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Comments

  • d_nyholmd_nyholm Member Posts: 80
    Using the information you have given, I get a lease price of 273.09 with the taxes rolled in or 255.22 paying taxes out of pocket. What other fees are they adding into the lease to get a cap cost of 23211.09? I figured a cap cost of 22087. I assume that means your taxes are rolled into it?? If that is the case, there is something that seems fishy to me since they are figuring a payment that is $25 higher than expected. Check out this calculator to help you:

    http://www.leaseguide.com/calc.htm

    Good luck with your lease!! Or are you doing a balloon financing option? That does work out a little differently than a regular old simple lease. Hopefully the host can shed some light in this area.
  • jvigil88jvigil88 Member Posts: 21
    The reason I was looking to lease is for the tax benefits because I am self employed and will be 1099 at the end of the year. I was told by one tax person that the best deal is to lease or purchase a SUV over 6000 pounds. So that is why I am looking to lease. But then someone just told me that there is no difference in the tax write offs. I know this is not an auto lease question exactlly but I figured that maybe other people here were in the same situation. I was going to go lease one today but now I am worried that maybe it is not the right choice.

    Janell
  • dwynnedwynne Member Posts: 4,018
    The coupe is 0.00200 and 60% and the convertible is 0.00225 and 61% . These are the April numbers, I would expect them to change next week.

    Dennis
  • ch7656ch7656 Member Posts: 43
    Curious if dealers can and/or do manipulate residual values down in the same way they may manipulate money-factors up in order gain more profit?

    If I'm getting buy rate on the MF and the actual residual is say 60%...can the dealer try to move that residual to say 58%? or is the residual not something they can change???
  • jsark994jsark994 Member Posts: 8
    Hi -

    I am consdering the following lease offer and wanted to hear some opinion(s). The car is the Acura TL 2005 / Navigation system withe the following variables:

    Net Cap: $32,500.
    RV: 57%
    MF: .0024
    Term: 36
    Miles: 15K/per
    Base pmt.: $510.54 + $30.63 = $541.17 total monthly pmt.

    Out of pocket = $1,300. (1st pmt. + transfer + doc. prep. + acquisition)

    I sincerely appreciate any / all replies.

    JRS
  • dbraddbrad Member Posts: 3
    Hi,

    I'm new to leasing and have a question. I went to a Volvo dealer in Connecticut, test drove a Volvo S60 and asked the sales rep to run some lease numbers for me. The MSRP of the S60 I wanted to lease was $34,490. Volvo was willing to lease it to me for $33,000, a savings of less than $1,500. When I mentioned to the salesman that I saw an add from another Volvo dealer in the paper that offered $3,000 or so in savings on a Volvo S60 he said that Volvo does not offer a similar savings on a leased vehicle. I think he said it had something to do with the lease factor of 0.00019 and the need for Volvo to make any money. Can you tell me if this is typical and the reason why this is so? Also, can you comment on the lease factor. From the research I've done, the lease factor of 0.00019 actually seems pretty good.

    Thank you.

    Doug
  • captchaos145captchaos145 Member Posts: 6
    Hi I am brand new to the forum. I am helping my g/f buy this car. Dennis if you are out there please help me if you can. I have a friend of mine who is in the biz but I want to do some research on my own as well.

    1st off I would like to know how the payment is calculated. I understand price of vehicle, money facoy x 2400 to come up with the rate, and lease term, but what is the mathematical equation?

    What is the money factor on this car?
    Are there any dealer incentives that I can use to negotiate with?
    What is the residual on this car?
    How much is the payment effected per $1,000 of sale price?

    We received some payments today but I have no idea how they arrived at the payment! I actually do see a sale price but it is inflated. I was on another Acura TL thread but all they talked about was the price they received. I know that is only part of the negotiation cause there is $$$ to be made in the rate as well. I bought (not leased) a brand new car 3 years ago and at 1st I was gonna buy 2 years old. I was basically getting a new car this way but the sale price was much less than new of course. However GMAC was running a special on new car financing at 2.9% vs. the 6% I was getting for a used car. The amount I was paying for both was very close so I decided to go new.

