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As far as vehicles that have attractive lease programs on them go, there are a ton of them out there right now. Off of the top of my head a few vehicles that have attractive lease programs available on them that you might be interested in include the Honda Accord, Nissan Altima, Saab 9-3, and Toyota Camry. If you can be a little more specific about what sort of vehicle you need I may be able to offer you some additional suggestions.
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Thanks for your post. I have heard from a number of sources that the base money factor os .001, and that the additional .0002 that they are tacking on is pure profit. I have also heard from other sources that the acquisition fee is $625, not $825. However, the dealer I am speaking to has told me that the money factor is .0012, and that is all going to BMWFS. Also, I called BMWFS and they stated that the acquisition fee is actually $825. Are they in cahoots with the dealer? The dealer has claimed that they are only making "about $500 on this car, and it's a pretty good deal for me," but based on a purchase price of $37,700 and an invoice of $36,075, that equates to $1,625 in profit on my calculator. They also quoted me $601+tax for Sirius Satellite Radio installation, when BMWUSA.COM quotes that accessory at $325.
It is clear that the dealer I am dealing with is not interested in negotiating any aspect of the price on this vehicle, and is sticking to their guns on fees and money factor. Additionally they seem to be keen on insulting my inteligence and bilking me for extra $$$ at every turn. So, I ask you, what is the best way to proceed? Is it as simple as listing my requirements in terms of sale price, money factor and residual and contacting the internet sales managers at a number of dealers in surrounding cities? If so, when I call a dealer to find out whom to speak with, can I be assured that I will be dealing with an internet sales manger (i.e., a non-commissioned sales manager)?
I did not realize you were over mi, did not think about that I am sorry. I assumed that you were under the total miles, but a lease prob does not work that way, hey? you are allowed maybe 60k for 4 yr lease, but you couldn't turn it in with 50k in 2 yrs, right? I see now. You have to stay w/in the yearly miles, and she went over? I have no idea. I put 6 to 12k mi / year on a car MAX.. this year I have 12 due to a 3k round trip from nc to ark and back... otherwise I am WAY below and get high trade in's due to low mi; that's why I asked the questions about a pilot lease...no one's answered by the way.. help..
heidi
Carman,
help.....
saw this on the honda site.
2005 Pilot EX Special Featured $279 Lease Terms
$279.00 per month for 36 months.
$1,999.00 capitalized cost reduction.
$2,873.00 total due at lease signing (includes first month’s payment, capitalized cost reduction and AHFC up front acquisition fee; total net capitalized cost and base monthly payment does not include tax, license, registration, options and the like).
Model YF1845EW (2005 Pilot EX).
Special lease rates available on all new 2005 Pilot models. Offer valid from 5/3/2005 through 7/5/2005. Not all buyers may qualify. Subject to limited availability. The specific featured lease listed is not available to New York residents. New York residents should contact their dealer for New York featured lease. Terms and conditions vary for New York Residents. In addition, AHFC limits leasing terms to 39 months or less to residents and dealers in the state of Rhode Island.
My questions:
WHY is the down payment so expensive? I thought the big deal w/ leases is O down and low payments....
Can I offer O down? If so, then are the payments just a little higher? ALSO, what if I do not want a plain EX, it says in small print "all pilots". I want the EX w/ leather AND dvd.
Also, I KNOW how to negotiate buys, but have only one experience w/ lease and it was in 2001...
I KNOW I can get this and ANY Honda AT invoice or below. I've bought before and from this local dealer, do I nego to 30k (cost for the ex w/ leather and dvd) then lease? Or are leases based on MSRP??? How does this work???
How do I know what is a good deal??
I am currently driving a 2004 honda odyssey EX w/ cloth, buy, 3.25% apr for 60 mths nothing down; payment $465.
Want nicer, but lower payment.
I have the BEST credit you can have so I can get the low rates they offer like 1.9 or 2.9 apr too. I guess i could put a few k down to make the payment the same.
Thing is, I only keep cars for a while; few yrs...
WHAT should I do??????????
