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  • gperrgperr Member Posts: 163
    Car_man,

    Can you please provide the Res & MF for the Mazdaspeed Miata, 36 months 12k miles per year. Does it have any effect on the rates whether it is a cloth or leather interior? Are there any available incentives for this car (not likely I know). Also do you know how much Mazda's captive finance Co's acq. fee is?

    Thanks

    gperr
  • rroyce10rroyce10 Member Posts: 9,332
    ... **I blame CarMax for all this "diminished value" stuff -** ....

    What the heck does CarMax have to do with "diminished value", besides nothing.? .... yesterday you were telling people that pay-offs included taxes, where do you get this stuff.?

    Car_man does a pretty darn good job filtering through all of this info and Kyfdx is pretty knowlegable .. please don't make Car_man's job any harder ....



    Terry.
  • dwynnedwynne Member Posts: 4,018
    There is $750 is factory to dealer "marketing support" on either MS Miata. If you can find an 04 model they have/had up to $6k or more on those. Last time I looked the local dealer still had a couple marked WAY down. They would not be good lease deals, but would be cheap to purchase.

    So below invoice for a new 05 and WAY, WAY below invoice for a left over 04.

    Dennis
  • dwynnedwynne Member Posts: 4,018
    What the heck does CarMax have to do with "diminished value", besides nothing.? .... yesterday you were telling people that pay-offs included taxes, where do you get this stuff.?

    Car_man does a pretty darn good job filtering through all of this info and Kyfdx is pretty knowledgeable .. please don't make Car_man's job any harder ....


    Man, I help folks all the time in this and other forums and this is the thanks I get? I don't see you helping out here at all, just attacking me? Go wander back to where you might be wanted or step up to the plate and help folks out. Pretty easy to pot-shot from the peanut gallery......

    Folks around here didn't mind if a car was damaged (fender bender) but fixed right. Then CarMax opened up and would not buy or resell anything that had any paint work done on it. So locally folks started hitting the panic button about "oh my gosh my car is now worthless" if they had any accident. So now folks think every car has to be perfect before they will buy it, when this is just not true (or practical for most folks). Now a frame damaged car is another story, but that is not what they are/were pitching around here. The person posted they got ripped because they didn't get some huge diminished value award on a leased car? I am not surprised since the lease bank would not look at it that - if fixed right. Stuff happens, there can't be 100% of the cars on the road "perfect".

    I was not talking about "pay off" on a loan but a "buy out" price on a lease. Quite often if a lessee calls the lease bank and say "how much is the buy out on my car" they will give you a quote that includes sales tax. By law in most states, only the lessee or a dealer can buy an on lease vehicle and for the lessee they HAVE to collect sales tax if you buy out the lease. So, if the lessee asks for a "buy out" price they will give it to them with the sales tax included. Since the lessee is trying to get RID of the car they are going to sell it to or through a dealer then no sales tax applies - so the lessee needs a detailed buy out request - so they can see if sales taxes is included and remove it from the price. In states where tax is paid on the entire purchase price, then (obviously) sales tax would not be likely to be included in the buy out price. Someone said the "buy out price is just the sum of the remaining payments plus the residual" - which is completely wrong (unless you have 1 payment left). The lessee has to get the buy out and get it detailed, to make sure the number they get has no sales tax in it. If you are a car dealer and called the lease bank then I would assume and hope the would know you are not paying sales tax on the car - but for the lessee in most states it has to be paid.

    So if they tell a lessee $20k is the buy out, then they take out a loan for $20k to buy the car then the lease banks says - "oops, you owe us $21,400 to get the car there is sales tax on that $20k" then the lessee would not be happy. Or the lessee trades the car to a crooked dealer who "confirms" a $21,400 buy out but only has to pay the lease bank $20k to get the title - and just slips the extra money into their pocket while the customer looses out.

    There, do you understand now?