    My g/f aso has a trade she is upside down on. We are getting the buyout on Monday. Toyota was not able to give us any info today. She is approximately 3 years into a 4 1/2 year lease (has 20 payments left.) She was upside down on the care she owned before the car she has now so I have a feeling she's gonna be in trouble. We had her car "appraised" today fro $10,500. I assume the difference between that and the residual and amount of payments left will be how much she is upside down. Do you know how much per thousand her payment will go up cause I know they are just gonna play with the numbers once again and I wanna have a handle on it beforehand.

    Thank you in advance for any help. It is greatly appreciated!!!

    Mike Adams
  • brood1213brood1213 Member Posts: 27
    Tax on a PA lease is 10% on the monthly payment(in 7% sales tax region, if you live in the 6% region it would be 9%. Plus if you put $4000 down 3600 only goes to cap cost reduction because any money down other than the first payment, security deposit, and plate fees is taxed.
  • kntknt Member Posts: 4
    I am new to leasing discussions and edmunds.com. Hope this is the right place to ask this question. I have gotten into the habit (despite my best intentions to the contrary) of purchasing a new car every few years. This time I am finally considering leasing. I will have two primary uses for the vehicle - occasional commuting and occasional towing of a small travel trailer. I have had a car dealer tell me that using a leased vehicle to tow a trailer is not a problem, part of the expected normal wear and tear. Is this true? I don't want to tow with it for 36 months and then get hit at the end with a huge bill for excessive wear and tear. Any insight is appreciated!
  • jay71jay71 Member Posts: 6
    Hello, first off this is a great resource. I have learned a few pearls in just 30 minutes of reading.

    My wife and I have a lease due to expire soon and we went into three dealerships (various makes)

    We were given an offer on a lease for a 2005 Acura MDX. What do you think?

    3 yrs, 15kmiles per yr.
    3900.00 down (seems high to me)
    430.00 per month (that seemed reasonable but my take was the monthly price was lower because of the large downpayment.

    This was for the base version of the MDX. no touring or entertainment package, no extras beyond what is standard.

    Of course it was offered as a deal that would end today (each of the 3 places we visited presented us with scenarios that were "gone at the end of the day". It is the last day of the sales month however.

    I did not like feeling pressured into buying anything on the spot so I told them no thanks for now.

    On leaving I was followed and told they could probably extend the deal till monday.

    I always feel like a deer in headlights in these situations, I was hoping you could provide insight into what kind of deal this looks like.

    good, bad, or avg?

    thanks in advance!
  • drizz36drizz36 Member Posts: 2
    Thanks for your input d nyholm. Yes I am interested in this balloon form of lease which seems to give me ownership of the vehicle. I understand how a money factor influences the interest payment and bottom line one a standard lease, but they tell me that this balloon style uses an interest rate, of which I am quoted 3.25%. Unfortunately, I just don't understand it yet and can't find any info to know if this is a good going rate or not. Can anyone help with this one?? Also, how can one find out what the residual rate on your car should be? Can this be adjusted for dealer profit or is it fixed? Help, help! Thanks all!
  • dwynnedwynne Member Posts: 4,018
    For the millionth time plus 1 :D

    The dealer does not set the residual, only the lease bank sets that.

    The dealer can and often does jack up the money factor for extra profit. The residual the dealer gives you on the contract will be the right one. You need to know the buy rate money factor so they do not mark it up.

    One thing to note, I suppose a bad dealer could tell you "the residual is 60%" so you calculate a low payment. Then when you go to sign the lease contract the residual is lower and your payments are higher - the the residual on the contract is the right one.

    Dennis
  • dwynnedwynne Member Posts: 4,018
    I think the buy rate MF is 0.00220 - sound it sounds like the dealer jacked it up by 0.0002 or about 1/2 a point. If you are not paying a security deposit, then the rate will be 0.0001 higher - so that might explain part of it.