And what can I negotate in a lease for a pilot??
Thanks!
heidi
Got you msrp too
it's 33,820 + 515 (dest charge)
and invoice
(which I can get at invoice no problem)
30,422 + 515 = 30,937
Can I get the piolet at cost, 30,937 then lease??
compare it to buy for me, I can get a 3% or lower rate. I have a 3.25% rate w/ am honda financ now, so loyality etc, I can get a rate under 3% for buy I guarentee....THANKS
I have VERY limited (one experience years ago) w/ lease...help help
please
heidi
Thanks for the links and info. We are specifically interested in the Saab and Honda but will also look into the Nissan and Toyota leases as well. The Saab 2 year lease looks pretty good to us. We are in R.I. so I will look into it with local dealers. Do you find that people have good luck through the internet? I'm planning to send out some emails today. Any suggestions on what I should ask other than what I mentioned in my previous post? Thanks again!
330i (06): 0.00255 60%
Dennis
See what kind of deal on the new car you can swing without the trade in the way. Your truck (which sounds nice to me) is probably nothing the Audi dealer wants on the lot anyway, and would likely wholesale it our or roll it through the auction - neither option nets them much money.
Dennis
Being upside down is not a good thing, doing it over and over is just nuts. Now it looks like you have not one, but TWO upside down at the same time.
If your partner is driving the car too many miles, they need to be giving you the $0.15 for each mile and you stick it in the bank so you will have it at the end of the lease. Then at least you will have the money to pay for the miles at lease end.
Dennis
In a lot of areas, Odysseys are not discounted much at all - so paying a lot for one can be pretty normal.
Always break down the deal into its components:
1) Deal the price of the new car. Work up from dealer cost.
2) Deal the price of the trade in, if any. Keep in mind of you get around or less than invoice price for the new car you will expect to get low trade in for yours. If you are paying close to MSRP for the new car, then you expect a lot more for your trade. Check on real-world private party values here at Edmunds and KBB. Can you sell the trade yourself and make more money? Enough to cover the tax break, if any?
3) Deal the finance or lease. If using a captive lease bank (like Honda financial services) then make sure you are getting the "buy rate" - the rate the dealer pays for the lease or loan. They can mark up the money factor or residual for extra profit.
You say the van is coming in. From where? On the truck from the factory or did they have to trade with another dealer to get the color/options you want? If you still have possession of your old car then I would think you could just tell them you want to un-wind the deal - if this is a new van coming from the factory. If they paid to have one brought in from another dealer then they will not be happy if you want to get out of the deal.
Dennis
As I indicated in my note above I am brand new in this leasing world. I have been reviewing many of your notes and noticed that you give basic lease money factors and residual values. How can I use the BLM factors to calculate the monthly cost? What should it cost me to lease this vehicle. Does the residual value indicate what I would have to pay should I decide to keep the vehicle after the lease is completed? Is there any benefit from leasing through Lexus? Is the Lexus leasing plan any better or worse than another?
Thanks for your help.
Shackman
Being upside down once is really bad, and you have managed to do it twice at the same time. Then you come here and tell us you want to try to roll TWO upside down deals into another upside down deal. Nothing good can come of this - nothing.
Sometimes on a single upside down deal I would say to find a new car that has a 0.0% financing deal on it. Then, at least you can get your upside down money at "free" rates. You say you are already at low rates, so this is not really going to help - just make things worse.
I would concentrate on paying these things off to get the slate clean. If you just can't afford them, then bankruptcy may be an option - talk to a lawyer about it.
With a graduate degree alarm bells should have gone off when they told you "the only thing you can get is this" at the dealership. That is because they needed to hide all your other debt and this was the most favorable to do this. At that point, maybe you should have pulled back and said "no" and kept what you have.
To (technically) answer your question no lease bank is going to want to go more than 110% or so of MSRP on a new lease. So unless you get a REALLY DEEP discount on a new car - enough to hide your tons of negative equity - or get a really expensive new car (so 10% would cover it) then you may be out of luck.