    Dennis
  • hpowdershpowders Member Posts: 4,331
    Hello Car_Man or anyone else out there who knows.
    I need the residual and money factor on a 2006 Lexus GS430: 36 months, 36,000 miles in Florida.
    Thank you.
    hpowders
  • woody2408woody2408 Member Posts: 8
    Car_Man ...
    Well I received a call today and the A4 is in. Although the Lease numbers I was quoted over the phone seem a bit high. Was wondering what you think. I was told: For a 24 month lease with 12,000 miles the residual was 69% and the money factor was I believe 0.002 (4.8%) which seems high to me. The 36 month lease was a residual of 58%, 12,000 miles money factor the same. The numbers they quoted me were also based on $3500 down. Payments for both were about the same (442 with tax 405 with out). MSRP on the car is $34,670 which I was quoted $33,305 + tax and licensing. If I left anything out my original post is #20145. What do you think about the numbers they quoted me? Good deal or high like it seems? The lease deal advertised on the AudiUSA web site seems better than that... I think I am going to end up putting about $8000 down (including fees and first month). Thanks for your rapid response, I can pick up the car any time - I just have to drive about an hour to pick it up - planning on Friday. Thanks again.
  • munchmouthmunchmouth Member Posts: 13
    woody2408,

    I was quoted the following on an A4 2005.5 :
    24 months, money factor .00135, residual value 69%
    36 months, money factor .00135, residual value 57%

    Both are for 12,000 miles.

    I'll be interested in seeing what car_man has to say.

    Good luck!
  • headly21headly21 Member Posts: 3
    Wow, that sounds pretty scary :surprise: . Thanks for the quick reply. It makes me feel better about paying the relatively small increase in premiums.
  • cheapisgoodcheapisgood Member Posts: 16
    Ed,

    To add onto the other posting, kyfdx is right. You were really underinsured.

    You also might want to check to make sure your underinsured/uninsured limits equal your liability limits. The likelihood of your getting hit by an uninsured motorist in your state is pretty high. If you are struck by an uninsured/underinsured motorist, your ability to collect for bodily injury (with the exception of your PIP coverage) is pretty slim.

    By the way, I work for one of those dreaded insurance companies and see and hear all the "he had no insurance" horror stories.

    cheapisgood
  • woody2408woody2408 Member Posts: 8
    Yeah I thought the Money factor of .002 was a little high :(
  • brickyarddogbrickyarddog Member Posts: 38
    Just wanted to drop a line to give a big "Thank You!" to both Car_Man and Dennis. I bought a Honda Pilot EX today at $78 over invoice (details in the Pilot: Prices Paid forum). Because of the information on this board, I knew going in what my payment should be, and it turned out perfectly without one ounce of hassle.

    I put enough down to cover the acquisition fee and first payment, and for a 36mo/12K lease, my payment including 6% sales tax is $324.73.

    Now, if you'll excuse me, I'm going to go smell my new car. ;)

    Thanks again!

    - brickyarddog
  • cartfan1cartfan1 Member Posts: 4
    Messages Mark As Read | Unsubscribe | Bookmark



    Messages Page 13 of 13 Go To Msg # Search This Discussion
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    #233 of 234 2.5T WRX by ateixeira May 13, 2005 (10:43 am)
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    Supposedly this fall. We'll see.

