Lease Questions - Ask Here

rroyce10 · January 2002

....... Some food for thought, make sure you keep on the lease track if the 540i is your target.

A purchase on those 6 speeds can be the "kiss of death" at trade-in time ...Ouch..!

Terry.

im_brentwood · January 2002

You may want to find "vwguild" As he's a lot more familiar withthese charges, but they're part of the invoice cost fromthe manufacturerto the dealer.

I know that there are charges on the invoice of every VW that enters our country that are not on edmunds.com

$75 (I think) for Port Prep. That's the same nationwide.
$100 or so (Im not sure the amount) for Floorplan Interest Reserve (The amount is the same nationwide).
$0-200 or so for Regional Advertising asessments (Covers VW of NA's advertising, NOT the dealer's). These are regional. Ergo, the guy in, say, Tallahassee, FL doesnt payas much for the cars as the guy in, say, Miami, FL as VW has much higher costs of doing biz in Miami than in a small city in North Central FL.

Hope this helps!

Bill

tgif888 · January 2002

I believe the $550 is acquistion fee. It had it on all the lease.

CarMan@Edmunds · January 2002

Hi jgwoods. As Sarah mentioned, I would be more than happy to give you an idea of what you can expect VW Credit's lease program to be like for the Jetta right now. However, in order for me to do so, I need you to be a little more specific about the car that you are interested in, i.e. Jetta GL Sedan, Jetta GLS 2.0L Wagon, etc... Once I have that additional information I will be able to help you out. Talk to you soon.

Car_man
Host
Smart Shoppers / FWI Message Boards

CarMan@Edmunds · January 2002

You're welcome, Dave. The AHFC 2 year 15,000 miles per lease money factor and residual value for the same car should currently be .00130 and 62%, respectively.

Car_man
Host
Smart Shoppers / FWI Message Boards

CarMan@Edmunds · January 2002

Good morning, remy725. Nice choices in cars! Here is the information that you are looking for. If you were to lease a 2002 BMW M3 through BMW Financial Services this month, both the 2 and 3 year lease money factors should be .00260. The 12,000 miles per year residual values for these lease terms should be 68% and 60%, respectively. The lease money factor for the 2002 540i should currently be .00205 and the 12,000 miles per year residual values should be 69% and 62%, respectively. Lastly, the lease money factor for the 2002 BMW M5 should currently be .00260 and the 12,000 miles per year residual values should be 70% and 62%, respectively.

Car_man
Host
Smart Shoppers / FWI Message Boards

CarMan@Edmunds · January 2002

Hi again, Gary. General Motors is not really providing much in the way of lease rate support right now. Instead, they are allowing the $2,002 cash that they have available on all of their models to be used as a capitalized cost reduction on GMAC leases. The 3 year lease rate for a 2002 Envoy SLT should presently be 6.5% and the supported 15,000 miles per year residual value should be 48%. The 12,000 miles per year residual would increase to 51%. I have not heard if Mercedes-Benz continued their December lease program or introduced a new one yet. I will check into that for you today. Please feel free to check back with me tonight or tomorrow and I will give you an idea of what the M-Class lease program should be like right now. Talk to you soon.

Car_man
Host
Smart Shoppers / FWI Message Boards

CarMan@Edmunds · January 2002

Hi again, cynic. I am glad to see that the lease information that I gave you helped you out. The dealer who you are working with was telling you the truth. American Honda Finance Corp. charges a lease acquisition fee, also known as an assignment or bank fee, of $550 on all of its lease contracts. This money goes directly to AHFC and individual dealerships have no authority to waive it.

Car_man
Host
Smart Shoppers / FWI Message Boards

jgwoods · January 2002

Hi Car_man. The models are Jetta GLS Sedan 2.0L and GLS Sedan 1.8T. Thanks for your help!

CarMan@Edmunds · January 2002

Thanks for the additional information, jgwoods. If you were to lease a 2002 Jetta GLS Sedan 2.0L through VW Credit for 3 years with 12,000 miles per this month, the base lease money factor and residual value should be .00230 and 57%, respectively. If you were to lease a 2002 Jetta GLS Sedan 1.8T using the same parameters, the factor and residual should be .00167 and 57%, respectively. If you think of any other questions, please don't hesitate to ask.