Call your lease bank and get a detailed buy out quote. Make sure to get it detailed, since they may include sales tax in it. If you get a dealer to buy your truck they would not pay this tax, so you should not count it. Then compare your buy out to what your truck is worth trade in and private party. If the truck is worth the same or more, then try to sell it. You can go through a broker or dealer to handle the paperwork (for a fee) to make it legal. If the buy out is more than it is worth, even in a private party sale then you can either make this up out of pocket and sell it or stay in the lease until you are more right side up.
Same is true with the truck on loan, get a payoff and compare VS trade and private party values. Check here on Edmunds, KBB, NADA, etc to get a good idea. Anything extra you owe has to come out of pocket to get out of the truck.
If the sum of the two negatives is "not that bad", then technically you probably COULD buy or lease a single car/truck to replace two and roll it in (again).
With two of you needing 2 trucks now, I don't see how rolling 2 into 1 is going to "solve" much. Will you not need to go lease or buy another car?
Smart folks make bad deals on cars all the time. You have taken a good step by coming here asking for help and education.
Dennis
The down payment (called a cap cost reduction in the lease world) is so big to make the payments really small to catch your eye. "I can get a Pilot for $279 a month!". Worked, didn't it?
Yes, you can pay nothing down and the payments are more. You can roll the lease acq fee ($595 most states) into the lease. You can pay a slightly higher rate and not pay a security deposit at all.
The money factor on this deal is 0.00137. For the EX in the "special" the residual is 62%. If you choose to lease the EX-L (adds leather) is drops to 59%. EX-L w/DVD is drops to 59% as well. So either they don't think the leather and DVD will retain as much of the value as the "base" EX or they have more trouble selling the "base" EX and want to make the lease more attractive. By paying for a larger percentage of the truck - and the truck having a larger price tag, you will pay more per month.
For example, MSRP on the EX-L w/DVD is $34,335 and invoice is $30,976. If you leased at invoice it would be $367.97 per month + taxes. You would have to pay the $595 (most states) acquisition fee, $375-400 security deposit, first month's payment, and any dealer/tags/title fees up front. If you roll the acq fee into the lease and get them to waive the security deposit (0.0001 higher MF) it would be $390.45 per month plus tax with just the first month's payment and dealer/tag/title fees due at signing.
To know you are getting a good deal you negotiate the "selling price" just like on a purchase. You make sure you are getting the "buy rate" on the lease (which I posted). You make sure you are getting fair value on your trade, if any. You Oddy is a "hot" van and may be worth more on trade or for sale than you owe on it. Be sure you get full value or look to sell it yourself.
Dennis
Some cars and trucks retain a lot more than "normal" of their value. When Honda dealers don't discount the new Oddys and they seem to be hard to find, it makes the used market really strong. In this case, no surprise that your van was worth more than you owed. Heck, the dealer might should have paid YOU money based on what they got for it when they turned it around.
The key is what you say: get the buy out and see what it is really worth.
Dennis
Does you payment include tax? At what rate and where do you live?
If you plug in your price, the residual, and MF into a lease calc you get $515.76/month + tax - and that is WITHOUT your $3k cap cost reduction.
WITH the $3k down the payment drops to $429.58.
Is the dealer charging you the right acq fee and what about any other "doc" or other fees? Is the $3k all you are putting down? If so then all of it is not going to the cap cost.
The price sounds "OK" if you can work out these other details - and get the buy rate.
Dennis
I am in Mi, not NJ. I hope the MF is the same or even lower in MI than in NJ
I have put in the options for the 4 runner (4x4 sport w/ moonroof) in carsdirect.com and came up with a Selling/invoice of $ 29,835. Are dealers willing to see these figures from a website if I want to negotiate a lower invoice price? (worth the try I feel).
The other thing is that being in MI, the lease deals on Ford Explorers are cheaper than a 4 runner (4x4, 4.0L, V6) around $375 with tax.
I have test driven both, but given a choice the 4 runner has better handling and of course higher HP.
