Did you recently take on (or consider) a loan of 84 months or longer on a car purchase?
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Thanks !!!
I am sorry to say that it is going to be pretty expensive to insure this car in New Jersey. I am currently leasing a 1998 CL and my insurance runs me about $2,000 a year. So the quote that you were given looks to me as though it is right in line with what I would expect someone to pay to insure this car.
Car_Man
Smart Shoppers / FWI Co-Host
Car_Man
Smart Shoppers / FWI Co-Host
You seem to know your stuff when it comes to leases. I do pretty well myself in negotiating leases. Unfortunately, I have no experience in what you can negotiate if you turn in a car to a dealership at lease end and want to lease another vehicle.
I leased a 98 honda accord EX for 36mo/12,000miles. When I turn it in at the end of the lease it will be approximately 5-6 thousand miles below the 36,000miles. It is excellent condition! I want to lease a honda odessey LX. I hear they are hot and will have a hard time negotiating the MSRP. What can I do???
Also, I am finding a residual of 58% for the 2001 Odessey LX. What do you have??
Any information is greatly appreciated!
You are right, the Honda Odyssey is still very popular. As a result, most dealerships are not willing to provide consumers with substantial discounts on them. Unfortunately, the fact that you kept your current leased vehicle in such good condition probably will not change the fact that you are going to have to pay close to full MSRP for an Odyssey if you want one. As far as this van's residual value is concerned, it will vary depending upon the length of the term that you choose and the number of miles per year that you are allowed to drive without penalty.
Car_Man
Smart Shoppers / FWI Co-Host
Car_Man
Smart Shoppers / FWI Co-Host
Thanks for the response about negotiating a new lease. I am looking at 36 month 12,000 mile lease on the Honda Odessey LX. Can you help me out with residual and money factor?
Another thought, do you know if I would be better off negotiating a Toyota Sienna deal or a Dodge Caravan deal (for leasing that is).
Thanks again in advance for your help.
There are literally hundreds of banks across the country that will probably lease you this vehicle. This sort of transaction is usually done directly through a dealership's finance department because it is so difficult to find out which banks have the best program for a particular vehicle, but I certainly can see why you would want to bypass the F&I department if they are marking-up MBCC's rate for you. Chase and World Omni are two banks that I know are fairly big players in the auto leasing industry.
Audi's lease money factors will vary depending upon the exact vehicle that you are interested in so it is difficult to generalize about the factor without knowing the car that you are referring to. However, in the vast majority of instances all of Audi Financial Services' base lease money factors will be lower than .00395.
Car_Man
Smart Shoppers / FWI Co-Host
Car_Man
Smart Shoppers / FWI Co-Host
I am glad that you find this information so helpful. Please feel free to come back as often as you like to ask additional questions or let us know which vehicle you eventually choose.
Car_Man
Smart Shoppers / FWI Co-Host
I'm wondering if you can tell me what you think. Jeep is offering me a 2000 GC Laredo at invoice, $3800 lease cash, a 52% residual and a mf or .00389 for 24 months.
The salesguys are so sleazy, I can't decide if I should take this deal or not.
Thanks,
Tom
Car_Man
Smart Shoppers / FWI Co-Host
Thanks for the info.
Car_Man
Smart Shoppers / FWI Co-Host
My credit union is offering something called a 'lease alternative' loan - and they list an interest rate of 9%. Is anyone familiar with this kind of loan/lease, and how to calculate payments? The way they describe it, it sounds like it's pretty much a balloon payment at the end.
I'm looking at a (slightly used) 2000 Lexus GS300 w/ Navigation and chrome wheels. Dealer price is $39000. Seems like a pretty good deal. Does anyone have any insight into how to calculate the payments on this 'lease alternative' and if it's a better way to go than a lease?
Thanks
Ira
Wasn't sure where to post my question but thought I'd try 2 different threads...sorry for the redundancy.
I tried to lease a Jetta 1.8T with various options that put the car at $24300 MSRP...
My final offer on the car was $360/month before tax, 36month/12K, $0 cap red...
Bottom line, the let me walk out the door...
