Horrible Lease deal
10-26-2008, 08:59 AM
#1
Go Big Blue!
Thread Starter
Horrible Lease deal
Went to look at a TL yesterday. I was stunned how bad the lease numbers are. MF is 003 (7.2%). Made a TL Tech around $650 for a 36m/15k lease. My God, I think I can lease a comparably equiped BMW 528i for that price. Even on the purchase side, BMW is offering 0.9% financing.
I love Acura and own both an 07 RL and an 08 MDX , but it doesn't look like Acura is very interested in selling TL's right now. I'm going to check out BMW next week and see what kind of deals are out there for leftover 08's before I make any decisions on the TL.
I love Acura and own both an 07 RL and an 08 MDX , but it doesn't look like Acura is very interested in selling TL's right now. I'm going to check out BMW next week and see what kind of deals are out there for leftover 08's before I make any decisions on the TL.
10-26-2008, 09:09 AM
#2
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I just priced a BMW 528i with the premium package, leather, Logic 7 stereo and Navigation in US$. Calculated payment is $815 pre-tax, with $2,500 down. I don't think you can lease a comparably equipped BMW 5 series for anywhere near the cost of an Acura TL. As to the lease interest rate... the spreads have widened on debt everywhere. I'm not surprised.
10-26-2008, 09:55 AM
#4
Three Wheelin'
Went to look at a TL yesterday. I was stunned how bad the lease numbers are. MF is 003 (7.2%). Made a TL Tech around $650 for a 36m/15k lease. My God, I think I can lease a comparably equiped BMW 528i for that price. Even on the purchase side, BMW is offering 0.9% financing.
I love Acura and own both an 07 RL and an 08 MDX , but it doesn't look like Acura is very interested in selling TL's right now. I'm going to check out BMW next week and see what kind of deals are out there for leftover 08's before I make any decisions on the TL.
I love Acura and own both an 07 RL and an 08 MDX , but it doesn't look like Acura is very interested in selling TL's right now. I'm going to check out BMW next week and see what kind of deals are out there for leftover 08's before I make any decisions on the TL.
10-26-2008, 10:55 AM
#5
Go Big Blue!
Thread Starter
Not sure what is causing Acura to offer the TL lease at 7.2% interest. Credit in Orlando seems to be flowing fine. I just got quoted 5.45% at my local bank for a new car loan. Also BMW is offerign 0.9% on 08's right now. It's all about how bad you want to sell cars. Right now Acura seems content with dribling out the sales on the TL for a few months. They'll probably drop the MF before the holidays when they get serious about selling the TL and the SHAWD version is out.
That's my guess. I'll go to BMW and try to work a deal on an 08 this week. if that doesn't work, I think I'll wait until November to see what happens.
That's my guess. I'll go to BMW and try to work a deal on an 08 this week. if that doesn't work, I think I'll wait until November to see what happens.
10-26-2008, 11:47 AM
#6
Three Wheelin'
In addition to the credit crunch, Acura is dealing with supply and demand factors. Considering vehicle sales are still in the tank, Acura dealers need to move '08 TLs...to do that, offering attractive lease rates on new '09s is probably not the best move at this point. The high MF is an indication of this strategy. I would be interested to know the MF on a new '08 TL lease.
Unfortunately I believe the glory days of leasing are over. Attractive lease rates to move specific popular vehicles may still occur, but in the aggregate, the gap between monthly lease and purchase rates will no longer be as wide as they once were.
The tricks of lowering lease rates: low money factors and inflated residual values have proven to not benefit the loan agencies nor the vehicle manufacturers, so it's becoming a less popular alternative to purchasing. As we know, Chrysler no longer offers lease programs and GM is considering the same. I've always leased my vehicles, but the benefits are dwindling.
It'll be interesting to see where leasing goes in the future, especially considering it can never go away...a buyer of a $100,000 S-Class M-B is not going to spend the capital needed to purchase the vehicle, he/she is going to invest that money and spend as little as possible on their depecriating S-Class. So I guess we're in a wait-and-see mode for the time being...
Unfortunately I believe the glory days of leasing are over. Attractive lease rates to move specific popular vehicles may still occur, but in the aggregate, the gap between monthly lease and purchase rates will no longer be as wide as they once were.
