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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    BMW is not providing $4,500 dealer cash on the 2006 330i. Whoever said that is probably confusing it with the 2005 BMW Z4 3.0.

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  • x021627x021627 Member Posts: 152
    I'm looking to purchase a 2005 ES330 with premium package. MSRP is $35909. I know that there is a Lexus promotion, but can't get alot of details. I have seen a $399 lease advertised (NJ). What target lease rate, with no $$ down, should I be aiming for?

    Thanks! :)
  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Let's calculate a sample lease payment on this car for you and see what we come up with, djocks. According to my calculations, if you were to lease a 2006 BMW 330i with an MSRP of $42,215 and a selling price of $39,500 through BMW Financial Services right now for 36 months with 12,000 miles per year, your zero down, pre-tax monthly payment should be around $535. With 15,000 miles per year the payment would increase to around $556.

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  • paulnycpaulnyc Member Posts: 4
    I WAS TOLD BY A NEW CAR DEALER DONT LEASE UNTIL AFTER SEPT. 1
    THE NEW LEASING LAWS WILL LOWER THE PAYMENTS BY MUCH?/

    IS THIS TRUE??
  • scriderscrider Member Posts: 7
    Thanks for the information! I think I have the M35x purchase price where I want it and the money factor you gave me should put me in a good position.

    I do have one more question. Historically, I have kept cars for a long time. This purchase will be my first non-coupe in over 20 years (nobody makes a good practical coupe any more) - so I am a bit worried that I won't love this car as much as my others. It is also my first Infiniti. So - this is why I am considering a lease instead of a purchase this time. I am almost looking at this as a 39 month rental with an option to buy at the end if I love the car.

    I can not see driving more than 12K per year. Can you give me an idea of the financial penalty I am looking at if I lease and then buy this car vs. buy it outright?

    Lets say that the MSRP is about 50K and the purchase with tax is about 48K.

    THX
  • monkeyshiftmonkeyshift Member Posts: 97
    My 05 Escalade was six weeks old when it was stolen out of my driveway. I leased it; is there any gap I'll have to cover between what my insurance company will pay (the AutoSource market rate) and what my payoff is? Or will my insurance company try to give me a replacement vehicle? How does it work when your leased car is stolen after only six weeks?

    Thanks!
  • BushwackBushwack Member Posts: 258
    Thank you Car Man (re: post 23,218). I am a bit perplexed for I was told the residual on a 48 month term/ 12,000 miles/yr was 58% and not the 49% you mentioned. I'll have to review my numbers.

    How the heck you reserach and answer all our questions (promptly) without going bonkers is amazing! :)
  • budbudbudbud Member Posts: 2
    Yesterday I agreed to buy an 06 Mercedes ML350. I was going to finance (4.65% for 60 months), but they are offering a lease. I'm not a business owner, so I cannot write it off.

    I cannot find the money factor anywhere on the paper they gave me. $10,275 sure seems like a lot of interest/rent for only 39 months. Am I getting ripped off? Is this a decent deal? Here's the info:

    Agreed value $45,000
    Acquisition fee $795
    Adjusted cap cost $45,795
    Residual $30,572.75
    Depreciation $15,222.25
    Rent charge $10,275.17
    Total of base MP $25,497.42
    Term 39 months (1,000 miles per month)
    Monthly payment $653
    cap cost reduction none

    Due at signing would be $2,836.07: 1st monthly payment ($653), NY sales tax ($2,039), registration&fees ($142.50).

    They are giving me $11,000 for my trade, and thus would give me check for the $8,100 balance ($11,000 trade minus the $2,836 due at signing).

    What do you think?
  • solaraman2003solaraman2003 Member Posts: 92
    monkeyshift,

    The very day you drove that vehicle off the lot the "value" of it went down considerably. Unfortunately, that drop in value had a negative impact on your balance sheet because the true "value" of the asset was much less than what your financial ($) obligation for paying for it was.

    In other words, unless you had coverage for GAP (the difference between the car's market value and what you owed on it) then YOU will be responsible for that difference.

    The day I drove my leased car home I reviewed the lease agreement (teeny tiny letters on the back) with a fine tooth comb and found that with Chase I was NOT required to purchase the GAP insurance as long as my insurance coverage on the car had a low enough deductible. So I changed my insurance policy (at a minimal cost) to lower the deductible and then had nothing to worry about.

    I sure hope you had this kind of clause on your lease agreement OR had purchased GAP insurance !!!
  • steveo2steveo2 Member Posts: 11
    Thanks Car Man, Do you know what Toyota's standard money factor is? Are the residuals the same for all Tundra styles?