& yes I started out looking at the 3series, but now it seems that deal is not worth it.
Thanks much for your advise Car_man!!
Don't call the dealer....Go to dealers website! The Internet manager will surely be listed with an email address. The whole point of internet sales manager is to sell cars via the internet!
Do you have the most recent info for Audi?
39 month, 15k miles for
A6
A8
CABRIOLET
As always, thank you sir!
My last post may have been lost in the flurry of shots fired back and forth in the past 24 hrs. Good reading.
My questions are in regard to the following leases. The moderate urgency is the XC70 dealer incentive ends at the end of this month. Of course it could be extended, but it also might not, and if the deal is good we'll sign next week.
XC90
Premium, versatility, climate, metallic paint
MSRP: 43,995
Selling price: $39,699
Lease: 51 months.
48K
zero down
549 per month plus tax
There's no way I'll sign a lease that will leave me out of warranty (4yr/48k) and would prefer a 36 month term, still zero down. Do you have a sense of where these numbers should fall? Volvo's rate is 5.9, but I have heard they use outside finance companies as well.
XC70
With the: Premium, Climate, Convenience, and Metallic paint.
MSRP: 41,035
Buy: 35,900
Lease: 429 per month plus tax
Zero down
48 mo/48k
For 36 months, they quoted 478/mo 3 yr.36k, still zero down. (Plus tax)
Thanks again for all your help!
Please don't take this the wrong way BUT,
It seems you already know that you can do much better elsewhere but are fishing for someone in this forum to tell you that this deal isnt that bad.
Shop around.
I have a trade, a 2004 Odyssey EX w/cloth. I paid at invoice and nothing for the mud guards and pin stripe the dealership adds to all Hondas. I am paying 3.25% apr; 465 mthly w/ nothing down.. I owe 20k even and KBB "excellent" trade value is 21, ish..so at least 1k extra. That's not bad considering yes, they have hold backs, but I paid invoice, it's in PERFECT condition. I wash/wax wkly, no stains (3 small kids), etc.. It has low mi; just rolled 14k. that helps the value.
I'd want 21k for a trade and I should be able to get invoice
When I bought the oddy, I got 1k OVER kbb's EXEC value for my mazda (what I owed) they paid that off and ended up only owed $800 but they put the $200 towards the van I got for invoice...so I was pretty happy. Took 20 min and no hassles.
Plan to go back there. My awsome salesman, is now the finance guy..so that helps too.
Those payments of 367 and 390 are prob cheaper than a buy ??
Also, this is prob a stupid question, but do you have to pay all the security deposits and 1st mths payment if you have history w/ american honda?? I had the lease in 2001 for a year, and I've had this van for a year and 4 mths, so I have "loyality" w/ them, does that / will that save me any money???
I don't have to show them I can make the payments, is that why they want 1st mths'?? That's just a lease, right, I've never paid 1st mths when I buy.
So boils down to should I buy or lease???
I seem to get "bored" and 3 yr is all I'd keep anything and my mi are always LOW.
We had a 96 accord we traded for my hubby's 2003 tundra loaded with under 60k mi! My oddy in 1 yr had less than 12k and my mazda had under 30k in 2 yrs..
My 1st (and only experience w/ lease) was 4 yr 15k mi. that 3k more gives me a comfort that I would not go over. why did they lower it to 12k?
Looks like from all the other's questions, most are just 12k mi/yr.
and a 3 yr.
Thanks for the help, sorry for even more questions...
heidi
a few more..
you said $367
vs the "plain" ex at honda's advertised 280...if it's 20 dollars more/ thousand spent, the "l" (leather) and "res" (dvd) are about 3k more right? they are still that much more expensive per month? Why? due to less value 59 % rather than 62%?? I'm trying to understand. Also that 2,800 down or "cap cost reduction" includes the acq fee and all right? that's why it seems so much? due to the 1st mths payment, and all the fees not done when buying? I'm just trying to understand it all....
Is it better to pay all those or roll it in like you said and pay $390??