    $32,555 is shown at dealer invoice, so it sounds like you have a good price.

    I checked over at leasecompare.com and they are doing 0.00210 and 55% - and the payment looks like it works out to a few dollars a month less.

    Are you looking at the auto or manual tranny car? If you are planning on getting the auto I think I would go look at the Accord Hybrid. You should be able to get one for $1k-2k less and get a $2k tax write off, about the same performance with a lot better mileage. Just a thought.

    Dennis
  • dwynnedwynne Member Posts: 4,018
    It is pretty normal for car makes to make an offer that is cash or or cheap financing. The lease MF you list is less than 1/2 percent which is nearly free money. Not surprising they would not want to give you a deep discount off of the car AND finance it for nearly free.

    You can check the incentives and such on each of the S60 models here. It is not always clear what can be used with what - but it does vary if you are looking at the T5 or one of the other models in the S60 line.

    http://www.edmunds.com/incentives/step1.jsp

    Dennis
  • dwynnedwynne Member Posts: 4,018
    TL w/Nav: 36/36k mi 0.00220 59% residual
    TL w/o Nav: 36/36k mi 0.00220 60%

    The lease formula is here:

    http://www.leaseguide.com/lease08.htm

    If you don't want to calculate this yourself, just google up "auto lease calculator" and you should find lots. There is one here on Edmunds, but it has some issues.

    Once you plug in the numbers into the lease calc you can see what the effect will be with this money factor of adding $1k or whatever to the cap cost of the car.

    Use the Edmunds TMV "what others are paying" and carsdirect.com with your ZIP code to get an idea of what invoice on the car is and what kind of deals folks are getting.

    Dennis
  • dwynnedwynne Member Posts: 4,018
    You don't want to play payments with a dealer, makes it really easy for them to rip you off.

    1) Go to edmunds TMV and find out what kind of deals folks are getting on the MDX - and any incentives on the truck. Check at carsdirect.com and see what dealers are no-haggle pricing these for. Both places will show you dealer cost - so you will see how much the dealer is making on any quote.

    2) Negotiate the purchase price of the truck, just like you were going to pay cash for it. Start at invoice and work up. In step 1 you know any incentives and what others are doing. If the carsdirect.com price looks good, just go through them.

    3) Then find the buy rate money factor for the lease, in your case it looks like 0.00196 . The residual is 62% on the base MDX for 36/45k.

    4) Use an online lease calc to work out the payment for your low negotiated price.

    5) Tell the dealer you want the buy rate and make sure their numbers match what you work out for yourself.

    6) If the price is right and the money factor is the buy rate, sign the lease contract.

    You can also check into a 3rd party lease if you get the price right, but the dealer will not give you the buy rate on the lease. leasecompare.com will give you an instant online lease quote.

    Dennis
  • dwynnedwynne Member Posts: 4,018
    The MF you post is the buy rate and the residual is correct. The selling price appears to be about $400 under invoice and within $200 of what carsdirect.com is showing.

    My guess on the difference is the dealer or doc fees from one dealer to the other. Also there are many definitions for "$0 down" - there is the $595 acq fee that has to be paid, the security deposit, the first month's rent, tags, title, and tax fees. If one dealer rolled this in and the other did not, or if one dealer gave you a true $0 down price (where you don't even write a check, just sign and drive) then that would make that payment higher.

    You just need to find out how much each dealer is asking for in cash at signing in order to compare. My guess will be that the dealer with the lower price is going to want a larger check.

    Sounds like you are getting the buy rate and getting the truck for less than dealer cost, so figure out where the money is going and then you should be good to go.