Car_man
Host
Smart Shoppers / FWI Message Boards

ckrll · January 2002

Car-man -- What is AHFC's best money factor on a 15,000 mile RSX, 36 month lease? And what would the residual be on that lease for the base model, 5 speed, no leather?

Thanks,

John

CarMan@Edmunds · January 2002

Hi John. Acura is not providing any sort of lease support on the 2002 RSX at this time. So if you were to lease one through American Honda Finance Corp. right now, you would have to use their standard lease money factors. I believe that their base standard factor for 3 year leases is currently .00225. The 3 year 15,000 miles per residual value for a 2002 RSX leaseds through AHFC at this time should be 59%.

Car_man
Host
Smart Shoppers / FWI Message Boards

jgwoods · January 2002

Car_man, thanks for the info! With respect to leasing, does VW and every other mfr. have disposition fee, aquisition fee and rent charges? Are these fees rolled into the monthly payment or are they upfront fees due at signing?

Thanks, Joseph

sarah233 · January 2002

I really like the 1.8t--my mom has a '97 2.0, and the engine is freakishly loud. Still fun to drive though. I have the leather and sport luxury packages, as well as monsoon audio. it rocks!!

I got my car for $500 over dealer invoice. Other fees I paid:

$940 drive-off
$490 acquisition
$50 doc fee
$500 additional down--I got the sport luxury package which I originally did not want (now glad I have it) and wanted to pay the difference up front instead of in my lease payment since I had the cash on me.

garyking · January 2002

Car_Man,

Did ya get a chance to check on the current MBCC numbers on the ML320 yet? (36 mo, 12 & 15 K)

sdanog · January 2002

Car-Man....
I read in earlier posts about a .0019 money factor and 63% residual from BMW (around 12-31-01). I am considering leasing one for zero down and want to keep my payment under $600. What are the current rates and do I have a good chance to get that rate in Denver? Should I pick up in SC plant as an alternative?

Thanks

sdanog · January 2002

Car-man...

Couple of other questions....I wanted 15K/year over 3-4 years. Also, please briefly explain how multiple security deposits help reduce monthly payments....I assume its because the manufacturer keeps your money for the term. Is there a point of diminishing returns (i.e. toomany deposits)?

Thanks

brotherhowie · January 2002

Car_Man, I need a little guidance on this one:

I have a '97 4Runner and the lease ends in March. Since I'm already over the mileage cap, it makes sense to turn it in early and pay the remaining months (about $750) rather than the mileage penalty ($1,500). The lease shows a end of term value of $16K, but the blue book on it is only $10K.

Here's the kicker - I filed for bankruptcy recently, and want to just get out of this before it ends. My thought was to have a relative take over the lease, let him turn it in early and use it as a trade in towards something new (he has solid credit and needs to get a new vehicle soon anyway).

Any idea if I can do this? What are the pros/cons for both of us?

Any advice is greatly appreciated.

Brother Howie

CarMan@Edmunds · January 2002

You're welcome, Joseph. The fees that you mentioned will vary from bank to bank. I believe that Volkswagen Credit charges a lease acquisition fee of $490 and a lease disposition fee of $250. You can usually either roll your car's acquisition fee into its capitalized cost or pay it in advance, whichever you prefer.

Car_man
Host
Smart Shoppers / FWI Message Boards

CarMan@Edmunds · January 2002

I was able to look into that for you, Gary. I believe that if you were to lease a 2002 Mercedes-Benz ML320 through Mercedes-Benz Credit Corp. right now, the 3 year base lease money factor should be .00319, the 15,000 miles per residual value should be 61%, and the 12,000 miles per year residual should be 63%.

Car_man
Host
Smart Shoppers / FWI Message Boards

CarMan@Edmunds · January 2002

Hi sdanog. Unfortunately, the lease money factor that you mentioned in your post expired at the end of last year. BMW Financial Services' new base lease money factor for the 2002 X5 3.0 increased slightly to .00205 (for up to 42 months). This lease program is available throughout the country, so I don't see any reason why you would have any more difficulty getting the base money factor in your area than you would anywhere else. There really is no financial advantage in terms of the vehicle's lease program to taking factory delivery of this truck.