With lease, interest rates, do they matter? or are they low like in a buy???
sorry. I just am getting it, slowly...
and trying to make sure I make the right decision.
thank you so much, I do appreciate your time!!!!
I just feel like $465 while I got a good deal on the van, is too much / mth for just a "plain" ex.. I like the advantages of getting into a nice car, while not out of line for us, cheaper... and want to explore the options but feel like I'm in the principal's office and scared to death when it comes to leases... thanks again for the help.
I know the numbers on the XC90 are laughable...but the XC70 at 478/mo 0 down 36k seems closer to reasonable. Admittedly math isn't my strong point, but when I used the lease calculator I came up with higher payments on both cars. Am I doing something wrong? I know that the calculator breaks down 9% to .0037 or so. I have no idea how that comes to be... Volvo has 5.9% listed on the site.
And I have been shopping around nonstop - fortunately there are lots of Volvo dealerships in the area. But they're all over the place, and in truth some of the Internet guys won't give a quote via phone or e-mail anyway - they want you in there before the dancing starts. I just want to be prepared with a legitimate ballpark number to use as a grounding point. I don't have a problem with the dealer making a fair profit - they should. I just don't want to the guy who hears champagne bottles uncorking in the manager's office as he walks out to his new car.
I'll look back at your post, but want to know how you arrived at those figures.
Thanks for the help.
Also wanted to know if they charge you tax on any payments from a prior lease that is added to a new lease. For example if I have 1 payment of 500 left on my lease and I add the $500 into the new lease, do I have to pay tax on that $500 since the $500 old lease payment already included the tax.
I'm looking at the following:
M35x
Journey Pkg
Tech Pkg
Aero Pkg
trunk mat W/ full size spare
I drive alot of miles almost 20k/yr. I was quoted $768/mo (incls PA lease tax of 9%)
for a 20,000 mile/yr 39 month lease. $1568 down includes 1st mo + $550 bank fee + tags, etc.
Your help would be appreciated.
I am new to leasing. Am I right to assume the MF is based on my credit score. I was quoted a MF at .00267 without running my credit history/score (is this a general number that can improve with a higher credit score). Reading your response to Chigirl, you quoted her a MF of .00236 on a Dodge Quad 1500 4X2. Are the leases through Chrysler Financial Open or Closed ended leases? My credit score is well above 700.
Thanks
.00148 and 58% 36mnths,12k per yr.
You can plug the numbers in using http://www.edmunds.com/advice/leasing/articles/48365/article.html
Or use the excellent Calculator at Leaseguide.com. If you are paying moneys up front do not add them twice. Anything you put in during the prompts is added to monthly payment.
Regards,
hpowders
I'm completely new to leasing, but for my needs I am figuring it's the way to go right now. I'm interested in leasing a 2005.5 Audi A4 2.0T FT. Here are the specs I've configured along with the MSRP:
Exterior: $450
Packages:
Premium package $2,100
Lighting package $1,425
Sport package with all-season tire $750
Bose® premium sound system with AudioPilot® noise compensation feature and Sirius® Satellite Radio $1,000
Individual options:
Destination Charge $720
MSRP: $33,795
I haven't been to a dealer yet, because I want help with figures so I have some idea of what's going on when I go to negotiate. I plan on leasing for 36 months, 15,000 miles, and putting $4,000 down. What should I expect to be getting for money factor and residual value? Any other information anyone can give me that will help me getting a good price on this lease will be greatly appreciated.
Thanks in advance.
I have some questions regarding car issues...Hopefully you'll be able to answer my questions.
I currently lease my 2002 Mercedex Benz C320 luxury sedan. My lease will end this year in December. I have about 8 more payements on it. Currently, I'm considering to purchase my next car (I'm eyeing the Infinity FX350). Can I trade in my current leased car now and purchase the FX350? I'm not sure how this works? Will the consider my trade in values as well as the remainding balance that I owe on the car as if this car was financed/purchased?
This was the first time I lease a car as well, so I'm not even sure if I can trade in my leased car for another type car or if I'm supposed to return it back to the original Mercedez Benz dealer. Can you help me?