The tricks of lowering lease rates: low money factors and inflated residual values have proven to not benefit the loan agencies nor the vehicle manufacturers, so it's becoming a less popular alternative to purchasing. As we know, Chrysler no longer offers lease programs and GM is considering the same. I've always leased my vehicles, but the benefits are dwindling.It'll be interesting to see where leasing goes in the future, especially considering it can never go away...a buyer of a $100,000 S-Class M-B is not going to spend the capital needed to purchase the vehicle, he/she is going to invest that money and spend as little as possible on their depecriating S-Class. So I guess we're in a wait-and-see mode for the time being...
10-26-2008, 12:27 PM
#7
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Unfortunately, car companies, especially the American Big 3, are shying away from lease deals given the credit crunch (borrowing money at acceptable rates from bank has become phenomenally difficult) and the fact that the residual on leased vehicles is lower than expected doesn't help...
Hence the fact that car companies are trending towards financing and offering some terrific deals...even BMW for that matter...my wife is financing her BMW 528xi (Premium Package/Streptronic 6 Speed/Navigation/Xenons/M Body Kit) at 0.9%...
Hence the fact that car companies are trending towards financing and offering some terrific deals...even BMW for that matter...my wife is financing her BMW 528xi (Premium Package/Streptronic 6 Speed/Navigation/Xenons/M Body Kit) at 0.9%...
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10-26-2008, 01:38 PM
#8
Burning Brakes
In addition to the credit crunch, Acura is dealing with supply and demand factors. Considering vehicle sales are still in the tank, Acura dealers need to move '08 TLs...to do that, offering attractive lease rates on new '09s is probably not the best move at this point. The high MF is an indication of this strategy. I would be interested to know the MF on a new '08 TL lease.
Unfortunately I believe the glory days of leasing are over. Attractive lease rates to move specific popular vehicles may still occur, but in the aggregate, the gap between monthly lease and purchase rates will no longer be as wide as they once were. The tricks of lowering lease rates: low money factors and inflated residual values have proven to not benefit the loan agencies nor the vehicle manufacturers, so it's becoming a less popular alternative to purchasing. As we know, Chrysler no longer offers lease programs and GM is considering the same. I've always leased my vehicles, but the benefits are dwindling.
It'll be interesting to see where leasing goes in the future, especially considering it can never go away...a buyer of a $100,000 S-Class M-B is not going to spend the capital needed to purchase the vehicle, he/she is going to invest that money and spend as little as possible on their depecriating S-Class. So I guess we're in a wait-and-see mode for the time being...
Unfortunately I believe the glory days of leasing are over. Attractive lease rates to move specific popular vehicles may still occur, but in the aggregate, the gap between monthly lease and purchase rates will no longer be as wide as they once were.
The tricks of lowering lease rates: low money factors and inflated residual values have proven to not benefit the loan agencies nor the vehicle manufacturers, so it's becoming a less popular alternative to purchasing. As we know, Chrysler no longer offers lease programs and GM is considering the same. I've always leased my vehicles, but the benefits are dwindling.It'll be interesting to see where leasing goes in the future, especially considering it can never go away...a buyer of a $100,000 S-Class M-B is not going to spend the capital needed to purchase the vehicle, he/she is going to invest that money and spend as little as possible on their depecriating S-Class. So I guess we're in a wait-and-see mode for the time being...
You're right. Chrysler is doing away with leases. With the credit crisis going on, leases may run out of favor in the way of more traditional financing. Most car companies are seeing double digit drop in sales. I think Honda Co. may have eked out 1% growth due to it's fuel efficient line up and resistance to join in the HP and large SUV/Pickup arms race.
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10-26-2008, 03:47 PM
#9
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Not sure what is causing Acura to offer the TL lease at 7.2% interest. Credit in Orlando seems to be flowing fine. I just got quoted 5.45% at my local bank for a new car loan. Also BMW is offerign 0.9% on 08's right now. It's all about how bad you want to sell cars. Right now Acura seems content with dribling out the sales on the TL for a few months. They'll probably drop the MF before the holidays when they get serious about selling the TL and the SHAWD version is out.
That's my guess. I'll go to BMW and try to work a deal on an 08 this week. if that doesn't work, I think I'll wait until November to see what happens.
That's my guess. I'll go to BMW and try to work a deal on an 08 this week. if that doesn't work, I think I'll wait until November to see what happens.