Multiple security deposits on leases are a great way for consumers who have the money to lower their monthly lease payments. They are much much better than making a down payment on a lease because you actually get this money back. One receives a standard lease money factor deduction for every additional deposit they make. The deduction for the first additional deposit is identical to the one for the ninth deposit. I personally have never done a study on the return that one receives when making additional security deposits, but have heard that BMW's MSD program is a very good deal from those who have looked more closely into the matter.

Car_man
Host
Smart Shoppers / FWI Message Boards

CarMan@Edmunds · January 2002

Hi Brother Howie. If you are going to turn in your leased truck two months early, the bank that you are leasing it through, probably Toyota Financial Services, is going to still want the two remaining payments that you owe them. You could theoretically use your truck as a trade in on another vehicle if its lease-end purchase price was less than its actual real world value. However in this particular case, you stated that the lease-end purchase price for your truck is $16,000 and it is only worth about $10,000 according the the guide that you looked at. If this is the case then there is no way that you or your relative can trade it in on another vehicle without owing a lot of money.

Car_man
Host
Smart Shoppers / FWI Message Boards

seqlady · January 2002

If the actual value of the car at the end of the lease is more than the residual, how can you use this difference as a down-payment on the next lease? I thought you had to actually buy the car in order to trade it in. Would appreciate insight as we're approaching a lease-end this spring.
Thanks.

tgif888 · January 2002

Car_man,

Thanks of all the info. I also need info. on this one. Like to know the money factor and residual value on a 02 Maxima SE automatic for a 3 year and 4 year lease with 12k miles per year.

Thanks.

tgif888 · January 2002

Car_man,

Any update info. on the Isuzu Axiom lease? 3 and 4 years with 12k miles per year.

Thanks.

brotherhowie · January 2002

Car_Man,

Thanks for the info on my lease. From what you said, even if a dealership agrees to take it, they're going to roll the $6,000 difference between the buyout ($16,000) and the actual value ($10,000) on to whatever vehicle is then purchased.

I'm guessing my best option is to turn in the vehicle at the end of the lease, pay the mileage penalty, excess wear, termination fee, etc. (all totalled, around $2,000) and start from scratch?

Thanks for all your info!

Brother Howie

baseballmom94 · January 2002

Hi again, Car-Man: I'm interested in the multiple security deposit concept to lower lease payments. Do you know if GMAC offers this type of program? Thank you again.

autobroker · January 2002

Car Man - I don't have a question this time and hope it is appropriate for me to pass on info to others on this board.

I came to the board tonight to see if there has been any discussion about the subsidized Honda Accord lease program. I noticed that you have recently answered someone's question about it versus lease programs for a Maxima.

I just wanted to say that today I got a 4 door Honda Accord EX V6 with leather for a client on a 3 year, 15000 miles per year program. Drive-off is less than $600 and payments are $325 per month including 8.25% tax. This even included a fee to me by the dealer. Cap cost price was $200 over invoice which I realize may not be appropriate pricing for this car throughout the country. I just think that to get into a fully loaded Accord which lists for almost $26000 at such lease pricing is great.

My client also looked at Toyota Camry LE V6 with aftermarket leather and Altima 3.5 (fully loaded). The Camry was $100 more per month and the Altima was more than that. Don't get me wrong - both the Camry and Altima are great cars but you cannot beat the Accord lease program if you are looking for a loaded leather trimmed V6 engine car.

Just thought I'd pass this on to people looking for a sweet deal. Even if $200 over invoice is not achievable in other areas of the country, the lease program will still result in excellent payments.

CarMan@Edmunds · January 2002

If you are positive that your vehicle's lease-end purchase price is less than its actual real world cash value then you should be able to find a dealership that will work with you to purchase it from the bank that you are leasing it through and then apply the difference between the payoff and what they are willing to give you for it to your next deal. You also can exercise your lease-end purchase option on your own and sell your vehicle privately to make money if you can buy your leased car or truck for less than its current market value.

Car_man
Host
Smart Shoppers / FWI Message Boards

CarMan@Edmunds · January 2002

Tgif888, are you helping friends lease vehicles or are you just having a tough time deciding what to get

? If you were to lease a 2002 Nissan Maxima SE through Nissan Motor Acceptance Corp. this month for 3 years with 12,000 miles per, the base lease money factor and residual value should be .00244 and 54%, respectively. The 4 year parameters should be .00244 and 49%.