    -juice

    #234 of 234 '05 WRX Lease - Good Deal? by cartfan1 May 18, 2005 (11:08 pm)
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    One of my buddies from high school works at a local Subaru dealer and he gave me a 48 mo. lease price of about $356/month at 3.75% (.00156 I would assume?) w/1500 down, plus TTL with MT, compass/dimming mirror and spoiler. I told him I didn't need the prem. package. He put me on the corporate pricing where I pay 1.9% over invoice, does this sound like a good deal? After reading some posts in the WRX forum, I'm not so sure. I would hope he'd give me a great deal since I know him rather well. He's selling me the car for about $2000 below sticker, am I being a cheap SOB?
    :confuse:
  • paulyballspaulyballs Member Posts: 7
    If someone in my family (family lives in CT) leases a car and registers it in CT under their name, will I be able to drive the car if I am a NJ resident with a NJ driver's license?
  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Hi imariquinn. Unfortunately, if you are already at your lease's mileage limit the best way to avoid having to pay a lease-end penalty for excess mileage is to cut back on driving it. If you exceed your mileage allowance, the only way that you can avoid paying a penalty is to purchase your vehicle at lease-end. Having someone take over your lease really is not an option because it will be very difficult to convince someone to take over a lease that they will have to pay an excess mileage penalty on. If you have another vehicle that you can drive it will help you cut back on the miles that you put on this vehicle. Even if you lease another Honda you will not be able to avoid paying a penalty for the excess miles that you put on your current lease.

    Car_man
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  • steine13steine13 Member Posts: 2,825
    Mornin' Dennis.

    I dunno what it is about this forum, but there's more than the normal share of "stuff" going on in here... why, I just got a spanking only a couple days ago...

    By and large, Terry gives the most help here in Town Hall... #1 there's a lot of it, #2 it's stuff you can't get anywhere else (I'm talking about the Real-World Trade-In Values), plus his extensive insight in how the business works.
    #3 of course you sometimes need a translation from Terry-ese, but that comes with practice.

    So you should probably lay off on him a little.
    As far as your arguments, I see your points... but you have to be very clear on the difference between "buy-out" and "what you pay to get the car"... also, it can differ by state... dunno what happens when you buy our leased car in IL where you've paid the entire tax already.. do you? So you have to be very explicit and precise... Apparently, what you "meant" didn't register fullly.

    You just wrote this:

    'Someone said the "buy out price is just the sum of the remaining payments plus the residual" - which is completely wrong (unless you have 1 payment left).'

    See, you have to read as carefully as you write... it was Terrry who wrote it, and he really wrote something like:
    At this point -- late in the lease -- it's 'just about' the sum of payments plus residual

    I read it yesterday and understood it... he was looking for a ballpark # to make a point. And it was not "completely wrong", it was about right... that's often the trick, estimate something, and figure out how big the error might be.

    Terry's a car dealer, he thinks like a car dealer; I work at a Lab, I think like a 15-year-old...

    What I'm trying to say is, easy there, big fella, everybody serves the Lord in his own way... even car dealers...LOL.

    -Mathias
  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Hello y2za. The salesperson who you spoke with was correct. The $1,250 customer cash that Nissan is currently providing on the 2005 Maxima cannot be used on vehicles that are leased through Nissan Motor Acceptance Corp. Having said this, Nissan is providing a $500 cash incentive on leases of the '05 Maxima through NMAC. I am not personally all that familiar with what the market is like for this car in your area right now, but I suspect that you would be able to lease one for less than the TMV price that you mentioned. Stop by the following discussion for more feedback on this car's pricing from other community members who have recently purchased or who are in the market for this car: "Nissan Maxima: Prices Paid & Buying Experience".

    Car_man
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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    You're very welcome, vector6. I'm glad that you enjoy this discussion so much. Make sure to let us know how everything turns out.

    Car_man
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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    You're very welcome, passat_mx. Thank you for taking the time to come back and let us all know how everything turned out. Enjoy your new car!

    Car_man
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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    No problem, paulyballs. Kudos to you for providing such detailed information about the car that you are considering in your post. I notice that you were quoted a money factor of .00155. Audi Financial Services' base lease money factor for the 2005 A4 2.0T Sedan is currently only .00135. I believe that the dealer that you are working with is marking up this car's base money factor to add additional back-end profit to your deal. Make sure that they use the .00135 factor to calculate your monthly payment.