10-26-2008, 05:10 PM
#10
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The interest rate alone is meaningless
The money factor is a meaningless number by itself. It's often varied just like an incentive, but without all of the other attributes of a lease its hard to know what the inherent interest rate really is. The way you should evaluate the lease is by calculating the IRR as follows:
IRR of ( -down payment, -monthly payments, residual value);
where the down payment and monthly payments are negative and the residual value is positive. You can use the XIRR function in Excel, do calculate the monthly payments over the specific term. You can see that if the residual value is varied the stated MF can be deceptive. If the residual value is set very low, you will have paid for a relatively large portion of the capital cost of the car so your payments will be high, despite the interest rate. Here is an example. 24 month lease, zero down, with 2% annual interest. With a 60% residual after 24 months, payments are about $766. With a 45% residual after 24 months, payments are about $1,053. I'm sure some of this confusion was a catalyst in the sub-prime crisis.
IRR of ( -down payment, -monthly payments, residual value);
where the down payment and monthly payments are negative and the residual value is positive. You can use the XIRR function in Excel, do calculate the monthly payments over the specific term. You can see that if the residual value is varied the stated MF can be deceptive. If the residual value is set very low, you will have paid for a relatively large portion of the capital cost of the car so your payments will be high, despite the interest rate. Here is an example. 24 month lease, zero down, with 2% annual interest. With a 60% residual after 24 months, payments are about $766. With a 45% residual after 24 months, payments are about $1,053. I'm sure some of this confusion was a catalyst in the sub-prime crisis.
10-26-2008, 07:53 PM
#12
Go Big Blue!
Thread Starter
Obviously I like Acura's. But I also like BMW's. I can buy or lease. I'm not an advocate either way. In fact, my RL is purchased on a 48mo loan and my MDX is a 3 year lease. The RL had horrible numbers like the TL when I got it so I bought. The MDX made more sense as a lease. The TL is looking more like a buy decision right now.
By the way Peters; The Residual this month on the TL is 58% for a 36m/15k lease. Very good. But even with that taken into account, the bottom line number still stinks IMO. I don't put money down on a lease so that's not a factor for me
Last edited by SpicyMikey; 10-26-2008 at 07:57 PM.
10-26-2008, 08:59 PM
#13
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It's for my daughter as a highschool graduation present. She's going to college on a full scholarship and I'm a proud daddy I guess
Obviously I like Acura's. But I also like BMW's. I can buy or lease. I'm not an advocate either way. In fact, my RL is purchased on a 48mo loan and my MDX is a 3 year lease. The RL had horrible numbers like the TL when I got it so I bought. The MDX made more sense as a lease. The TL is looking more like a buy decision right now.
By the way Peters; The Residual this month on the TL is 58% for a 36m/15k lease. Very good. But even with that taken into account, the bottom line number still stinks IMO. I don't put money down on a lease so that's not a factor for me
Obviously I like Acura's. But I also like BMW's. I can buy or lease. I'm not an advocate either way. In fact, my RL is purchased on a 48mo loan and my MDX is a 3 year lease. The RL had horrible numbers like the TL when I got it so I bought. The MDX made more sense as a lease. The TL is looking more like a buy decision right now.
By the way Peters; The Residual this month on the TL is 58% for a 36m/15k lease. Very good. But even with that taken into account, the bottom line number still stinks IMO. I don't put money down on a lease so that's not a factor for me
FIFTY-EIGHT PERCENT residual for 36 months? I'd say that is very good. So you're paying for 42% of the capital cost which is about 16K and interest on top of that. Good deal in my view.
10-27-2008, 11:59 AM
#14
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If I remember correctly, don't have the info in front of me now, they have a MF from now until the end of the month of .00211 on the 2009 TL's. And the new TL have pretty high residuals so it makes the payments pretty reasonable in my opinion.
10-27-2008, 05:10 PM
#15
Go Big Blue!
Thread Starter
Anyway, went over there this afternoon and told them the MF they quoted me was inflated and the real number right now is 00211. They fessed up and we ended up doing the deal today on a TL/Tech for $900 off sticker on a 36m/15k lease at .00211 and 58% residual. Paid $1500 cash to cover cost for a few accessories and the starts. Ended up with a monthly payment of $614. Given the car just came out a few weeks ago, I feel it's very fair.
I'm sure someone can do a bit better but I'm not one to try and squeeze to much. Everyone's gotta make a living. My brother sold cars for many years so I appreciate how tough this business can be for the salesman when you cut into the gross too much.
10-27-2008, 07:02 PM
#16
First of all...you cant lease a comparably equipped 5 series for that. Also, how can u expect a great money factor or an amazing lease deal on something that just got released?? No manufacturer offers discounts or lease deals on a brand new just released platform. Unless it's one of the struggling domestic brands. If you like lease deals, always wait until the hype dies down and get it in its second year.
