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Car_man
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If you were to lease a 2005 BMW X5 4.4 through BMW Financial Services right now for 24 months with 12,000 miles per year, its buy rate lease money factor and residual value should be .00250 and 61%, respectively. Its 10,000 miles per year residual value should be 62%.
As you can see, neither of these vehicles lease programs are currently very attractive. This is because their lease money factor support was recently replaced with dealer cash, $6,000 on the '05 Range Rover and $6,500 on the '05 X5 4.4. Make sure to take this cash into account when negotiating your leases on these trucks.
Car_man
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Car_man
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Car_man
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I would be more than happy to give you my opinion of the deal that you were quoted, however in order to work up a lease payment on this car to compare with yours I need you to provide me with its full MSRP (with the destination charge added in). For now I can tell you that the selling price that you were quoted looks good to me.
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You can determine approximately how much it will cost you to get out of your current lease by comparing its purchase price to its value on the open market at this time. You should place a call to the bank that you are leasing your vehicle through to find out its exact price. Once you know exactly how much money it is going to cost you to buy your leased vehicle you need to compare it to its current value on the open market. You can find out approximately what your vehicle is worth by looking up its Edmunds.com True Market Value in the Used Vehicle Pricing section of this site. You also may want to stop by the following discussion: sysop, "Real-World Trade-In Values" #, 15 Dec 2000 2:07 am. One of our most knowledgeable community members, Terry, frequents that discussion and he is often kind enough to give community members who give him an accurate description of their vehicles with his opinion on their value. Don't forget to check to see if you are still on the hook for your remaining lease payments. The difference between your leased vehicle's current value and how much it will cost you to buy it plus any remaining lease payments that you are obligated to pay will equal the cost of getting out of your lease right now. You may find that you are better off waiting until you are closer to the scheduled end of your lease to get another new vehicle or purchase your current one. Banks are much more likely to negotiate the lease-end purchase prices of vehicles a month or two before their scheduled termination dates than they are well before then.
Car_man
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Car_man
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Car_man
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No the $2,000 customer cash that GM is currently providing on the 2006 Rendezvous is not available on GMAC leases, but it is providing $500 lease cash on leases of 2006 Rendezvous CX models. As far as this truck's lease program goes, if you were to lease an '06 Rendezvous through GMAC right now for 24 months with 15,000 miles per year, its base lease rate should be 4.0% and 66%, respectively. The numbers for an otherwise identical 36 month lease should be 4.0% and 57%. GMAC's 12,000 miles per year residual values are 1% higher for 24 month terms and 3% higher for 36 month terms. As you can see, GMAC publishes lease rates instead of money factors for the vehicles that it leases. You can convert its published lease rates into approximate money factor equivalents by dividing them by 2400.
Car_man
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You can determine approximately how much it will cost you to get out of your current lease by comparing its purchase price to its value on the open market at this time. You should place a call to the bank that you are leasing your vehicle through to find out its exact price. Once you know exactly how much money it is going to cost you to buy your leased vehicle you need to compare it to its current value on the open market. You can find out approximately what your vehicle is worth by looking up its Edmunds.com True Market Value in the Used Vehicle Pricing section of this site. You also may want to stop by the following discussion: "Real-World Trade-In Values". One of our most knowledgeable community members, Terry, frequents that discussion and he is often kind enough to give community members who give him an accurate description of their vehicles with his opinion on their value. Don't forget to check to see if you are still on the hook for your remaining lease payments. The difference between your leased vehicle's current value and how much it will cost you to buy it plus any remaining lease payments that you are obligated to pay will equal the cost of getting out of your lease right now. You may find that you are better off waiting until you are closer to the scheduled end of your lease to get another new vehicle.
Car_man
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It is possible to trade-in the 325i that you're leasing for the SUV that you want, that's just what i did last weekend But i think the process of doing that trade off is less complicated if you do it within the same company (in your case, BMW). It's just like swapping your lease sedan for another vehicle. They'll ask you to sign a notice of release of responsibility for your old car. I'm not sure about trading a lease for a vehicle financing set up though. Contact a bunch of dealers and they'll give you their numbers, then pick out the best offer that attracts you. (TIP- don't pick up the phone until you get the cheapest offer ...in your email). 90% of the transaction time on my new lease program were done on the internet and buy phone. After some consultations here and there, i was able to close the deal (over the phone), signed the papers then drove off my new ML350 a couple of hours later that same day. Goodluck and enjoy shopping.
Thanks
Any information on Octobers lease deals on the 3 series. That’s when I take delivery.
The lease is for a 2005 Honda CR-V EX and after leaving the dealership with my head spinning, I realized that I was going to pay $2,000 over invoice for the car (Down payment + 36 lease payments + residual valve)
I know with a mortgage there is a 3 day right to rescind. I hope the same is true with this contract. Thanks
Your (Down payment + 36 lease payments + residual valve) is $2,000 over over invoice includes some other charges. You have plates, doc fees, interest on the lease payments and other things.
Look at the capitalized cost and the down payment to see what you are paying for the vehicle.
With automobiles there is no right to rescind.
Now i'm thinking of buying not leasing anymore...it seems that it will end up paying more in lease than buy. Well, Thanks Again guys for your help!
:):)
Until that happens, you can get out of just about any car deal...
regards,
kyfdx
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The MSRP on the car is $21,440. The invoice price on the car is $18,834. He quoted me $17,650 including destination at first since I was asking about leasing. Later when I asked him what it would cost me if I was buying the car he added $515 for destination. When I asked him about the monthly payment with $1500 down, he came back saying that it would be $256 + taxes for 42 months.
