What Do You Think Of This Lease?

[jm10388]

New 2006 ES 330 with standard features

36 months

15k miles per year

1500 due at signing

monthly payment $507

I personally think its too much. There have been offers in the NY times of a new es 330 for 399 with like 1500 due at signing with 12k miles.

Btw, this is an internet quote. I will probably goto the dealership tommrow.

What price do you think I can expect? Considering what I have been reading here, I should be able to get the Lexus for at least 4000 off. If you plug that into the Lexus lease caluclator, thats under 400. Coupled with the NY times offer, I think if I baragin hard enough I could get to 350 a month.

Btw, I am aslso considering 2005.

[lexus411]

the $399. Lease deal had a $1500 due at signing. That was the cap cost reduction. You were responsible for paying sales tax and aquisition fee {$600.} plus all dmv fees upfront. That was on a 2005. NJ leases are structured differently . The taxes have to be paid monthly. You will not find a $4000 on a 2006 for sure. Anytime you see a published lease price expect to go up not down. They are figured nationwide. Majority of the time there based on cars with low equiptment levels in the northeast. The payments exlude taxes and bank fees which vary from state to state and usually feature a cap cost reduction{further money down} that gets it to that magical $399.

[Lexusfreak]

New 2006 ES 330 with standard features

36 months

15k miles per year

1500 due at signing

monthly payment $507

I personally think its too much. There have been offers in the NY times of a new es 330 for 399 with like 1500 due at signing with 12k miles.

Btw, this is an internet quote. I will probably goto the dealership tommrow.

What price do you think I can expect? Considering what I have been reading here, I should be able to get the Lexus for at least 4000 off. If you plug that into the Lexus lease caluclator, thats under 400. Coupled with the NY times offer, I think if I baragin hard enough I could get to 350 a month.

Btw, I am aslso considering 2005.

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Ok, you say that some places are offering a $399.00 lease, but that maybe the 'base' model ES.......read all fine price very carefully to see if we are comparing apples to apples here (many don't know it, but many 'lease quotes' are baised on full M.S.R.P. so keep that in mind). I personally doubt the dealers will be offering much in the way of discounts for a 2006 model year at this point, if you want that monthly payment under $400.00, I'd consider a 2005. B)

[lexus411]

the $399 lease was originally ona $33,600 ES {no VSC, HID lights or Wood wheel} They changes the ad for Sept to include the premium plus model which has a MSRP of $35,909 but included a $1500 cap cost reduction. It was a end of year special and was very little profit in it. Your not going to see anything like that on an 06 until the "December to Remeber Event"

[jm10388]

At lease compare.com, I can lease an ES 330 for $500 a month 15 k miles a year while inputing the msrp as the price of sale. I think 507 is too much. Btw the NY times ad was a 2006. Do you think the lease price is based upon the car selling for the MSRP? Most of the time this is the case. So after factoring in the down payment and 15k miles coupled with a discount in the msrp, i think I can get down to 375.

Whats your take?

Also is there a site where I can search the inventory of my local Lexus dealers? Thanks.

[Lexusfreak]

Also is there a site where I can search the inventory of my local Lexus dealers? Thanks.

←

Lexus.com & go to you area of dealers. B)

[lexus411]

the $399. was definitely the 2005. You also had to have a 730+ FICA score or a previous TMCC/LFS finance or lease to qualify. And it was a $1599. cap cost reduction. Its hard to use a lease calculator because if you live in NJ the taxes get added to your monthly payment. So the $399 would be about $425. but you out of pocket would be lowered. All though the 06 's have higher residual value the 05 has a special rate much lower then the 2006.

[SW03ES]

Remember that lexus411 is a Lexus salesperson (correct me if I'm wrong, I know you work for a dealer) and he knows these lease deals because they're his product. If he says the lease deal was a 2005, it was a 2005. This is what he does for a living.

To clarify a little bit what he's saying, states structure sales tax on a lease two ways. Some states (like Maryland) make you pay sales tax on the entire purchase price just like you were buying it. This tax can be paid upfront or it can be factored into the lease. In other states (like New Jersey) you pay a "monthly use tax" which is added onto the monthly payment instead of a sales tax. If the $507 includes the monthly use tax thats a pretty good lease. Keep in mind LeaseCompare.com's leases NEVER include any sales tax. You have to factor it in manually.

Those advertised lease deals are always for a limited time and on a specific feature set with a specific credit score. 730 is actually not bad, some carmakers require 800. Don't use those leases as a point of comparison.

$500 or so a month for an ES with premium equipment isn't bad.

[lexus411]

Thats correct Im just trying to get you a more realistic vantage point to set your expectations before visiting the dealer.

[jm10388]

Lexus 411,

So do you think under 400 for a 2005 is unrealistic?

[jm10388]

Lexus 411,

Considering that the IS300 is now discontinued, what do you think will be the payments on that? Thanks.

[lexus411]

not to good .In order for a car to lease good you need a strong residual {value of car at lease end} The IS never had that and now that its about to be redesigned its worse. I think the banks always figured the IS owners were going to be hard and the car and not keep it up as well. Leaving the bank with a car worth alot less at the end. Most dealers ending up buying the lease returns from the bank because the car ends up being worth higher then the bank thought.

An 05 IS is a good car to take along lease 48 months or balloon finance . Your payments won't be great but the car should be worth purchasing and keeping,trading, or re-selling at the end. If treated probably I think i will depreciate alot less then the banks give it credit for.