    Dennis
  • jay71jay71 Member Posts: 6
    Dennis-

    thanks a lot for your insight, I will do what you say and report back.

    thanks again
  • ckigginsckiggins Member Posts: 68
    Want to make sure I have my math right (somehow seems a little too good to be true and this is my first forray into this!):

    2005 Nissan Maxima w/Sensory package, sunroof, XM Radio.
    MSRP: $31730
    Sale Price: $29500
    Less Trade-In ($4000)

    Net Cap: $25500
    Residual: 53% ($16817)
    MF: .00031

    36-month lease
    Monthly Payment: $254.30
    Plus 7.65% sales tax: $273.75

    Sound right? Doers anyone know what the new Maxima lease deal (MF, etc) will be starting tomorrow?
  • tguesttguest Member Posts: 5
    After several days of phone negotiations we went to lease our Toyota Sienna LE(option package 6 or BZ) on Saturday. We are in the Hartford, CT area. 2 days prior we had signed a purchase order for an agreed upon price of 26,339 with $839 due at signing, 3yr/15K miles. (window sticker from car is 28,845)

    When my husband went to pick up the car the finance mgr told him that he had given him the car for 26K but needed to adjust the MSRP for the additional miles (15K vs 12K) therefore the value of the car would be 26,487.

    After reviewing the lease contract last night, we found additional discrepencies that are causing concern. Here is what the lease contract says:

    Gross Cap Cost: 26887 (includes 400 acquisition fee)
    Amt Due at Signing: 839 (title, reg, license, doc fee and 1st month payment)
    3yr/15K mile a year
    Base Monthly Payment: 344.56 + 20.67 (tax)
    Residual Value: 15710
    Money Factor: .0008 (this is what they told us we cannot reference this number anywhere on the contract)

    First, we called the dealership this morning and were told we needed to speak to the salesperson about the difference in the negotitated MSRP. The salesperson is off today. We have run the numbers through several lease calculators and cannot seem to get the 365 payment. Any input would be appreciated! Also, is this a good deal? Of course, they claim they are not making any money LOL

    Thanks :D
  • dwynnedwynne Member Posts: 4,018
    I am like you, I can't many any sense of the numbers either but I think you got a good deal. If I use the numbers I have seen for the Toyota lease and a 3rd party lease I don't get anything close to your $344 + tax payment - all I get are a lot higher.

    Toyota stuff is regional, but the LE numbers I have seen are 0.00215 and 61% for this 3/45k lease. I end up with a lot higher payment using these that you have.

    The residual you list HAS to be wrong, it must be $17-18 in order to get the payment to work at all.

    I wonder if the lease will fund? They may have made mistakes on the lease contract and the bank will catch it when they turn it in?

    If it goes through, you "somehow" got a good deal I think :D

    Dennis
  • dwynnedwynne Member Posts: 4,018
    I think invoice on this car is $28,867 so your price is > $600 over invoice. There is a $1,250 customer rebate, which makes it LOOK like your price is WAY too high. But the MF on your lease is < 0.5% interest, so I am thinking the cash back from Nissan can't be combined with the super low lease rate.

    I would ask the dealer to cut you a check for your trade in equity. There is no good reason to pay much, if anything down into a lease. If the car were to be totaled or stolen your insurance would pay off the lease bank and you would be out your $4,000. Besides, if Nissan is willing to finance the car for < 0.5% then you should pay a little up front as you can and use THEIR money and not yours.

    So I would:

    Ask about the cash back. If they tell you it can't be combined, that s probably correct but don't sign any rebate forms :D

    Hammer them down more on the price - maybe a few more hundred off.

    Get a check for your trade and pay as little back at signing as you car.

    Dennis
  • ckigginsckiggins Member Posts: 68
    Dwynne: thanks for the post. From what I have seen on this board, the $1250 cash is not available on Nissan's super low lease rate. I put the $29,500 sale number down, as that is what Edmunds is currently listing as TMV. Do you know if they are dealing closer to invoice on these right now?

    These are just 'ballpark' numbers, as I have not started to negotiate yet. I just wanted to see if I was doing the math correctly. Thanks!
  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Hi everyone. Some of you may have noticed that I have been away for several days. Well, I'm back and ready to answer some questions. Just a little FYI, most automakers' April lease programs are only scheduled to run through tomorrow, May 2nd. As a result, I will not have an idea of what their new May programs are like until late this week. If you have any general questions about leasing or plan on finalizing a deal on a car tomorrow, ask away. You may want to hold off on asking any specific questions about manufacturers' May lease programs for a few days. Thanks and talk to you all soon.