I thought the offer was very fair...what do you think?
Thank in advance, Paul
Car_Man
Smart Shoppers / FWI Co-Host
Car_Man
Smart Shoppers / FWI Co-Host
Car_Man
Smart Shoppers / FWI Co-Host
Can you help with the money factor for the 2001 saab 9-5 lease; advertised at $439 per for 36 months, 12,000 mi. Is it a better deal than can be had on a Acura TL lease? thanks
The 99 was 404.00 per month for 24 months with 12,000 miles per year with no money down and loaded including sales tax but not property tax.
This new one I looked at was 575.00 per month on a 36 month lease with no money down.
So I was wondering if there was any other options that would be a very good lease value on a 2001. I need the suv with 4 wheel drive for my business. I also need the room in the back. thanks for any info
Given the fact that this is the beginning of a new quarter, the majority of the lease programs for manufacturers' captive finance companies recently expired. I should have the latest lease information by mid-week, probably Wednesday evening. Please feel free to check back with me then for answers to your questions. Thanks.
Car_Man
Smart Shoppers / FWI Co-Host
Thanks in advance, Mike.
1 -the balloon amount is set equal to the residual value. you can find the residual amounts for various terms at carwizard.com
2 - when the balloon comes due you have the option to pay the balloon, refinance, or return the car like a lease(usually with a nominal fee say, $300)
regarding your question about calculating payments;the payment amount is the sum of two calculations.
the first is the amount required to amortize the depreciation over the loan term. this is the difference between the loan amount and the balloon amount. figure it just like you would for a regular loan, use the 9% rate your credit union gave you.
the second calculation the the cost to carry the remaining value of the vehicle. simply multiply the balloon amount times the interest rate to get the annual cost to carry and divide by 12 to find the monthly amount.
add the amount from the first calculation and the amount of the second calculation and you'll be within a $4 or $5 of the monthly payment. some differences will occur depending on the accrual methodology and rounding.
i have used this type of loan for four years and purchased three cars in that time. it is my favored means of financing. generally the credit union rates can't be beat unless there is a special lease/finance offer from the manufacturer. you have the payment that is lower, like a lease without some of the restrictions a lease may place on you. my credit union p;aces gap insurance on these loans automatically and is great to deal with. i generally apply for the loan and receive a sight draft that i can take to the dealer and negotiate as if i was paying cash. it removes a variable from the negtiation equation.
good luck!
Car_Man
Smart Shoppers / FWI Co-Host
His suggestion was to put the money ($7,200) in a refundable security deposit account with the leasing company. Doing this would reduce my monthly payments by approx. $80 per month. In effect I would be receiving 12% interest tax free.
Upon completion of the lease I would then be returned my $7,200.
Is all this true? Is it common in leases. I've been reading all I can about leasing and never heard of doing this.
Any information would be helpful.
I am also looking at MDX leases.
American Honda Finance Corp, AHFC, offers 8.88% interest and residuals in the 64-69% area on the acura.com website. In the current buying frenzy, MDX dealers are trying to add a point or two of interest to their own, captive leasing company's rates - beware!
Another alternative I'm checking into is at my credit union. They offer a LAP - Lease Alternative Program. Check out the terms at:
http://www.centra.org/autos_lap.htm
I don't have all their details yet but it sounds interesting.
What's your experience been on shopping for MDXs?
Jeff
Chase Manhatten offers an "additional security deposit" option. American Honda Finance does not.
With this option you can make an additional refundable security deposit at the lease inception totaling no more than 10 payments.
Example:
Lease MDX/Tour: $525.00 Month for 42 month 12K
Leave refundable Deposit: $5250.00
New monthly payment:$475.00
You end up saving 9% tax free on your payments, plus you preserve your capital.
If you already have the money (ie from a trade-in) I feel its the much better alternative than front loading a lease. The risk of losing it all early on in the lease is too high.
I'm still going to ask questions and try and find
other alternatives as well.
As far as my buying experience...I visited most of the dealerships in the area, the salesmen did not impress me at all. Lexus and Mercedes were far and away the most professional and knowledgable.