10-27-2008, 08:47 PM
#17
Three Wheelin'
Hey TekNiC3, Thanks my friend. You just saved me some money. I thought that MF was very high but they said that was the AHFC offering. I've bought other cars from them before and didn't think they'd lie to me. But, this is the car business, what was I thinking
Anyway, went over there this afternoon and told them the MF they quoted me was inflated and the real number right now is 00211. They fessed up and we ended up doing the deal today on a TL/Tech for $900 off sticker on a 36m/15k lease at .00211 and 58% residual. Paid $1500 cash to cover cost for a few accessories and the starts. Ended up with a monthly payment of $614. Given the car just came out a few weeks ago, I feel it's very fair.
I'm sure someone can do a bit better but I'm not one to try and squeeze to much. Everyone's gotta make a living. My brother sold cars for many years so I appreciate how tough this business can be for the salesman when you cut into the gross too much.
Anyway, went over there this afternoon and told them the MF they quoted me was inflated and the real number right now is 00211. They fessed up and we ended up doing the deal today on a TL/Tech for $900 off sticker on a 36m/15k lease at .00211 and 58% residual. Paid $1500 cash to cover cost for a few accessories and the starts. Ended up with a monthly payment of $614. Given the car just came out a few weeks ago, I feel it's very fair.
I'm sure someone can do a bit better but I'm not one to try and squeeze to much. Everyone's gotta make a living. My brother sold cars for many years so I appreciate how tough this business can be for the salesman when you cut into the gross too much.
Good deal. I'm paying $649 for my lease (same terms). Your daughter must be giddy as a school girl (which she is actually). Man, when I was her age, the only 16 year-olds driving $40K cars were ones that were stolen. Kids these days are so damn lucky.....iPods, cell phones, Gucci bags, PS3's, BMW's, etc. The only hi-tech stuff I got when I was young was a Sony cassette Walkman and an Atari 2600. I didn't even get my first "nice" car until I was in my 30's! I went to a lavish bar-mitzvah for my doctor friend's daughter last year and found out that he spent not only $100K for the event but also bought her a new $70K Porsche Boxster S! I love my kids to death but I will never spoil them like that no matter how much I money I have to toss around.
10-28-2008, 01:01 AM
#21
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Hey TekNiC3, Thanks my friend. You just saved me some money. I thought that MF was very high but they said that was the AHFC offering. I've bought other cars from them before and didn't think they'd lie to me. But, this is the car business, what was I thinking
Anyway, went over there this afternoon and told them the MF they quoted me was inflated and the real number right now is 00211. They fessed up and we ended up doing the deal today on a TL/Tech for $900 off sticker on a 36m/15k lease at .00211 and 58% residual. Paid $1500 cash to cover cost for a few accessories and the starts. Ended up with a monthly payment of $614. Given the car just came out a few weeks ago, I feel it's very fair.
I'm sure someone can do a bit better but I'm not one to try and squeeze to much. Everyone's gotta make a living. My brother sold cars for many years so I appreciate how tough this business can be for the salesman when you cut into the gross too much.
Anyway, went over there this afternoon and told them the MF they quoted me was inflated and the real number right now is 00211. They fessed up and we ended up doing the deal today on a TL/Tech for $900 off sticker on a 36m/15k lease at .00211 and 58% residual. Paid $1500 cash to cover cost for a few accessories and the starts. Ended up with a monthly payment of $614. Given the car just came out a few weeks ago, I feel it's very fair.
I'm sure someone can do a bit better but I'm not one to try and squeeze to much. Everyone's gotta make a living. My brother sold cars for many years so I appreciate how tough this business can be for the salesman when you cut into the gross too much.
10-28-2008, 10:04 AM
#23
Go Big Blue!
Thread Starter
Good deal. I'm paying $649 for my lease (same terms). Your daughter must be giddy as a school girl (which she is actually). Man, when I was her age, the only 16 year-olds driving $40K cars were ones that were stolen. Kids these days are so damn lucky.....iPods, cell phones, Gucci bags, PS3's, BMW's, etc. The only hi-tech stuff I got when I was young was a Sony cassette Walkman and an Atari 2600. I didn't even get my first "nice" car until I was in my 30's! I went to a lavish bar-mitzvah for my doctor friend's daughter last year and found out that he spent not only $100K for the event but also bought her a new $70K Porsche Boxster S! I love my kids to death but I will never spoil them like that no matter how much I money I have to toss around.