    Car_man
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  • tguesttguest Member Posts: 5
    What does "fund" mean? If there is a mistake could they make us bring the car back or ask for more $$$? The "purchase option at end of lease" definately says 15710. I feel a little silly for calling the dealership and complaining about the $150 gross cap cost price if this ends up going in our favor.

    The dealership claimed that the low lease factor (.0008) was because they were high volume and could get us Tier 1+ rates.

    Should we just sit tight and see if this works out or call our salesperson tomorrow to gripe about the gross cap cost discrepency.

    We have never leased and were EXTREMELY leary of it, now that the numbers don't make sense we are truly confused.
  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Hi tguest. I don't believe the fact that you are dealing with a high volume store has anything to do with their ability to get you Toyota Financial Services' Tier 1+ lease money factors. Whether or not you qualify for this credit tier completely depends upon your credit rating. I believe that consumers need to have a credit score of something like 730+ to qualify for Tier 1+ rates.

    Car_man
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  • tguesttguest Member Posts: 5
    Thank you. We thought so. Is it possible for you to take a look at my original post? Dennis was kind enough to respond (thanks, Dennis). We were wondering if the figures in the deal were wrong if we would be asked to bring the car back or give more $$$.

    Car buying is such a difficult experience for us but this forum has certainly helped A LOT!

    Thanks again :D
  • dwynnedwynne Member Posts: 4,018
    The dealer acts as an "agent" for the lease bank. If there are any errors in the contract, then the lease bank will insist they be fixed and a new contract signed before they will give the dealer the money for the car (or "fund" the lease). If the numbers don't seem to add up, then there make an error or two in the contract and they will make the dealer fix it before they will fund it.

    Like car_man said, your score determines the tier and not the dealer..

    There is a shady dealer here in town that signs people to things they know they can't get, then tries for force them to take a worse deal (higher interest rate or MF). The "gotcha" is that this dealer's "financing didn't work" form calls for the buyer to owe for any days and miles put on the car. We all have to sign a form that says if the financing does not work out we will immediately return the car - but with this dealer they charge you for the days and miles you had/drove. Faced with this they pressure you into signing for a much higher rate than they promised. This is probably not the case with your dealer, unless their agreement has similar clauses in it..

    Dennis
  • tguesttguest Member Posts: 5
    Sorry, I think I may be confusing things. Our credit score is in the 700+ range. Not sure of the exact number. We compared greater hartford area dealer to several others and when questioned why their lease factor was so much lower the explanantion was that they could offer Tier 1+ to customers because they are high volume and the banks "love them."

    Thank you for running the numbers, as you saw it doesn't add up and I think it is in our favor. If the dealer did make a mistake what do they typically do? :confuse: Have you ever heard of this happening?

    Again, thanks for your time.
  • handsonarthandsonart Member Posts: 10
    Thanks Dennis-
    Everything matches up expect for the lease price being lower with one of the dealerships. This lower price dealership seems to have under quoted the selling price but they said they will honor this lease price except for the selling price on the contract which they say will not effect us. (I checked out their reviews online and everything written about this dealership by consumers is good) If they do change the selling price on the contract, still keeping the same lease price should we be concerned?? They are holding the car for us... to pick up tomorrow. They are going to fax us a contract with the revisions tomorrow morning. Again, is there anything I should look out for?
    Thanks for your help-
    Betsy
  • dawnerdawner Member Posts: 12
    I have a quickie...