    Thanks again, this must be take a lot of time to answer all these questions. I really appreciate it. :)
  • jpyjpy Member Posts: 9
    Thanks Car_man,

    Do you have to pay sales tax on leased vehicles? I see that I have to pay tax each month which would seem like I am being taxed two times for the same vehicle. Probably a silly questions, but I want to make sure I can discuss it with the dealer.

    JPY
  • ej1111ej1111 Member Posts: 48
    #23214 update to post number 23214...i meant to say 2006 Jetta GLI (not gti) with automatic. and passat 2.0 with package 2.

    I was looking for residuals and money factor on a 36 month 12k miles.

    Thanks again!

    -h
  • djocksdjocks Member Posts: 124
    Car_Man

    Thanks so much. If you wouldn't mind could you figure one more for me at a zero paown pre-tax monthly payment

    2006 BMW 325i
    Jet Black ($0)
    Letherette ($0)
    Cold Weather ($1000)
    Sunshades ($575)
    Xenons ($800)
    IDrive/Nav ($2000)
    BMW Assist ($750)
    Prem Sound ($1200)
    SAT Radio ($595)

    MSRP $38990
    selling price $36500
    15K miles/36 months

    Thanks djocks
  • morton72morton72 Member Posts: 1
    Hi there, I am interested in leasing the Honda Accord LX, they are running a promotion for $199/month, with $2439 due at signing. I actually went to a dealer today to get more details and they told me I could not transfer my tag from the car I will be trading in? Is that correct? Also, I was using the lease calculator on edmunds.com and it automatically puts in the TMV price of $18k but when I enter the other amounts according to the Honda lease special the monthly payment on the calculator is much higher than $199. Why is this? Does it really matter to me or should I just focus on the monthly payment? Sorry for all the questions, this will be my first lease so I want to go in with all my facts. Thanks,
  • monkeyshiftmonkeyshift Member Posts: 97
    Thanks!
  • uconnhuskyuconnhusky Member Posts: 5
    Hello Car Man,

    Thanks so much for your help. I have one last question, I think I might want to do a 20,000 mile lease because of the long distance to work I will be driving. Plus, I would always be covered under warranty on a 3 year 20,000 mile lease because Infinity's warranty plan is at 4 years / 60,000 miles, which is a good thing. Can you tell me what the residual would be on a 20,000 mile lease? I'm guessing that the residual would decrease to about 55-56%. Also, would the money factor remain the same or would it increase?

    Thank you.

    Best Regards,

    Uconn
  • awgd8awgd8 Member Posts: 5
    Hi CARMAN:

    4 payments to go before my lease end and I`m thinking of returning my 2002 CRV ex. and lease another car from HOnda. My question is should I finished my CRV lease first and pay all excess mileage (1800k x .15 = $2700) and possibly excess wear (none that I know of...) and start clean with ANOTHER LEASE ?

    Or should I take advantage of the Pilot 2005 lease offers now for 36 months / $250 a month/ 12k year ($2500 down) and just roll over my excess miles from CRV and 4 payments left? my lease budget is around $350 per month so i might ask for a 15k year miles allowance plus leftover fee from CRV. what should I do? If I waited for another 4 months I might not get the same lease offer by honda this month.

    I shouldn`t be leasing since the excess miles kills me, but this is the frist time i lease a car and learned from it. The honda pilot seems to be a good deal since I have a 3 yr old son and won`t go back to driving a car again.

    I`m thinking of buying the pilot after after 2 years once I get a stable job (Just graduated from medicine)
  • glgphdglgphd Member Posts: 4
    CARMAN,

    What are residual % and inhouse money factors on these two cars with 10K miles/year over 36 months:

    BMW 325 (was quoted $558.89/mo + tax based on based on cap cost of $37,540, 64% residual and SR or BR = 0.2800% -- is that the same as a money factor of .0028?)

    Acura TL (was quoted $499/mo + tax based on price of $33670, 60% residual, and .0025 money factor)

    These monthly payments seem very, very high given that i'm used to paying only $299/mo plus tax to lease my 2003 TL for 10k miles/year over 36 months.