    Car_man
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  • nj00dstarznj00dstarz Member Posts: 11
    Hi Car_man, Dennis

    Please advise on this 05 Explorer XLT, 4x4, V6 in MI (6% tax)
    MSRP: $32,895
    Initial cost: $28,479
    LEV %: 53%
    Apr: 3.25%
    acquisition fee: $595.0
    rebate :$5000
    adj. cap cost: $24,544
    2y/24k

    monthly: 373 w/tax

    Thanks much!!
  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    You're welcome, manabout. I'm glad that you enjoy this discussion so much. I can give you an idea of what this car's current lease program is like. Infiniti is actually providing a little lease support on the G35 Coupe for the first time this month. If you were to lease a 2005 Infiniti G35 Coupe through Infiniti Financial Services right now for 2 years with 12,000 miles per, its base lease money factor and residual value should be .00192 and 70%, respectively. I would be happy to calculate a sample lease payment on the exact car that you are considering for you if you let me know what its full MSRP and selling prices are.

    Car_man
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  • carkcark Member Posts: 9
    Good morning Car_man,

    I would like to know the money factor and residual for the following :

    2005 Nissan Murano SL AWD - MSRP. = $34,890, Invoice = $31,850, Cap cost = $31,500. 36 months, 12k per year.

    2005 Ford Sport Trac XLT Premiun 4WD - MSRP = $34,370, Invoice = $30,736, Cap cost = $26,736. 24 months, 12k per year.

    Thank you for your time.
  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    I think that you are making a wise choice, imariquinn. It will be very expensive for you to get out of your Odyssey lease nearly a year before its scheduled end. Hold onto your van and try to keep your mileage on it as low as possible. As far as a new Odyssey goes, I wouldn't hold my breath for any lease support on it if I were you. The Odyssey was relatively recently redesigned. Honda was providing support on the old model at the end of its run. While it is difficult to predict what automakers will do with their future incentives I personally don't expect Honda to introduce any sort of lease support on the Odyssey for a while.

    Car_man
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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Hi Jun. Given the fact that BMW is currently providing $2,500 dealer cash on the 2005 325i, you essentially are only being given a $500 discount on this car. This is not a very good deal, especially considering the fact that the new redesigned 2006 325i is already at dealers so they will be anxious to unload their remaining 2005 models. You should shop around to see if you can get a lower selling price.

    Car_man
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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Greetings fish2575. The first thing that I notice about this deal is the down payment that you are making. 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 your MDX would be exactly the same, regardless of whether you had put several thousand dollars down, or had made absolutely no down payment at all.

    Also, American Honda Finance Corp.'s base lease money factor for the 2005 MDX is only .00178, while you were quoted a factor of .00206. This means that there is a good chance that the dealer that you are working with may be trying to mark-up AHFC's base money factor for this truck to add additional back-end profit to your deal. This is perfectly legal, but usually can be avoided if you know your vehicle's base factor.

    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 if you let me know what its selling price is.

    Car_man
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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Hi karilyn. I believe that I already responded to your earlier post. Let me know if you cannot find my answer and I will be more than happy to try to find it for you or to answer your questions again.

    Car_man
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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    I am sorry to hear that you have exceeded your vehicle's mileage allowance, summer4. You definitely cannot just turn in your leased Durango before the scheduled end of your lease in October. It is usually fairly expensive to get out of leases well before their scheduled end dates. In order to do so, you need to purchase the vehicle that you are currently leasing from the bank that you are leasing it through. It often turns out that it costs more to do so than your vehicle is worth on the open market. Furthermore, many banks expect consumers who end their leases early to still make all, or at least the depreciation portion of their remaining lease payments. As you can see, this can get very expensive. Your least expensive option would be to continue paying your lease payments on this truck and try to keep you mileage down. The only that you can avoid paying a penalty for excess mileage at lease-end would be to purchase your truck.

    Car_man
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  • prince2100prince2100 Member Posts: 23
    I called a Honda dealer today and he said to lease a new Honda Accord LX it'll cost me $275 total per month including taxes, licenses, and fees with $600 down. He said this is based on the current lease deal Honda is offering. Basically, honda is offering $199/month with $2500 down, so the dealer worked it out with 600 down.