As far leasing in NJ I just got a memo today that NJ is about to change the law and give buyers a chance to pay the taxes upfront. If your payment conscious wait until NOV/Dec thats when the banks develope good lease programs on the new 06 models.

[jm10388]

Thanks Lexus 411.

I am just wondering how accurate the calculator on Lexus.com is. I inputed the price of a Lexus ES 330 as 2000 of MSRP and got 401. I think that is higher than what an actual payment would be because 2000 off is a bit modest plus my credit score is outstanding believe it or not an 850. I unfortunately did not have a chance to goto a dealership yesterday.

What kind of a month is October to buy a Lexus?

[jragosta]

Remember that lexus411 is a Lexus salesperson (correct me if I'm wrong, I know you work for a dealer) and he knows these lease deals because they're his product. If he says the lease deal was a 2005, it was a 2005. This is what he does for a living.

To clarify a little bit what he's saying, states structure sales tax on a lease two ways. Some states (like Maryland) make you pay sales tax on the entire purchase price just like you were buying it. This tax can be paid upfront or it can be factored into the lease. In other states (like New Jersey) you pay a "monthly use tax" which is added onto the monthly payment instead of a sales tax. If the $507 includes the monthly use tax thats a pretty good lease. Keep in mind LeaseCompare.com's leases NEVER include any sales tax. You have to factor it in manually.

Those advertised lease deals are always for a limited time and on a specific feature set with a specific credit score. 730 is actually not bad, some carmakers require 800. Don't use those leases as a point of comparison.

$500 or so a month for an ES with premium equipment isn't bad.

←

We're ready to start looking for lease deals since my wife's current lease runs out next year. It amazes me how poor the Lexus lease deals are compared to some alternatives. For example, at the time of her last lease, the best price for an ES (base) lease was $427 (MSRP was $32 K, cap cost reduction of $2 K). Instead, she gott a Volvo S70 wagon for $293 per month (MSRP $30 K, cap cost reduction of $2 K).

Given the similarity in MSRP and the fact that both makes are reported to have great resale value, the difference seemed huge to me. I asked the Volvo dealer and he said that Volvo was subsidizing the lease - both front end price and residual). Even so, I've never seen what I consider to be a great value on a Lexus lease.

[lexus411]

Volvo subsidizes the lease like stated to help move the cars. It basically like a customer rebate that instead get applied to the lease.You will see that alot in Volvo and Infiniti.

[jragosta]

Volvo subsidizes the lease like stated to help move the cars. It basically like a customer rebate that instead get applied to the lease.You will see that alot in Volvo and Infiniti.

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That's right. I forgot to mention that the Infiniti G35 is frequently advertised at $299. Given $299 for the G35 and over $400 for the ES (higher if you're talking about the 2006), it would be a pretty easy decision for me if I were leasing.

[jm10388]

What other luxury cars would u recommend for leasing? Is Mercedes good? Thanks

[jm10388]

My dealer just called me and offered me $458 a month on the same lease on a 2006. I am looking to go down another 70 dollars. I think it may be possible on La 2005, but this retailer does not have any. I have been searching for a search inventory at Lexus.com and none of my dealers have that feature.

[SW03ES]

Even so, I've never seen what I consider to be a great value on a Lexus lease.

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No I agree, the factory leases throgh Toyota Motor Credit aren't fantastic, you can almost always do better on your own.

As for what cars do I reccomend leasing? Anything with a good residual.

[jragosta]

What other luxury cars would u recommend for leasing? Is Mercedes good? Thanks

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Depends on what you want.

From a pure dollars per month perspective, Volvo and Infiniti seem to be the best. BMW has decent deals on some models, but the 3 series seems pretty high.

[lexus411]

Lexus really kicks in good programs in July-Aug and Nov-Dec . In the Metro area the only other option is Hann Financial which are usually cheaper then Lexus but have a disposition fee along with being very tough to deal with at the end of the lease. With a Lexus lease its usually good to have your lease end up between Aug-Dec. Those are the months that usualy get the early out letters allowing to turn in there get and go into another Lexus lease up to 6 months early with no penalties.

[Lexdiamonds]

Hey Lex411, i don't mean to bother you with another question, but would it be smart than to just finance the car, maybe an 04 or 05 over 60 monthes or 72 monthes and have that monthly payment even lower than a lease for a brand new one. Do you think the trade-in value at 15k per year would be good on a ES that is about 5 or 6 years old with 80k on it. Just trying to figure out if it is worth financing it over a lease if i am going to get killed with the trade-in value from the dealer when the time comes to get a new Lex. thanks

[lexus411]

I think your always better leasing if your doing more then 12k a year. The banks usually take a hit on every lease return because of overestimating the re-sale value. This helps keep your payment down as well. If you get into a 36-42 month lease you will have a decent payment, little money down, and your maintenance costs should be less. trading in a 80k car is tough because it leaves the dealer with basically one option wholesale.

[Lexdiamonds]

Thanks for your help. i do about 15-17k a year with my job and i was going to buy a used GS300 with about 45k miles on it already. When i do trade that car in a few years down the road i would have probably taken a big hit. So i should just shop around for good deals and don't set my heart on one car when i lease because the particular month might be bad for leasing? i really want to lease a GS for 48months or even 60 but i know the payments will be almost 600 a month. thats too much for me right now.

[lexus411]

A used car is ok to buy because its already taken a hit in value hopefully before you buy it. Occasionaly they run lease specials on the pre-owned. And with those cars there very little to pay to buy it at lease end.