    Thanks,

    LeasingScared
  • abigailabigail Member Posts: 4
    Where is the 43% residual hiding?
    Hi, Car Man,
    I just spent hours trying to negotiate a legitimate 48 month on a 2005 FWD Honda Element LX with automatic transmission. The agreed upon sales price is $16,739. The dealership told me that the car has a 43% residual on a 48 month lease. The money factor was .0024. My trade is a 2004 Honda Civic EX with 15,250 miles, for which they offered $13,500. I added my $1600 upside down into the lease.They quoted me $378.25 for 47 payments, with a down payment of $965. At the end of the lease I calculated that I would have paid $18,742.75 for the car. What happened to the residual I asked. The first quote they gave to me for the same sales price was for a 60 month lease-$338.67 for 59 months, plus $1048 due at lease signing, totalling $21,029.53. I have received both quotes from the dealership in writing. It appears to me that they are NOT residualizing the car at all, but rather trying to get me to lease the car at these prices, and then return the car at lease termination so that they can resell it.
    They told me additionally, that they want me to pay an A.P.R. of 5.76%. I know that is exorbitant, and does not equate with the .0024 money factor. They did not "make a mistake" either time, as they took hours to come up with these figures.
    My current lease payment on the 2004 Honda Civic EX is $279.88 for 36 months, and at the end of the lease, I will have paid $10,075.68. (The car has a 51% residual, and this is a legitimate lease.) Would you please share your opinion with me?
    Thank you,
    Abigail
  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Hi fsufan. Volkswagen Credit's current base lease money factor for a 36 month lease of a 2006 Passat 2.0T (not the Value Edition) is .00065. As you correctly calculated, this car's corresponding 12,000 miles per year residual value is 59%. VW is not currently providing any sort of cash incentives on the all new 2006 Passat. The dealer contribution just comes from a dealer discount. Let's calculate a sample payment on this car using the selling price that you provided and see what we come up with. According to my calculations if you were to lease this car with an MSRP of $27,215 and a selling price of $26,000 through VW Credit right now for 36 months with 12,000 miles per year, its zero down, pre-tax monthly payment should be around $304. It is in your best interest not to make the $1,250 down payment that is mentioned in the advertised lease.

    Car_man
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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Let's double check your calculations, Erdrick. On a lease of a 2005 Infiniti G35X with an MSRP of $38,980 and a selling price of $35,200, I come up with a 36 month, 15,000 mile zero down, pre-tax monthly payment of around $416. I used a money factor of .00113 and a residual value of 58% to arrive at this payment. The $600 a month payment that you were quoted on this car is waaaaaaay to high.

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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    You're welcome angelm.

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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Here is the information that you are looking for tommy2600. If you were to lease a 2005 Mazda6i Hatchback through Mazda Credit right now for 36 months with 12,000 miles per year, its buy rate lease money factor and residual value should be .00216 and 47%, respectively. There's nothing wrong with doing a 4 year lease on this car, provided you think that you will not get the new car bug before then. Its 4 year, 12,000 miles per lease program is .00261 and 40%.

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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Hi ej1111. If you were to lease a 2006 Volkswagen Jetta GLI through VW Credit right now for 36 months with 12,000 miles per year, its base lease money factor and residual value should be .00110 and 56%, respectively. The numbers for an otherwise identical lease of a 2006 Jetta 2.5 should be .00096 and 57%. The numbers for an otherwise identical lease of a 2006 Passat 2.0T (not the value edition) should be .00065 and 59%.

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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Hello shonuff. According to the latest information that I have seen, if you were to lease a 2005 Toyota 4Runner Sport V8 4X4 through Toyota Financial Services in its Cincinnati region right now for 36 months with 15,000 miles per year, its base lease money factor and residual value should be .00030 and 60%, respectively. The lease program for a lease of a 2005 Toyota 4Runner SR5 V8 4X4 would be exactly the same. The customer cash that Toyota is currently providing on the '05 4Runner in your area cannot be used in conjunction with this special lease money factor.

    If you were to lease a 2005 Jeep Grand Cherokee Laredo 4.7 V8 4X4 through Chrysler Financial right now for 36 months with 15,000 miles per year, its buy rate lease money factor and residual value should be .00188 and 50%, respectively. The numbers for an otherwise identical lease of a 2005 Jeep Grand Cherokee Limited 4.7 V8 4X4 should be .00210 and 52%.

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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Birdbird, Acura may end up increasing its lease support on the RL one more time as the end of the model year approaches, but at some point this car's residual values will likely have fallen to the point that Acura will pull the plug on its lease support of it and convert any available money that it was using to support leases of it to straight dealer cash. If you want to wait until September to lease the RL that you are interested in to see if there is any increase in lease support on it, it is probably safe to do so. However, it is difficult to predict whether Acura will enhance its lease program on this car in the approaching months and when it will stop providing lease support.

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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Hi x021627. I would be happy to give you an idea of what the lease program is currently like on this car if you let me know how long you want to lease it for and how many miles per year you need to be able to drive it.