    I am going to sign a lease for a 2005.5 Jetta 2.5 Package 1 which I adore!! The lease is a 48 month/15000 mile No money Down. First payment and doc fee of 199 due at signing. From what I see, this is a good deal... any remarks regarding this??? Also what is tha money factor for the Jetta right now?? So I can make sure I get it right before signing... thanksfor the quick reply :)
  • dawnerdawner Member Posts: 12
    I live in NH and am going to sign a lease tomorrow. They have my hold sec dep and I am told I am locked in at the rates for april. Are these rates you are speaking about valid for where I live?? I have negotiated price and such via phone and am going to look at the paperwork for the first time tomorrow before I sign. This is the deal I am getting... I am a prior VW owner and got my previous car through them.... 48 months/15000 miles No Money Down 304.95... First payment and doc fee of 199 due at signing. Is this a deal?? Also it is a 2005.5 Jetta Package 1 2.5L... thanks :shades:
  • captchaos145captchaos145 Member Posts: 6
    Ok I have a decent idea on how this leasing stuff beaks down. Here is my next question... Let's say I buy the 2005 Acura TL. We negotiated the price, the rate (money factor,) the term, and I am pleased with the payment etc. Now I have a trade that I am $5,000 upside down on. I assume I take the residual plus any payments owed and add them together and then subtract the "appraised" value from that correct? If I am 5K in the hole how much per thousand will my payment be effected? Does this vary? I need to know how my "new" paymnet will turn out.
  • kyfdxkyfdx Moderator Posts: 265,441
    Add the negative equity to the cap cost.. It doesn't affect the residual.. $5000 extra cap cost on a 36 month lease will add about $150/mo. to your payment.

    Edmunds Price Checker
    Edmunds Lease Calculator
    Did you get a good deal? Be sure to come back and share!

    Edmunds Moderator

  • dwynnedwynne Member Posts: 4,018
    $5,000 may be more than the lease bank will swallow - unless the new car is sold at quite a discount. The amount of the extra payment will vary with the MF - get a lease special rate or paying unsupported lease rate will make a difference.

    Dennis
  • dwynnedwynne Member Posts: 4,018
    Didn't mean to imply anything about your your credit :D I was just pointing out that with your good score you would get the same rate from any Toyota dealer - so one that claims that they can get you a better rate is probably blowing smoke.

    If the lease contract has errors, the dealer will have to correct it to get their money. It is possible the dealer will pony up the missing money, but normally they call you up and ask you to come in a sign a corrected contract.

    I had a thought, since you residual is too low and your payment seems to low could it be your contract is for a longer lease "by mistake" ? I will go back and look at your post with the numbers and see if that makes sense. Too low a residual and too low a payment would be what you would expect if they wrote a 48 or 60 months lease. Does you contact say "followed by 35 additional payments of $xxx.xx due on the xxst day of the month" ?

    Dennis
  • dwynnedwynne Member Posts: 4,018
    Did the van have any dealer installed stuff on it? You said the window stick was $28,845 - that was the "real" window sticker on one with extras the dealer added? Or was this the number from the real sticker and the dealer had a side sticker added to it?

    You checked and the residual shows $15710. If you check that is 54.463511873808285664759923730283% of the MSRP you show. I don't ever recall seeing a "fractional residual" before. So one of the numbers is wrong. I am going to guess they meant to type in $17,595 or something there - which would be 61% of the MSRP you show.

    Dennis
  • chigirlintexaschigirlintexas Member Posts: 73
    Hey Car-Man,
    Does Infiniti have residual//money factor figures available for 42/48 months on the FX35 RWD? This would be for the Touring Package, MSRP is $38,440. I think I can get it for $35,482 plus Texas sales tax of 6.25%. I know 36/39 months are best, but if there was any way for me to get into one of these by going just a bit longer, I might consider it. What do you think?
    Thanks in advance,
    Chigirl
  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    You're welcome, tguest. I just went back and took a look at your original post. Something is not right with the story that you were given. The number of miles per year that you are allowed to drive your leased vehicle has absolutely nothing to do with its MSRP. The only thing that your mileage allowance will impact is your vehicle's residual value, aka lease-end purchase price. I suspect that you mean that the dealership had to adjust your van's selling price, which still shouldn't have happened but makes sense if they were trying to add additional profit to your deal.