Thanks so much!
Thanks!
With a lease it is like renting an apartment VS buying a house. With the house or a car loan, you "use" it for a month before the first payment is due. With a car lease or apartment, you pay at the "first of the month" for the use for that month.
So you "always" have the first month due at signing. However, folks do "sign and drive" leases where they roll EVERYTHING into the lease including the first month's payment. With some lease banks this might require A+ credit, with others they will do that if you qualify for the lease. Obviously, the more you roll into the lease the less you pay out of pocket and signing AND the more you pay each month.
You will have to look at buy VS lease and see what suits you best. It all depends on the rates you get for financing and leasing. Right now on capitalone they are doing 5.25% for 60 months. On just the truck at invoice (no taxes or fees and no down payment) this would be $588.11 per month. In most states you pay far less taxes on a lease so that can make the lease more attractive as well. The rate on the Pilor lease is equivalent to 3.288%. Now if you could get a cheap loan from your bank or credit union, then buying might be a better option.
If you get lucky, your cars/trucks will be worth more than you owe on them when you are done with them. With a lease, you don't worry - just turn them in and get something else. "Who knows" what the Pilot will be worth in 3 years, maybe more than Honda thinks and maybe less. They are taking the chance, not you. If you like it and want to keep it at the end of the lease (and it is worth more than buy out) - you still get to buy it at the agreed price so you "save" again.
Normally 36 months is the "Sweet spot" in the lease. Long enough to absorb the "new car depreciation" but short enough to still be under warranty and have good resale value. Most lease banks will do 12k per year and 15k per year lease, some will do more and some will do less. If you use too many miles, you pay extra when you turn the car in (maybe $0.15 per mile) if you use too few, the lease bank just gets a better deal - a lower mile used car to sell. You (too bad) do not get anything back for keeping the miles low. So getting the "right" miles is key.
Dennis
I took the model you are interested in and did the numbers, I didn't run them for the EX "plain". I did that for someone else this month or last - it works out to $329 or something for that truck with nothing down.
Lease payments are based on the the residual - how much the car/truck is THOUGHT to be worth at the end of the lease term. This is normally expressed in percentage of MSRP (including destination charge and any factory options). The other factors are your selling price you negotiate and the money factor of the lease. The lower you negotiate the price the less the payments. The higher the residual % (everything else being the same) the less the payment - so you paying based on the difference between your price and residual. The lower the money factor (or interest) the lower the payment.
Often captive lease banks will try to stimulate leases for slow sellers by having promo deals. In these deals they may use inflated residuals - something much more than the car/truck is likely to be worth - this just makes for a lower payment to sell something NOW. They will worry about getting the residual when you turn it in at the lease end. They can also put a lower than market rate on the money factor - again just to make the payment lower and move product. Sometimes they do both at the same time.
If you looks at the 3rd party lease bank numbers (using ALG residual) is is 56% on a Pilot EX-L w/DVD. This compares to 57% from Honda - so they have it worth a LITTLE more in 3/36k than a 3rd party bank. 0.00210 (or 5.04%) might be a good 3rd party lease money factor, but Honda is charging 0.00137 (3.288%). So the residual is about normal, but Honda is offering a below market MF to help move Pilots on lease.
With a cheap MF most folks just roll it in and go. Maybe do the security deposit, less each month and they give you the money back at the end of the lease - which might come in handy if you have some dings or to toward the next lease. If you realize $1k from your van then that should cover the first and security and leave not much else to pay.
A lot depends on where you live, since in some states they charge sales tax on the WHOLE TRUCK even when leasing. Some charge on the depreciation, and some charge on the payment. With buying a car, it is normally a good thing to have a trade in since they give you a tax credit for the trade in value. With a lease, this normally does not apply - so trading in saves little or nothing. The real nice thing is in 3 years just being able to new car shop w/o having a trade - it IS a sweet feeling.