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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Hi paulnyc. It sounds as though you live in the state of New York. The government recently passes a bill outlawing the frivolous vicarious liability lawsuits that were allowed in your state. In the past, most banks either completely stopped leasing vehicles to New York residents or charged them a higher lease acquisition fee than they charged residents of other states. Dealers never want consumers to wait to get a new vehicle. The sooner they get you to sign on the dotted line, the sooner they get your money and the less likely it is that you will buy from someone else. So if the dealer that you are working with is telling your to wait until September to lease, they probably have a good reason. I suspect that the bank that you are interested in leasing through is going to lower its lease acquisition fee for New York residents as of September 1st.

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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    No problem scrider. You really aren't paying a financial penalty by leasing and then purchasing this car versus purchasing it from the start. Infiniti Financial Services' lease money factors on it right now are equivalent to interest rates of just over 5%. So you really will not be paying much more in terms of interest than if you had financed this car. At lease-end, if its purchase price is in line with what you would have to pay for a similar car on the open market, you can buy yours and enjoy the fact that you know its history. If your lease-end purchase option price is a little high, you can try to negotiate a lower price with IFS. If you get a lower price, great, because it means that you get out of paying for some of this car's depreciation. If not, you always have the option to just return the car.

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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    I am sorry to hear that your truck was stolen, monkeyshift. If you had gap insurance on your lease then you will not have to pay the difference in the event that they payoff that your insurance company gives you is less than what you owed on your vehicle. Many banks automatically include gap insurance on leases. If you don't know whether you had gap insurance or not, you should take a close look at your lease agreement to see if you had it. Unfortunately, you will not be reimbursed for any down payment that you made on your lease.

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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    You're very welcome Bushwack. Who said that I'm not bonkers ;) ?

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  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    Hi budbud. In my opinion, you would be better off financing this truck instead of leasing it right now. Mercedes-Benz is not currently providing any sort of lease support on the recently redesigned 2006 M-Class. As a result, if you were to lease one through its captive finance company, Mercedes-Benz Credit, you would have to use its standard lease money factors. The last time that I saw its lease program, MBC's buy rate standard lease money factor for consumers who qualify for its top credit tier was around .00330. This is equivalent to an interest rate of around 7.92%, which is much worse than the rate that you were quoted to finance this truck. Not only that, but there is a good chance that the dealer that you are working with will try to mark-up your car's base lease money factor to add additional back-end profit to your deal. This sort of thing happens all the time with luxury brand dealers. If that happens it will put your interest rate for this lease at over 8%, which is terrible for today's market.

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  • 1996519965 Member Posts: 11
    Sorry, I have no advice for you except to say that your math is slightly off. 1800 mi. x .15 = $270; or did you mean 18,000 mi???
  • aggietxaggietx Member Posts: 8
    Car Man,

    Would you provide me with AHFC's current base MF & Residual on a 05 TL Base (Auto) for 36 and 39 months, with 15,000 and 20,000 miles per year.

    Thanks for the help!
  • erdrickerdrick Member Posts: 2
    Carman,

    Thanks a lot, just a few follow up questions. Is .00113 the current money factor they should be using for this lease because the dealer told me .0013. Lastly, I live in Illinois so I believe the sales tax is figured into capitalized cost from the beginning, correct me if I'm wrong.

    Thanks again,

    Erdrick

    >>Let's double check your calculations, Erdrick. On a lease of a 2005 Infiniti G35X with >>an MSRP of $38,980 and a selling price of $35,200, I come up with a 36 month, >>15,000 mile zero down, pre-tax monthly payment of around $416. I used a money >>factor of .00113 and a residual value of 58% to arrive at this payment. The $600 a >>month payment that you were quoted on this car is waaaaaaay to high.

    >>Car_man
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    >>Smart Shopper Forum
  • fsufanfsufan Member Posts: 35
    Car-Man, thanks for the info on the Passat. I have one more for you. Honda is advertising a lease on the 2006 Ridgeline RTS, $299 month 36 months, 12,000 miles per. MSRP: $30,590 purchase option $18,965.80. I calculate a 62% residual which seems high for a Honda. Is this being subsidized by Honda?