    Also, the dealer told me you can't negotiate the sale price up front, it's based only on the MSRP and then the payments are based on that. But someone else mentioned a sale price of 17800. Does that mean you can purchase the car at that price minus your total payments? I would like the option to buy the car at a negotiated price not at the MSRP, is this possible? The other personI had a lease at 231/month with 750 down. I've been calling in NJ. So even if the lease promotion is 199 at 2500 down, is it possible to make that less? meaning the rate of $231??

    Thanks in advance.
  • prince2100prince2100 Member Posts: 23
    In reference to the post above, do you know what the money factor is for a 2005 Accord LX in NJ area?

    Thanks!
  • burgermacburgermac Member Posts: 43
    Okay. I think I have arrived at a deal... A dealer outside of TN is offering me an X3 3.0i with Xenons, Premium Pkg, Sat.Radio Prep, Privacy Glass, Auto Trans in non-metallic Jet Black. MSRP is $40,020. The sale price is $38,000 (which includes about $150 to go get it from another dealer). The lease factor they are using is .0012 (what I've been quoted all along) but they are waiving the sec. deposit. ($500 based on the resultant monthly payment). No cap cost reduction means my pmt is $498/mo. Residual is 62%, TN sales tax is 7%. Out the door I am being charged $942.16. Doc prep fee is $399 ($329 seemed to be the norm, but they are not willing to match other dealers on the fees). Acquisition fee is $825. I haven't found one dealer willing to move to $625 on that fee- perhaps because they are having to discount this car more than your average BMW.

    Anyway, what do you think?
  • tbmwdrivertbmwdriver Member Posts: 1
    Can you please provide me with the money factor and residual on the following car.

    2005 Toyota Highlander 2.4L with 4WD

    MSRP is 26,634 with MG, CF, PG options

    The terms would be 36 months 12,000 miles or 48 months 12,000

    Thanks for you help.
  • imonsterimonster Member Posts: 2
    We have to return our Honda Accord this month after 36 month lease. Our son is turning 16 this year and we decided to purchase this car for him to drive. We got our final figures from Honda and they obviously look a bit too high. Is there any way to negotiate this price with Honda? We called Honda Financial services and they say that the price is absolutely not negotiable. It just does not make sense. Ant advise?
  • kyfdxkyfdx Moderator Posts: 265,441
    I've heard of people negotiating buyout prices with AHFC, but I've yet to be successful at it myself..

    The last time I called them, there was an announcement that played while I was on hold that basically said: We don't negotiate buyout prices.

    In my experience, what makes Honda leases good deals are the above-market residual rates..

    I've lease three Accords, and I've never thought they were worth the buyout price at lease end.. You might want to re-think your plan..

    There are thousands of late-model Hondas to choose from.. I wouldn't get stuck on this one, just because you happen to be leasing it.

    regards,
    kyfdx

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  • fish2575fish2575 Member Posts: 23
    Car Man, Thank you for that information! The MSRP on the vehicle is $37,470. We negotiated a price of $34,395.50 which is the invoice ($33,812) plus $300 and an additional $283.50 for an installed roof rack. The "featured lease" is for $399 a month for 36 months with $999 cap. cost reduction (I am guessing that is the cash down). I think that our negotiated price is lower than the price this lease is based on. Can I just tell them I don't want to put down the $999? And what about the security deposit and acquisiton fees? Thank you so much! It is so great to have this help with how confusing a lease can be!
  • rroyce10rroyce10 Member Posts: 9,332
    ........ Honda will negotiate .. that said, it depends on the time of the year, the region of the country and the model(s) ....