Car_man
Host
Smart Shoppers / FWI Message Boards

CarMan@Edmunds · January 2002

Tgif888, Isuzu was running a special lease program on the 2002 Axiom through Bank One last month, but I have not heard anything about their January lease program yet.

Car_man
Host
Smart Shoppers / FWI Message Boards

CarMan@Edmunds · January 2002

You are correct, brotherhowie. If it costs more to buy your leased vehicle than it is actually worth in the real world and you try to trade it in on a new car or truck, the dealership that you are working with will have to roll its negative equity into your next deal. Rolling negative equity into a new loan or lease is never a good idea. Your best option at this point probably is just to pay your two remaining payments on your vehicle and turn it in as scheduled.

Car_man
Host
Smart Shoppers / FWI Message Boards

CarMan@Edmunds · January 2002

That is a good question, baseballmom94. It generally seems as though the captive finance companies that are associated with luxury brands, particularly European brands, like Audi BMW, Mercedes-Benz, etc... are the ones that usually allow their customers to buy down their lease money factors by making multiple security deposits on leases. I have never heard of anyone using this sort of program in conjunction with a GMAC lease, however this does not necessarily mean that it can not be done. I would ask the F&I manager at the dealership that you are getting your new vehicle from if this can be done with this particular bank.

Car_man
Host
Smart Shoppers / FWI Message Boards

wexclr8 · January 2002

Car man - excellent board!

I am getting a deal on a Lexus GS300 without Navigation but with the ML Sound package. Location is Atlanta and I am looking at a 36 or 39 month lease. Could you please provide current numbers and what you think the numbers may look like in April? Thanks!

tgif888 · January 2002

You are right.

I had a hard time to decide which vehicle to get. Before I know the Honda program, I am pretty much decided on the Maxima. Now, it is harder with Honda subsdizied the lease with such a low payment and drive off.

I was able to get the Maxima SE automatic with $750 drive offs and $371 per month.

Decision, decision.

Thanks for your info.

alexi1 · January 2002

Carman, I was wondering if you could provide MF and residual values for 2002 Audi allroad quattro AWD based on 36months/10k miles per yr. Thanks very much.
-alex.

tgif888 · January 2002

This will be the last one.

Like to know the money factor and residule on a 2002 RSX with automatic. (Not the Type S). Info. on a 4 year lease with 12k miles per year.

Thanks.

skobola · January 2002

Can I please get a money factor and residual for a 2002 BMW 325i for a 3yr-10k/year lease. In addition, how much the payment of multiple security paymentsreduce the price - BMW lets one to deposit up to 9 sec. payments, and I believe that the full 9 payments would give the most effective reduction.

CarMan@Edmunds · January 2002

Good morning, wexclr8. Unfortunately, the year-end special lease program that Lexus was running on the majority of its vehicles is gone. They really do not have lease support on any of their models right now, other than the IS 300. So if you choose to lease a 2002 Lexus GS 300 through Lexus Financial Services in January for 36 or 39 months, the base lease money factor and 15,000 miles per year residual value should be .00260 and 56%. Since both the 36 and 39 month terms use identical lease parameters, the 39 month term will provide you with a slightly lower monthly payment. As far as April's program goes, it is difficult to say what Lexus will do with this model's lease program down the road. Other than the car's residual value dropping, I personally don't see how the program on this car could get any worse though.

Car_man
Host
Smart Shoppers / FWI Message Boards

CarMan@Edmunds · January 2002

Hi Alex. I would be happy to give you an idea of what this vehicle's lease program should be like. This month, if you were to lease a 2002 Audi allroad through Audi Financial Services for 3 years with 10,000 miles per, the base lease money factor and residual value should be .00190 and 59%, respectively. Please let me know if you have any other questions.

Car_man
Host
Smart Shoppers / FWI Message Boards

CarMan@Edmunds · January 2002

Don't worry about asking questions, tgif888, I am always glad to help. If you were to lease a 2002 Acura RSX through American Honda Finance Corp. this month for 4 years with 12,000 miles per, you should be able to use their base lease money factor and residual value of .00220 and 54%, respectively.