    The good news is that the lease money factor that was used to calculate your monthly payment on this van is right in line with Toyota Financial Services' published lease program for your area. It is difficult for me to completely analyze this deal without knowing this van's full MSRP and selling price. The selling prices of leased vehicles are always negotiable. In an area where there is a lot of competition for your business, like Connecticut, you should have been able to negotiate a larger discount than this. The lower your vehicle's selling price is, the lower its lease payment will be.

    Car_man
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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Hi dawner. You never mentioned the selling price or MSRP of the car that you are interested in leasing. These are 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 this car's selling price in relation to its MSRP you don't know how much of a discount you are getting on it. The second reason is that one needs the selling price and MSRP, including the destination charge, of a vehicle 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 if you let me know what these numbers are

    For now, I can tell you that through May 2nd, Volkswagen Credit's base lease money factor and residual value for a 4 year, 15,000 miles per lease of a 2005.5 Jetta 2.5L should be .00110 and 46%, respectively. This is a national lease program and it is available in New Hampshire.

    Car_man
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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    I'm glad to hear that you find this discussion so informative, captchaos145. Most banks will not allow consumers to finance or lease significantly more than the full MSRP of the vehicle that they are getting. Since, it is unlikely that you will be able to negotiate a $5,000 discount on the Acura TL that you want, there is a good chance that you can not bury all of your negative equity in your new lease. The exact amount that you can roll into your TL lease will depend upon the discount that you are able to negotiate. Whatever can't be rolled into your lease will have to be paid out of your own pocket. If you let me know the full MSRP, selling price, how long you want to lease for, and how many miles per year you need to be able to drive, I can calculate an approximate lease payment on the TL that you want for you.

    Car_man
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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Hey Chigirl. While 42 to 48 month leases are a little long for my taste, there's nothing wrong with leasing a vehicle for that long, especially one that has a 4 year basic warranty like Infinitis do. Infiniti's April lease program for the FX35 is only scheduled to run through today, May 2nd. I have not seen its new May lease program will be like. I should be able to give you an idea of what this vehicle's new program is like some time later on this week. Please post a quick reminder in this discussion for me then and I will fill you in on what I have been able to find out. Talk to you then.

    Car_man
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  • smith83smith83 Member Posts: 61
    Car Man. Thanks for the info. I sat down with the sales manager at the Lexus dealership on Saturday and here is what he was willing to do: $3,000 off sticker of 46,503.00 (43,503.00 Cap cost), 15k miles per year, 36 months, 53% residual, .00195 MF, $725.00 per month, first payment due at signing. How is this payment so high? Also, I am qualified for the Tier-1 credit with LFS. How is the MF so high? Am I being ripped off?

    smith83.
  • dawnerdawner Member Posts: 12
    I am heading in today to sign... i called the dealer and of course they are all in a new month meeting... I will try to get the numbers and put them on the forum asap.

    From what I remember the MSRP was 22189.00

    They then knocked it down 1000.00 and then gave me a 500 prior VW owner bonus which they used as a down payment. I called the finance manager and asked for the destination charge, msrp, selling price , money factor, and any aquisition fees.

    I think it may have gone down a little lower because we then came up with a new quote later on. One in which was lower.

    They are charging me 199 for doc fees in which I am trying to get them to go down 50 bucks. Is that charge negotiable?? I thought it may be since I have bought my prior car there.

    Also... Have you heard any lease quotes for this vehicle from other buyers?? I have searched and searched online but they are so new that I can't get any numbers from anyone, not even edmunds. Thanks for any info and I will try and get the info on here asap before I sign this afternoon. You are a great help, thank you!!! :confuse:
  • dwynnedwynne Member Posts: 4,018
    It looks like they jacked up the MF on you. I think car_man posted 0.00146 on the RX330 - but it may vary depending on if you select a FWD or AWD truck or NAV/non-NAV.

    Also, when you say "first payment due at signing" that means they have rolled the acquisition fee and likely the security deposit into the cap cost (on top of the car). Probably any taxes, dealer fees, etc as well.

