RyanM

So after months of research, test drives, procrastination, more research and even more test drives ......I've finally decided to lease a Kinetic Blue Pearl 08 TL Type S. Through 1/2/08, the money factor is .00081; which talking to the dealer is equivalent to 1.9% on a purchase. So now what? I've purchased about 10 cars, but never leased before. What do I need to know before signing the lease papers?

I have a trade in.....a LOADED 2004 Maxima SE, Navigation, Elite Package & the only draw back is that it has 104k miles. :o I've seen offers around 8k, but I won't take less than 9k on the trade in.

Any advice would be greatly appreciated!

Thank you,
RyanM

carguyrob

Well, if your driving habits haven't changed, you definately should NOT lease your next car. If you are doing 25-30k+ miles a year, you need to purchase only. The dealer will take you to the cleaners on extra mileage (either up front or when you turn it in).

Ideal candidates for leasing:
* take good care of their cars
* trade every 3 years (or so)
* do 12-15K miles per year

RyanM

Thanks carguyrob. I actually purchased the 04 Maxima last November w/85k; so I put about 19k on it the 13 months that I've had it. If I lease, I'll upgrade to at least 15k/year if not 20k/year.

MugenR

you're only leasing 1 year? do you plan on something else or buying out?

nfnsquared

It's actually 1.944%. Multiply the money factor by 2400 to get the interest rate. Go HERE and read up on leases. It's always best not to put anything down. That's a good money factor, very good, in fact. Just make sure they give you a fair price after final cap cost reduction. Should be around invoice or a little higher on a Type S. Have the dealer give you all the numbers and then plug them into the calculator. You can do this at the dealer if he'll let you have internet access, or if they have wireless, bring your laptop.

Soccer_playa1579

i honestly wouldnt trade that 04 in.... i would private sell it.. jmho. I think you would get way more money out of it..

PenguinTL

If you own the Maxima, sell it private party.

TLs are great for leases! Residuals are very favorable.

ndabunka

Do NOT put ANY money down on the lease. It's just giving away money. If you trade it in on the lease, they will try to use at least some of that cash as a down payment, first months, etc. Leasing is RENTING and that's as simple as I can make it. You wouldn't put $9K into an apartment you are renting, why would you do so in a lease. Of course, the dealership would write you check for the difference but then your waiting on that cash to come to you. The best approach is to sell the car at Car Max as they will (almost always) give you a better price than will the dealership. And there's no confusion on who gets what cash.. Your money factor is good but you also need to make certain you get an aggressive price (not just monthly payments). There are all kinds of discounts out there right now and it is a buys market so be careful and don't give the dealership YOUR cash. 1) Liquidate your car to carmax (or a private party but finding one quickly this time of year might be pretty tough). Negotiate the final price BEFORE ANY lease discussions. Use this site to verify that your dealers numbers are "reasonable". Make CERTAIN you understand the residual (i.e. cost of the car after the lease payments) and THEN work out the numbers. One thing you should know is that NOBODY EVER leases a car with more than the 15K mileage. This is due to the fact that once you get to 20K/year, you are essentially making the same payments on a lease as you would to OWN the car (with NO residual). So, if you DO drive over 15K/year you do NOT (generally) want to lease a vehicle (unless you own the company the vehicle is leased too and have the ability to write off 100% of the payment as an expense against your business). These are general guidlines and are worth what you paid for them ....ZERO.

Bearcat94

Next step:

Negotiate the lowest possible purchase price for the car.

Even though you are leasing the payment is based on the "selling price" of the car.

And over-milage is the Number One way people get screwed on a lease. You go over by very much and you virtually lock yourself into buying the car at the end of the lease.

If you can't stay within the agreed annual milage (usually 10k, 12k or 15k per year) don't lease.

RyanM

Thanks everyone for your help.

I finally made the purchase! An 08 TL Type S. Although it's WDP & I think I'm going to like this color more than the KBP that I originally wanted. I'm going to post the lease #'s in another thread to get some feedback on whether I got a good deal. I think I did, but I want to get validation.

Thanks again!

Trackruner228

iTrader: (1)

Congrats

LyfeIs

Congrats. Great color choice. Now post some damn pics.

AcidHorse

So what was the actual price of the car that you negotiated on? Did you put any money down?

I'm also thinking about leasing the TLS too. Posters @ edmunds.com are getting their TLS for between $35,700-$36,200

ndabunka

People on here are buying them for CONSIDERABLY less ($33K)

ndabunka

Darn time limit. ARGH! That $33K was for left over 2007's (I may not have needed to have posted this but some might think that the '08's were going for that and that is not what I meant to indicate).

dahvaio

Right now, in my Zip Code 2008 TL Type-S's are going for: $33,832 +TTL.... So, yes, the 08's are going for that low price..

23109VC

i've been heavily researching TL-S pricing.

that 33800ish figure is ONLY good for purchases.

that is b/c there is a $2000 dealer holdback or whatever you call it, that the dealer is kicking to the customer.

IF YOU LEASE you get a money factor of .00081 which is about 1.9% and you don't get that 2000 incentive.... you get that super low MF.... so the cap cost is more like 35800.

right now, despite the 2k incentive to buy, the smarter money LEASES the TL... if you can stay within the mileage, etc...

the lease deal is great.

RyanM

Thanks everyone for all your help and feedback. Here is the thread with my lease details --> https://acurazine.com/forums/showthr...58#post1924258

Pictures are coming & will be posted within the next few days.

Happy new year everyone!