2010 Lease Deals

[rwallican]

Greetings all. What type of lease deals are you getting in your areas for a fully loaded 2010 RX (nav, etc.)? I'm thinking about a lease for the wife...3 years/15k miles per year 1st payment of $900 and 35 payments of $750. This is after absorbing a $3000 loss on a trade-in. Any opinions?

[SW03ES]

That sounds high to me...

Whats the money factor and lease residual...

[rwallican]

Guess I need to do my research. Actually, I've been reading up on leasing since I talked to the salesman over the phone (never leased a car before) and am just now finding out what a "money factor" and "lease residual" is. I prefer to buy but the wife keeps trading in every 3 years and our salesman told us that leasing would probably be better. I'm going to sit down with him this weekend. When I find out the numbers, i'll let you know.

[1990LS400]

.... our salesman told us that leasing would probably be better.

Of course you can always trust a car salesman to provide accurate information. ;)

Here is a pretty good article on the subject: http://www.edmunds.com/advice/finance/arti...79/article.html

[rwallican]

That's a great article. Thanks! Yeah, I have casually talked to a couple of Lexus salesmen about leasing to get general ideas and ballpark numbers for certain vehicles. Now I feel like I'm better equipped to haggle. I figured some on here had leased the 2010 and wanted to get an idea of what they were paying.

[SW03ES]

You need to really understand leasing, money factors, capitalized cost, etc before you lease. Its very complicated and you can very easily get screwed. Negotiate the price of the car first, then start talking about leasing. When they just quote you a payment like that they are selling you the car for full MSRP which may be up to $4-5k more than you should be paying for that vehicle. The residual stays the same, so anything you can kick off the price will really lower the payments because you are narrowing the difference between the residual and the capitalized cost (purchase price less down payment) which is what you are essentially paying interest on...

Even though you are leasing the dealer and the salesman are still selling the car, they're just selling it to LFS (Lexus Financial Services) or whatever bank is doing the lease. Not a lot of banks that do leases in this economy, you're kinda stuck with LFS nowadays.

Price first, lowest money factor, highest residual...don't even think about buying the car after. Thats how you lease.

[rwallican]

That's exactly what I've been reading! I NEVER deal on the payment when buying cars but had no idea the same technique should be used on leasing. I talked to a few salesmen....the first said $2000 down and 815/month. The next said $1750 down and $765/month an the last said $900 and $750/month. That's what made me decide to look into what this lease thing was all about. We still may go ahead and purchase or just keep her GS300.

I've been looking at some other sites and see that the money factor is .00220 and the residual value is 60% on a lot of current LFS deals. I'm going to dig into the numbers on all of this.

[SMGinKC]

I saw a deal on KBB for a Denver CO dealership offering $3,499 down and $389 a month for a 36 month lease, 10 miles. My dealer in KC matched that offer.