax).
I hope I didn't leave any info out. Thanks!
1) Residual is based off MSRP... If you negotiate a lower cap cost, you are making your lease payment lower, saving that money... but the residual is always a percentage of MSRP and is not negotiable.
2) Acquisition fees are non-negotiable and are paid to the bank... Some (most) BMW dealers will mark them up (bank allows them to add $200), and that part can be negotiated.
Car_Man will have to answer your New York specific questions.. The ad probably specifies NY, because acquisition costs might be higher there due to vicarious liability laws.
regards,
kyfdx
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I just noticed that the rate may extend to 42 mos from one of your other posts - would your provide the residual for the 330Ci @ 42 mos/15k mi/yr?
What do you guess will happen after this program is over - is there much chance it will get any better?
Thanks,
Lee
Yes, I live in Arizona, but I do know in the securities industry as well as with insurance, NY has some pretty strict regulations, and figured that they had to disclose acq fee.
It is bad news, however for me with respect to the residual not falling due to my negotiations. As I'm looking to buy the vehicle possibly at lease term, it seems I'll be back to paying msrp upon purchase later on. Hrmm, my first lease, but I wonder how negotiable BMW might be down the road if I look to buy it.
Well, thanks for the reply.
2005 Honda Accord EX w/leather
4 cyl
Fully loaded- no navi
The lease would be $193/mo for 36 w/ a $5200 trade in. Is this worth it? To buy is about $346 but I cannot afford to buy right now. Please let me know what you think. Thanks!
I'm coming off of a lease on a 3 yr old Lexus RX300. Back in 2003, I'd just missed the 2002 "December to Remember" event. When I was getting lease quotes, two dealerships said that I had missed the promotional 62% residual for 36 month lease and 12k/year.
I see a recent post from Car_Man that Lexus' promotion this year for the same term/miles is 59%. Just wondering if there's any historical knowledge or understanding of why the residual for this year is so much lower during the December to Remember promotion?
Thanks!
Ken
I would imagine your state is similar.. The reason the car is taxed in Texas is because you live in Texas. From your bank's viewpoint, that doesn't concern them. My guess is there will be no pro-ration, because after you turned your car in, it was sold at auction... It may not even be in Texas anymore. Ergo, no one to pay the "pro-rated" portion that you wish to not pay.
Property taxes on houses work differently, of course... But, even then, the government doesn't actually pro-rate the taxes, the settlement/title lawyers do it for you.
regards,
kyfdx
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Thanks for the response. You asked for a reminder in a day or two so here it is. Could you please provide me with the lease information on a 2005 Chrysler 300M? I am looking for 24/36 months and 12/15k miles. The area that I will be leasing in is the Greater Cincinnati area. Thank you in advance for your help.
Jeff
regards,
kyfdx
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