That being said, the salesmen didn't try to pressure me at all. It was pretty much leave your money to get a place in line if you want.
I guess I'm confused how Chase's "Add'l Refundable Security Deposit" plan differs from straight cash up-front. It must be that word "refundable"....?
Chase has a rather uneven reputation in the car leasing business - if you want to laugh, have a look at this site:
http://srd.yahoo.com/goo/%22chase+bank%22/3/*http://www.chasebanksucks.com/
The Acura website's AHFC lease calculator outlines a MDX Touring 42-month lease, 12K miles a year, with no cash up-front at $567/month plus taxes. With $5250 cash up-front, the monthly payment is reduced to $422 plus tax - about $50 a month cheaper than the Chase deal. But no "refundable" word in the downpayment receipt.
The AHFC residual after 42 months is listed as $23,968 for your Touring MDX - is that about the same as Chase's?
Jeff
is a 10 month security payment maximum (ie lease
payment 470.00/month can leave a max. of 4700)
I was originally quoted $514/mo for 42 @12k/year
By using MSD program it's $470/mo for 42 @12k
Not bad. Save $44.00 and preserve the loot.
I'll probably go that route.
Kevin
Floridian
The posting is #96
Thanks in advance!
deals ended in Sept. My local dealer has about 5
of the 2000s and I can't get into one because the
promotion is over. Oh Well. If anyone knows of
any new deals coming on the 9-5 please let me know. Thanks.
Even if a dealership purchases your off-lease vehicle, I believe that they will still have to pay any sort of disposition, lease-end fee, or purchase option fee that you would have been responsible for had you purchased this vehicle for yourself at the end of its term. Having said that, whether or not this fee gets passed on to you will probably depend upon the specific dealership that you visit. If there is enough profit baked into your deal there is probably a very good chance that they will not pass any charges on to you, but if you have a really skinny deal then they may hit you up for any additional money.
Car_Man
Smart Shoppers / FWI Co-Host
Car_Man
Smart Shoppers / FWI Co-Host
Another problem with leasing for such a long term is that long leases typically have higher interest rates than shorter ones do. If you choose to lease through a manufacturers' captive finance company they will frequently provide supported low interest rates for 24 or 36 month terms. Even if the vehicle that you are leasing is not supported most many manufacturers' standard rates increase as the length of your lease does.
In answer to your specific question, Volkswagen Credit does not currently have any supported lease money factors available on any of its 2001 models yet. So if you choose to lease either a Jetta GL or a Golf GL through them at this time you will have to pay their standard lease money factors of .00340 for 48 months or .00355 for 60 months. These rates are slightly higher than VW Credit's standard rate of .00335 for up to 39 month terms. The 48 mo. 15,000 mi/yr residuals for the 2001 Jetta & Golf GL are both 51% and the 60 mo. 12,000 mi/yr residuals are both 42%.
Car_Man
Smart Shoppers / FWI Co-Host
the 2001 golf gl automatic was not available anywhere so i placed an order. salesman said it will most likely be 8 weeks give or take a little.
here's the numbers for you to evaluate. i think i did well but be honest with me.
01 golf gl
options: automatic , vw alloy wheels (895.00)
msrp= 17295.
capitalized cost= 16670.
destination= 525.
total= 17195.
i gave them a 500.00 deposit (not reflected above)to place the order which will be applied as a down payment when my car comes in and i finalize. i was told at that time i will see the finance person at the dealership. based on your experiences does this seem ok? what type of monthly payment could i expect with 36,39 or 48 month lease 15k per year. id like an option to buy at the end. or should i just finance the car for 60 months (traditional financing). thanks bunches!!
If you lease it at the end of 48 months you are left with nothing.
Unless you have a real need to own a new car every 2 - 3 years, how does leasing ever make economic sense.
I've always purchased cars that were highly rated and never felt that I had any reason to unload them after the warranty - why would anyone want a car that is unreliable after 36,000 miles? The cost of normal maintenance is well below the cost of monthly payments on a newer model.
Looking for 36 and 48m/15k and additional per mile charge.
Thanks!