Dennis
when I leased the 2001, they made it out like after 4 yrs 60k lease if I had only 30k mi then I'd get say 4k more that the van was worth in my pocket. It doesn't work that way? huumm. they lied. but I will prob put 12k/yr and w/ only 3 yrs vs my old lease of 4 yrs and 60k it's more reasonable, considering I sold it in 1 yr.
I see what you mean about the 1st mth's payment, I didn't think about it that way, it does make sense. You are ahead, so when you turn it in, you are even.
I have a A+ credit, so shouldn't be too hard to get a good rate either buy or lease. over $500 is just not my game. I'm an active duty army officer's wife, so while he does well, that's too much for us. I'll probably go w/ the lease.
I always have the oil changed at honda dealers, etc. Is there anything that I should know other that what you've told me?? (ie: since i"m used to buying) ..
I had the 1st and only lease I've had was with Am honda finance co. And my current loan is w/ them. Maybe that will help, I hope so. Should I just give them a call and ask??
My apr now is 3.25%
I also get a $500 military discount, so that helps some too.
So if I get it at cost (which I should be able to do no problem) then 1k down (trade in extra) and military discount, I should be at 28,500 to lease; so your figure of $367 + fees I'll have in my head as a little high, that way I know what to expect.
Last I checked our score was over 800.
Like you said, I almost don't see buying every 2-3 yrs and I"ve been lucky so far, low mi and exec care, etc. but I hate to be stuck for 5 yrs w/ a payment so darn high. I'd like the $367 you said. His tundra is $350 (buy and paid off in 2 yrs) so one payment for a while that low, would be nice.
So the numbers finance gives me should match yours, right? the MF and residual.
So you said the $280 for the EX was so high down payment or "cap cost reduction" to get the payment so low,
am I understanding then that I should expect the following out of an EX L W/ RES:
Invoice
30,976
0.00137 MF (how do you get this number? honda? or is it individual?)
59% residual
$595 (most states) acq fee
$375-400 security deposit (that am honda might wave)
1st mth's payment and ttl (last time was $300)
for about $367
maybe a little less w/ 1,500 down; or that pays all the "fees" then I am back to invoice, right?
I pay the above fees of aprox 1,662 ish??? "down" or if they wave the sec dep then about 1,300 ???
So If I get it for invoice then the 1,500 off that (1k down and 500 military) it'll just go down from there??
Just making sure to re-cap properly.
THANK YOU AGAIN SO VERY MUCH
heidi
I think every lease these days is closed in - no one would (or should) sign anything else these days. Closed end means the residual is known at the start of the lease. At lease end, you can buy the car for this figure or just turn it in and walk away. The lease bank is taking the risk on future value of the car, not you.
Dennis
Ok. With Steevo's advice, I used the online lease calculator (correctly this time) and then approached a couple dealers with numbers I am looking for. However, I was told they can't mix programs - ie incentives to sell are better than to lease. Or, to quote exactly: "Both these are Volvo finance lease programs, which do not qualify for retail market allowance. If you want to buy instead, the selling price will be lower." IF THIS IS TRUE, then my calculations are inherently flawed, because I plugged in a "sale price" that doesn't apply to a lease.
Here's what they came back with . Barely changed on the XC70, but better on the XC90.
The XC70 MSRP 41,035 (before incentives):
lease for 429 per month plus tax
1,561.01 out of pocket
3 year 36k lease.
FROM HIM: The cap cost is 37,065 the MFR is .00006 and the residual is 21,748 or 53%
The XC90 T5 with an MSRP of 43,995 (again before any incentives):
lease for 529.27 plus tax
1,219 out of pocket
3 years 36k miles
FROM HIM: The MFR is .00148 the Cap cost is 41,005 and the residual is 25,493 or 58%
Are these good? The down payment buries a boosted payment. How realistic is it to go back with zero down and protect the prices?
Any advice would be really appreciated.
what do you think would be a good buy or lease price on these two cars?
i am driving about 18k a year but i think since now that i am out of school i would be driving around 15k a year. thinking about keeping the car for about 4years if i lease. thanks again...
Car_man
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Thanks,
Robert