    The best time to be looking is "about" 6/8 weeks before the lease is up and you need to speaking with someone with horsepower (not the sexy voice that answers the phone) .. Zone manager/District lease supervisor, folks like that (not the dealer) .... again, if the vehicles are doing "about" auction $$, then they could care less .. so you never know, til' ya know .................. :shades:



    Terry.
  • headly21headly21 Member Posts: 3
    Thanks for the advice. Although I believe that insurance, in general, is good to have, I don't currently hold the belief that my chances of 1) getting hit and 2) by an uninsured motorist is as high as you make it sound. My mind may change with the availability of sound and verifiable statistics, though. I have been driving for twenty-two years defensively and got hit once by an insured motorist doing some damage to a quarter panel.
    Of course, getting insurance is betting that you will get into an accident. If you knew for certain that you will never get into an accident, you would not need insurance. That said, I am betting that I am less likely to get into an accident owing to my above-average driving skills, above average observant behavior, and habitual defensive driving style. The one time I got hit was unavoidable under the unusual circumstances, but I am certain of other times that I avoided accidents where others in the same situation would not.
    I'm sorry if I am ranting and I know you're trying to help, but yes, you do work for an insurance company, which explains why you may see a high rate of claims where an uninsured motorist was involved.
    Since I carry PIP, I am going with the bet against carrying uninsured/underinsured motorist coverage, and for keeping my own money for my family and not for fat insurance companies. Thanks!
  • lucas2lucas2 Member Posts: 12
    Hi Car_Man

    Didn't know if you got to me yet.. But I'm still looking for the 39 mo 20,000 lease on an M35x MSRP=51,550, Sales Price now = 48,000

    Could you also give me a quote on the sames as above but with 24,000 mi.

    I need the residual and MF on these leases too.

    I know your busy, but thanks in advance.
  • munchmouthmunchmouth Member Posts: 13
    Car_man,

    Could you please provide the residual values and money factors on the above G35 for 24, 36 & 39 months at 12,000 miles per year.

    Thank you
  • imonsterimonster Member Posts: 2
    Thanks for the replies. Just spoke to Honda again. Was unable to talk to anybody but customer service. They admit that they will loose thousands of dollars selling this car through the action but the contract can not be renegotiated. That’ their policy. Can you believe it?
  • hweaverhweaver Member Posts: 33
    Car_man, Just wondering something, and it pertains to this question and that lady w/ the pathfinder that was such a big deal a few pages back.
    I just called American Honda Finance today. 1-800-517-9699
    SInce this is about an odyssey, unlike that pathfinder discussion, but both are about going over miles. I wanted to add something; I hope it's right; that's why I am asking. But IF the american honda company's lease coordinator and advisor is correct this is what she told me just an hour ago.

    "Millage is ONLY a factor if you turn your car in at the end of a lease IF YOU TURN IN THE CAR AND WALK AWAY". She said and I asked her numerous times that millage does NOT matter if you do NOT turn it in, IF you act like it's a trade in,then you MAY go over and "dealers do not even check miles". Since they are paying it off, not the bank, you DO NOT pay the .15 cents/mile. She said there is NO penality, you can have as many miles as you want. BUT you cannot walk away clean, if you turn it in and walk away, not getting another honda or any other make, you must pay penalitys if you go over. IF you treat it as a buy (and re-fiance your ballon )
    OR trade it in to ANY dealer, if you do so; treating it as a trade in then miles do not matter.
    BUT since you've paid less per month for a lease, rather than a buy, your car may or may NOT be worth what your ballon is since you went over miles and are now treating it as a trade not just a turn in.
    I HOPE that helps. SO according to am honda, and you can call yourself, I have an odyssey too, just give them your acct number, they should advise you the same.
    that made the lease even sweeter for me, I was worried about miles, now I am not. And I called my local dealer, they said I could get a 15k mi lease for a little more room, we'll now why pay even "5 dollars more a month" for that when miles don't matter (for ME since I will trade it in and not just walk away) AND I can have a cheaper payment SWEEEEEEET
    I hope she is right.....
    That's american honda, others may or may not have the same deals. She just said that miles only matter if you turn in and walk away.
    BUT if you trade in, your ballon may be 20k and it's worth say 18k and you would owe the 2k difference.
    Rather you would have been clean if you had walked away, but since you went over then you treated it as a trade in, you have to pay the difference if it is not worth your balloom amount. (that was her example)
    But if you do keep your terms and keep the miles low under the 36k for 3 yr then you know they will pay it off no matter what it's worth, and you can either walk or trade or sell, etc..
    or you can finace the ballon and actually buy the car and the end of 3 yrs, or trade it in for a new one then.
    I'd call am honda for sure, from the info she gave; above, you are fine going over. just make sure you trade it in not just walk away.