Car_man
Host
Smart Shoppers / FWI Message Boards

CarMan@Edmunds · January 2002

Hello skobola. Here is the information that you are looking for. If you were to lease a 2002 BMW 325i through BMW Financial Services prior to the end of February for 3 years with 10,000 miles per, the base lease money factor and residual value should be .00230 and 63%, respectively. Yes, BMW Financial Services does allow its lessees to make up to 9 additional security deposits on leases in exchange for a reduction in their vehicle's lease money factor. I do not know the exact reduction that they provide for each additional deposit though. You probably will be able to find out the exact deduction by asking your dealership, contacting BMW Financial Services directly, or by asking other community members on the Sedans Message Board.

Car_man
Host
Smart Shoppers / FWI Message Boards

multiplechoice · January 2002

I understand that there are currently "special" lease rates on the '02 A6, what are they(money factor and residuals)? and do you know when they will expire. I am looking to lease a vehicle around May. Been looking at the A6, GS430, X5, 530i. I am looking at 15k/yr, 36 mo. programs. Thanks

kjana · January 2002

CarMan: same question as multilple choice except the Audi lease would be for a 2002 A6 4.2, 36 months, 10,000 miles per year. Also, if I were to wait until May or June I know that the residual value would go down, but I am wondering whether Audi would typically be offering incentives at that time of year to offset the loss of residual value or even improve the deal due to a lower cap cost. Any thoughts?

lalakrsfan · January 2002

Would you please provide MF and residual for a 2002 Nissan Pathfinder LE 4WD. I live in Southern California. Length would be 36 to 48 months and 15K miles.

To confirm what you wrote in an earlier post, is it accurate to calulate the residual dollar amount based on Base MSRP + Factory Installed options?

Thank you for your help!

alexi1 · January 2002

CarMan, thanks very much for your help.
Alex.

mwag · January 2002

Carman,
Can you tell me the current Chrysler Finance money factor for 36mo/12k and 39mo/12k leases for 200 Grand Cherokee model number WJH74 in Southeastern Michigan.

Thanks,
Mark
Thanks

djanalog · January 2002

Carman,

Thanks for the great info on this board. I'm curious if there are established money factors, with a reduced rate, for those that would pay for a lease in a lump sum up front. I'm interested in a 325i with 15k per year for 3 years and hoped I might be able to see a lower money factor by pre-paying the lease. Any information you have would be appreciated.

Thanks,

Daniel

mdiver65 · January 2002

CarMan,

You have helped me in the past and I need it again.

I leased a Toyota Camry SE V6 02 this past October for 3 years at 15,000 miles per year, $460.00 + tax per month. The vehicle is beautiful to drive with one MAJOR MAJOR problem. Every time and I mean every time I drive this car my leg starts to cramp. Serious pain. Apparently the car is lacking is some serious thing support (I'm 6'1", 230). Initially I thought it was all in my head but as the year went on and I read more reviews I realized it wasn't. I now dread driving this car and I'm locked into this lease.

I called my salesman to see what he could do. "Let me look into it!". OK. After a week went by and he hadn't called I called him.

The salesman said "it doesn't look like we can do anything but come on in and we'll sit down". I love these guys. I have a meeting next week with him and the manager. Somebody suggested I talk about trading in the Camry for an Avalon which has longer and better seats.

Any suggestion on how to best prepare for this meeting without getting majorly screwed? I don't want to get sucked into paying full MSRP (do you have the base lease money factor and residual value?)for an Avalon but I'm sure that's pretty close to what they will offer. How much value should I take off my car? It's about 4 months old now. 3,000 miles. Has anyone been in a similar situation?

Anything, anything you can think of will help! Can't believe I'm in this situation after looking around for 3 months for a new car.

Thank you!

Mark

silvercrown · January 2002

Hi Car_Man,

It's been a while since I've been on this board, so please forgive me if this info has already been posted. I'm thinking about perhaps moving into SUV territory and I like the Toyota Highlander. What are the money factors and residuals on a lease for 3 years and 12k/15k miles per year?

Thanks so much.

Lease Questions - Ask Here

Comments

Helpful Tools

Most popular vehicles