    If you put $43,503 and $24,646 (53% of MSRP) into a lease calculator you get $616.40/month plus tax. Does the $725 payment quote include tax, is so what is the rate? Without tax, I had to raise the net cap cost around $4k to get that high of a payment. With a 7% tax rate I still had to raise the net cap cost by $2,300 to get that high of a payment. $2,300 would be a lot to add to the cap cost of the truck. I might not say "rip off" but I think I would say "bad deal" ?

    Dennis
  • tguesttguest Member Posts: 5
    Hi Dennis: no offense taken about the credit score! we learned from this forum that the money factor was an additional way to build profit into the deal. But, at .0008 we didn't think one could get much lower.
    We have the actual "sticker" from the car window. It says 28,845 - no options added from the dealer. Here is the breakdown:

    MFG suggested retail 24,730
    BZ le package #6 3305
    CF carpet floor mats 196
    cargo net 49

    delivery and processing and handling fee 565

    The contract says 36 payments are in the lease. I am so confused. Thanks for confirming the numbers just don't make sense. We thought we had missed something. Should we just sit tight to see if the dealer contacts us?

    Thanks again
  • dwynnedwynne Member Posts: 4,018
    Should we just sit tight to see if the dealer contacts us?

    I guess so. The mistakes all seem to be in your favor, but I would seriously doubt the lease will fund as written. If it does, then your buyout at the end of the lease will be $2k or so less than it should be :D

    Just keep track of your first payment due date. If you have not gotten an invoice from the lease bank and you get within a week or two of first payment, then try calling the lease bank and see if they even have you in the system.

    This DOES happen from time to time. We had a couple of folks in the last few weeks with problems in the contracts that had to be re-signed. In one case I know the dealer dated the contract to the current date (so the lessee gets a free month).

    On seconds thought, we know the lease contract is bogus and is unlikely to fund. So I guess you might have to just call the dealership and get it fixed. Worst case, they come back with a lot higher payment you just return the van and un-wind the deal. Better to do it now than after you have been driving it for a month. Or you could wait a week or two and call the lease bank looking for your account number. With your name, address, and SSN they should be able to find you in the system or not. If you are not in there, it didn't fund.

    Dennis
  • miamimike1miamimike1 Member Posts: 13
    I got them down from 2493 to 1493 at signing , with a 3yr 36k lease at $213 including tax. I think LAST DAY of MONTH is a good time to hit them up, as they want to move units too. %54 residual and .00048MF was the deal (from Honda USA). I was on the phone/email with about 3 dealers, and i had a guy down to 250 including tax plus 960 down, then a guy who was about 15 miles away dropped it to 213 when I said "well, this guy is about the same as you, and he is only 2 miles away". No disposition fee, $1500 wear and tear waiver.

    I think I read somewhere that $1000 at inception = approx. $30 on the monthly lease. I'm sure that varies with MF.
  • elaine7elaine7 Member Posts: 1
    i am totally new at this and want to make sure i ask the right questions, and learn about money up front, or not money up front, what repairs are covered and what re not, better to lease a new car or a used one??
  • dawnerdawner Member Posts: 12
    Ok... Here is the updated info for the 2005.5 Jetta 2.5L package 1

    This is what the lease is

    MSRP 22965.00 ( which includes the 615 destination charge)
    Selling Price 21665.00 minus 500 for prioe VW owner = 21165.00
    Money Factor is .00110
    Aquisition fee 595 (which is included in lease payments)

    Here is where it gets a little confusing for me

    Security Deposit 395 ( I thought that there was a "No Security Deposit" in NH?? Am I wrong??)

    The finace manager said on the sec dep the MF is .00015 which will bring my actual money factor for the lease to .000185. This confuses me BIG time...

    The lease is 48/15000 at 304.94 with first payment and doc fee of 199 at signing.

    Does this sound right to you? I Guess I am just really confused about the Money Factor although it is quite low... Thanks
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