    The problem is dealer stock reveals very few RTS models and plenty of RTL models in stock. Is the 36/12k residual the same for this model. How about residual on 36/15k? What is the money factor? Can you calculate a payment based on RTL with moonroof & XM MSRP: $33,190 "0" down sale price-$30,000, for both 36/36k & 36/45k. Also do you apply the residual value to dealer installed accessories? Thanks again.
  • jlewjlew Member Posts: 1
    I am looking to lease a 2005 Nissan Murano. This is my first time leasing. NMAC has a lease special of $359 a month, with $1999 down for 42 months. My question is. Do I still negotiate a selling price? or do I have to accept full MSRP. I read alot about leasing, and negotiating cap costs for a lower payment, but cannot find anything on special factory lease deals.

    Thanks
    JLew
  • natalie02lenatalie02le Member Posts: 19
    Car_Man,

    Thanks for all the helpful info. I've seen topic similar to mine in the mar-apr 2005 timeframe.

    Details: 2006 bmw 330i with $40,545 msrp. Assume sale price = msrp even though I was told there was "$500 in the deal to make it happen". 36mo/12k miles per year with a 62% residual. Prepay = $21,172 plus tax, plus security deposit, plus garbage "BMWFS Bank" fee, plus dealer fee, plus tag, title, etc.

    This is just not compelling at all. I was told it was at 5% interest and the money factor was .0021 but it just doesn't add up.

    I SHOULD only be paying them interest on the residual, so 5% x .62 x 40545 x 3yrs = 3771. I'm prepaying the "non"residual which is .38 x 40,545 = $15,407. That should total 3771 plus 15407 = $19,178.

    That $2000 gap is a lot of extra interest. Without the garbage fee it's just under 8% and with it included it's more like 8.5%.

    I can obtain new car financing at 4.99% for up to 72 months.

    Question: Assuming a top tier credit rating, why does BMW prepay calculations make no financial sense whatsoever?

    Thanks again.
  • jpyjpy Member Posts: 9
    Car_man,

    I am in the final stages of doing this deal. My dealer is telling me the only way to get to the .00250 MF is to pay a $600 security deposit otherwise the MF is 2.65.

    Would you comment on this?

    JPY
  • epiechepiech Member Posts: 8
    Wow, I just discovered this forum in my research for a Toyota 4Runner. It looks like the 4Runner MF and residual have been provided for other regions, but I would like to know the MF and residual for a 2005 V6 4WD 4Runner for 12K miles and between 36-48 months (whichever has the best rates) in the Denver Region.

    I am assuming based on previous posts that the incentives cannot be combined with the low lease rates but I guess it remains to be seen if the V6 rates compare well with the V8 rates. Thank you.
  • kyfdxkyfdx Moderator Posts: 265,612
    That is correct... base money factors assume a security deposit... and, the bump for no security deposit is indeed .00015 for BMWFS....

    With BMWFS, it is almost always financially advantageous to make the security deposit and take the lower money factor...

    regards,
    kyfdx

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  • jpyjpy Member Posts: 9
    Thanks for your help!
  • bdr127bdr127 Member Posts: 950
    I can't answer all of your questions, but I can tell you that the base MF for the 330i is currently .0025 and not .0021. Does this affect your calculations?
  • x021627x021627 Member Posts: 152
    Carman:

    Looking for 36 mos and 15k miles per year. sorry I forgot that info. Thanks!
  • rblnrrblnr Member Posts: 124
    How does this sound:

    7 pass LTD, DVD+NAV, rear bumper cover, compass mirror, roof rack, rubber mats

    $1100@signing which includes all taxes, fees + first mo. lease payment, $502 for 36 mo., $494 for 39 mo. -- 12K miles. Good lease deal?
  • ch7656ch7656 Member Posts: 43
    Looking for the MF and Res at 12k & 15k per year for the new RR Sport / 36 Months

    TIA

    Chris
  • awgd8awgd8 Member Posts: 5
    yes 18000 over the limit by the time the lease end = $2700
  • djocksdjocks Member Posts: 124
    Can you figure the lease payment for an Acura RL selling price $45000 15K miles a year 36 months in Connecticut? Thanks, dj
  • dave328dave328 Member Posts: 30
    Carman,

    Can you give me your opinion on this lease?

    bmw 530 xiT
    msrp - 57,220
    cap cost - 55220
    money factor - 0.0024
    residual 60%
    monthly payment 820 plus tax
    drive off 1700.

    Is there any impending lease support that is rumored for the wagon that you know of?

    Thanks for you help!

    Dave
  • CarMan@EdmundsCarMan@Edmunds Member Posts: 38,514
    You're welcome steveo2. The last time that I saw it, Toyota Financial Services' standard lease money factor for consumers who qualify for its top credit tier was around .00235. TFS' residual values for the 2005 Tundra vary depending upon whether you want a regular cab or double cab model and by 2WD versus 4WD.

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