He also refused to give me the money factor and said that it depends on my credit. After approval by AHFC he said that my monthly payment will be at least $20 higher since my credit is Fair (620).
Is it really a good deal? Also, I am really confused about all the other fees and charges like dealer documentation, lease initiation, etc. Please tell me what I can negotiate with and what I cannot. I am going to spend a good portion of my day trying to educate myself. I would really appreciate any help. I need to finalize the car soon ( like today or tomorrow)
Thank You
Would you provide me with the Residual & MF on an 06 Accord EX-V6, 6speed with Navi based on 15,000 miles and a 36, 39, 48 month term.
Thanks.
This is the most important thing anyone needs to know about leasing."
Ok, since you apparently didn't see my question, let me suggest that this statement is utter nonsense.
Obviously one of the strongest inducements to lease has always been the prospect of driving a car you couldn't otherwise afford for less money.
Exactly what is the logic behind your silly assertion to the contrary, other than some elitist notion about the unwashed driving the good stuff.......
This is the most important thing anyone needs to know about leasing."
[..]
Obviously one of the strongest inducements to lease has always been the prospect of driving a car you couldn't otherwise afford for less money.
Exactly what is the logic behind your silly assertion to the contrary, other than some elitist notion about the unwashed driving the good stuff.......
The benefits of leasing are:
- Don't have to worry about selling the car.
- Don't have to pay tax on residual [most states].
- Don't have to worry about diminished value following a collision.
- Some cars are in fact cheaper to lease than to buy.
The danger is that for whatever reason, you'll wind up in a changed situation where you have to drive a lot of miles, or you move abroad and need to end the lease, or your three-year-old pours Elmer's white glue down the AC vents of your 530i.
When "stuff" happens, it can cost a bunch of extra money to get out from under.
That is why you can't afford to lease cars you can't afford to buy.
Elitist notions have nothing to do with this. We're not snobs here, which you'll see if you spend some time reading.
-Mathias.
In fact among the myriad reasons for leasing, one of the strongest has always been the ability to acquire a better vehicle for less money.
I suppose there is a subtle distinction here between costing less money and ability to afford, but I submit that the same litany of things that can go wrong is equally applicable to financing a purchase..
So perhaps your point is unless you can pay cash for a car, walk.
Well.. gee.. I find it pretty hard to be elitist when I have to punch a time clock everyday. I think you are the first person to ever accuse me of that... Although, I have been called a clown...
Leasing is just an alternative form of financing... You still have exactly the same costs as purchasing.. Depreciation, financing, maintenance, insurance, etc...
The only difference is the cash flow schedule... On a purchase, you pay more of the money sooner, and less later, than on a lease... But, in the end, driving a car for three years doesn't cost any less by leasing...
As Mathias pointed out, a person's situation and driving needs can change... If you put a decent downpayment on a car, and your loan is for 60 months or less, you can always sell your car to get rid of the debt, or if you can still afford the payment, but your driving needs have changed, you can pile on all the miles you want.. You have options...
But, if instead of buying a $30K vehicle with 20% down and a $500 payment (assuming that is your budget), you go lease a car that MSRPs for 40% more, with the same $500 payment... and then you suffer a financial setback, or your driving needs change.... you are committed to a vehicle that will shortly be much more expensive than you can afford..
So, if you have a 20% downpayment and a budget of $500, and choose to lease that $30K car for $350/mo. instead... then no problem.. But, if your alternative is to use your entire $500/mo. budget to lease a $42K car, that you could never afford to purchase... then you are just setting yourself up for major financial problems..
regards,
kyfdx
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That was my whole point... You can't acquire a better vehicle for less money.. it just results in a smaller monthly payment... not any sort of real savings..
I agree... this is the reason many people lease... I just think it is the worst reason...
regards,
kyfdx
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regards,
kyfdx
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And is there a way to keep the salesman honest about my credit tier? So I will not be given a quote calculated with tier B, while in fact I am qualified for tier A.
Thank you.
Ning
I'm working a lease deal on a 2006 BMW 530i. In Texas (I live in Austin), sales tax must be paid on the full selling price. So, I'm trying to figure out if I pay the taxes in full at inception or roll them into the capitalized cost.
The deal looks like this:
2006 BMW 530i
MSRP $53,465
Sales Price $51,500
Acq Fee $825
Sales Tax (6.25%) $3223
Sec Dep $700
Residual 62%
MF .00215
36 months; 12K miles/year
Lease payment is ~$690/month
So...
1) Does this look like a good deal?
2) How have others in Texas handled sales tax on a lease?
Many thanks in advance,
Sean
Could you provide MF and residual for the following:
2006 Freestyle Limited, FWD, w/o Nav
12,000 miles per year
24, 36, 48 month lease
2006 Explorer Limited, 4x2, w/o Nav
12,000 miles per year
24, 36, 48 month lease
Thanks///
On a lease - do you calculate your tax on the negotiated sales price of the car then divide by your number of months or do you calculate your monthly lease payment then multiply that by your tax rate ?
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Ning
Ning
In NY, you multiply your monthly payment by the tax rate (ie, you pay tax on only your depreciation portion, but also on the interest as well).
In NJ, you calculate your total tax by multiplying the tax rate by the depreciation portion (selling price - residual). Then you spread that over the term of your lease. ie, no tax on interest.
Car_man
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At lease signing, consumers usually have to pay their vehicle's first month's payment, a security deposit equivalent to their vehicle's payment rounded up to the nearest $25 or $50 increment, their bank's lease acquisition fee (Honda's is $595), and any required state taxes or fees. Any sort of documentation fee that you are charged goes straight into your dealer's pocket and really is nothing more for them to add additional profit to your deal.
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