    Basically it's exactly what you told them in your post, but you said the only way to not pay penality is to "buy at lease end" according to american honda you may also not pay penality IF you trade to any dealer, not just honda, and lease end; we'll she said 6 mths prior you have the option. She said though KEEP in mind that due to the lower payment (thus not paying as much as a buy in 3 yrs) then you MAY have to pay if you treat it as a trade; not for miles over, but for the balloon being more than the trade in value. So you have to see which is less; your .15 cents/ mi or the difference in the trade in value and your balloonl.
    She said IF you are VERY lucky, then your honda holds their usual value; residual lowest around she claimed, then you MAY come out even and your balloon is what a trade in is worth, then you will then have no penality for those over miles.
    IF you are unlucky, then your ballon is more then you pay the difference, since you went over
    or you keep it in the miles and you trade or walk away even regardless of value.
    I hope I'm on the money, that is what she told me in detail today.

    oh, car_ man, too you asked a day or so ago about the msrp and invoice of the piolet I am considering.
    I just called the local honda dealer that I bought my oddy' from he said 4.65% apr is the best now. Am honda said memorial day wk end they might do specials like 2.9% etc. She said too, keep in mind you can ALWAYS make a 12k lease into a 15k miles lease for about $5/ month more.
    That 3k more miles might give more of a cushion to some.
    here's the piolet info. He did say if I came by, they could probably do the piolet for 1k under 29,900 then neg lease or buy. I may wait till the memorial day wk end and see if rates go down. They've sure gone up this year. I have a 3.25% from 15 mths ago. :(

    MSRP for the EXL RES is $33820 + dest charge of $515
    VS
    Invoice
    30,422 +515

    You said you did not think that they would lease at invoice, or below, why?
    also, it's getting late in 05 to get an 05. Shouldn't I just wait for an 06??
    what if there are changes/colors, etc that I wish I had, + isn't 1 yr newer worth more?
    or in a lease, does it not matter? they just chaged a TON to 05' so I doubt that 06 will be different, but they will be coming out soon; should I wait? or will the .00137 MF not be there for new models???

    thanks
    heidi

    heidi

    heidi
  • danf1danf1 Member Posts: 897
    I'm thinking 39-48 months. Standard 15k miles on an RT. Sorry for the lack of info up front. I'll go to my room now without dinner.
  • hweaverhweaver Member Posts: 33
    read my above post

    just treat it as a TRADE, forget about walking away!!!

    heidi
  • rroyce10rroyce10 Member Posts: 9,332
    ..**"Millage is ONLY a factor if you turn your car in at the end of a lease IF YOU TURN IN THE CAR AND WALK AWAY".**...

    That's how it works on all leases ... but you have to own it, to trade it .........



    Terry.
  • hweaverhweaver Member Posts: 33
    Not according to honda.
    She said that if you stay under you are fine to walk away,
    I told her I would not walk away regardless, I have 3 kids and would get another car that day, honda or other.
    She said that I could just trade it in, and I did with my 2001 honda odyssey (not the 04 I have now)
    Sorry Terry but you are wrong. You CAN trade in a leased HONDA, I DID
    heidi
  • hweaverhweaver Member Posts: 33
    From my understanding a leased is the same as a bought when you are trading.
    The dealer gives me execellent kbb value w/ my miles and they buy it, just like a buy in that sense. I've only leased once, but my miles were under and I just got kbb value (which was the same as my payoff) the dealer took it, payed the baloon (3 years early) and I bought a new one; not re-leased
    For me, it was the same. Why would you need to own to trade it in?? The dealer pays off the balloon, why is it any different, that just does not make sense.
    If you can sell, or re-finance at lease's end, then WHY can't a dealer buy it from you????
    They did mine.
    Am honda said that trades are acceptable, there is no pre payment penality.
    My monthly statements even look identical from my old lease to my current finance.
    No difference except that she was saying, since you pay so much less / month, that you are most likely going to owe more than if you'd bought. SO trading you are prob upside down regardless of miles, that's why the walk away or re-lease is so great you don't owe of the balloon is more than the kbb trade value.
    but if someone goes over, then they've not kept the terms, and has to face kbb value for it when they trade it or .15 cents/ mile
    that's what she explained to me.

    heidi
  • kyfdxkyfdx Moderator Posts: 265,441
    Even if you trade it (which is easy to do, even if you don't own it).. the mileage still matters..

    Any car dealer will give you less for the trade, if you have higher miles...

    So, the Pathfinder with 46K will bring a lot less than one with 24K miles...

    Either way, you pay the difference between what the dealer will give you for the car, and what the bank requires to payoff your lease...

    If you have gone way over the mileage, chances are you will be out a big hunk of change, either way... though you may save a little this way..

    Of course, you'll have to have the money to pay the difference.. you may be able to roll over part of it into a new payment, but not $10K or more..

    regards,
    kyfdx

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  • davidd3davidd3 Member Posts: 582
    Car_Man,

    Could you help me to do some due diligence before I initiate financial discussions with dealerships?

    I live in NY and I am interested in leasing a 2006 BMW 325i.

    The MSRP of the car equipeed as I want it is $36,945. That includes the following options: premium package, automatic transmission, heated seats, metallic paint and zenon headlights.

    Let's assume that the lease will be based on a sale price of $36,000 (from reading posts in another forum I gather that people are getting around $1,000 off).

    I need 18,500 miles per year, repeat 18,500 miles per year.

    The term would be 36 months, unless 39 months would result in a significantly lower monthly payment.

    I do not intend to put any money down - no cap cost reduction.

    If there is an acquisition fee and/or other fees, I would want to roll them into the monthly payment rather than paying them up front.

    I would roll the sales tax (7%) into the lease rather than pay it up front.

    At drive off, I would pay only my first monthly payment, license and registration, and security deposit if unavoidable.

    Could you give me a ballpark sense of what the resulting monthly payment should be, and could you let me know the applicable money factor and residual?

    One more question. I heard in the past that 330i leases were somehow more advantageous than 325i leases, such that the difference in the monthly payment is not nearly as much as the MSRP difference might suggest. Is this still the case? If so, I might consider reaching for the 330i.

    Many thanks.

    David D
  • bdr127bdr127 Member Posts: 950
    Thanks andre!

    You mentioned "personal property tax"... At what percentage is that? Is it a yearly city/state tax? In the past, I have paid yearly excise tax to Massachusetts and Connecticut.... Is it essentially the same thing, or am I way off here? Thanks!
  • bdr127bdr127 Member Posts: 950
    Oh also, if you know anything about PA sales tax on leases. My NJ dealer says 9% in PA. Is this right?

    The dealer is correct.... PA has a 6% sales tax, plus a 3% use tax.... thus, 9%.
  • andre1andre1 Member Posts: 85
    bdr127, the yearly personal property tax in NC is a once a year state tax just like your excise tax in MA. They base it on the estimated value of the vehicle. For example, my vehicle is worth about $25,000 and the yearly tax this year was $275.
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