Now that I got the MF thing fixed (which is what made me start this thread to begin with), I feel VERY good about this deal. 0021 MF is very good. 58% residual on a 36m/15k lease is very good. $900 off sticker on a car they just released a few weeks ago is very good. I'd recommend leasing this car right now. It's an unusually good lease deal for AHFC.
10-28-2008, 10:08 AM
#24
Acura has always good residual on the newly released cars. When the 09 TSX was out the residual was @ 65% for 36month/36Kmiles. The only factor that sweetens the deal is how much you can get the dealer to come down from MSRP (or MSRP +markup)....
I had priced a lease for 09 TSX vs 08 TSX with heavy cash backs in may and found that the 09 was almost same price as the 08 may be $20 - $ 30 more per month...
I had priced a lease for 09 TSX vs 08 TSX with heavy cash backs in may and found that the 09 was almost same price as the 08 may be $20 - $ 30 more per month...
10-28-2008, 10:10 AM
#25
Go Big Blue!
Thread Starter
I agree. Good lease offer right now. If a lease works for you, this is one to grab. By the way, I misquoted the price. $614 was the cost of rolling the accessories into the lease. I paid for them up front. I forgot I changed that at the last second and still had $614 in my head when I posted that yesterday. Monthly payment ended up being $600 even.
She picked out black with Taupe interior. Added splash guards, trunk drawer, side molding. It's very sharp looking in black. I think it was a good choice although I probably would have picked the parchment interior.
She picked out black with Taupe interior. Added splash guards, trunk drawer, side molding. It's very sharp looking in black. I think it was a good choice although I probably would have picked the parchment interior.
10-28-2008, 01:00 PM
#26
Go Big Blue!
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10-28-2008, 06:46 PM
#27
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Hey TekNiC3, Thanks my friend. You just saved me some money. I thought that MF was very high but they said that was the AHFC offering. I've bought other cars from them before and didn't think they'd lie to me. But, this is the car business, what was I thinking
Anyway, went over there this afternoon and told them the MF they quoted me was inflated and the real number right now is 00211. They fessed up and we ended up doing the deal today on a TL/Tech for $900 off sticker on a 36m/15k lease at .00211 and 58% residual. Paid $1500 cash to cover cost for a few accessories and the starts. Ended up with a monthly payment of $614. Given the car just came out a few weeks ago, I feel it's very fair.
I'm sure someone can do a bit better but I'm not one to try and squeeze to much. Everyone's gotta make a living. My brother sold cars for many years so I appreciate how tough this business can be for the salesman when you cut into the gross too much.
Anyway, went over there this afternoon and told them the MF they quoted me was inflated and the real number right now is 00211. They fessed up and we ended up doing the deal today on a TL/Tech for $900 off sticker on a 36m/15k lease at .00211 and 58% residual. Paid $1500 cash to cover cost for a few accessories and the starts. Ended up with a monthly payment of $614. Given the car just came out a few weeks ago, I feel it's very fair.
I'm sure someone can do a bit better but I'm not one to try and squeeze to much. Everyone's gotta make a living. My brother sold cars for many years so I appreciate how tough this business can be for the salesman when you cut into the gross too much.
10-28-2008, 10:21 PM
#28
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Yea if you like red or gold cars you'll be all set! 
All of the cars we had left during that time were either those colors or had "problems" like miles, accessories, paint flaws, were demos that had been beat on or had been hit.
All of the cars we had left during that time were either those colors or had "problems" like miles, accessories, paint flaws, were demos that had been beat on or had been hit.
10-29-2008, 09:33 AM
#29
Go Big Blue!
Thread Starter
Just remember it's just like buying car except there's one more factor to consider; the agreed upon residual value of the car when the lease ends. This is important because it tells you how much of the cars value will be lost during the time you drive it. Your monthly payment is directly related to that value loss.
Aside from watching that number, do everything else the same. Negotiate the best price for the car and the best interest rate. When leasing, they call it the Money Factor. Multiply the MF by 2400 to get the annualized interest rate.
The hardest part about leasing (and one of the many reasons a dealer likes them) is that they can hide the residual and MF numbers from you and are under no obligation to reveal them like the purchase price or interest rate of a bank loan. It gives the dealer great opportunity to inflate both rates and make money on the backend. Acura does not care if the dealer adjusts those numbers to something other than what is officially offered from AHFC. That's what happened with me at first. Acura was offering lease deals at .00211 MF (5.01%) but my dealer (who will remain nameless) tried to stick it to me with a MF of .003 (7.2%). That didn't smell right and I started this tread to get some data. Luckily an honest sales manager from a dealership in CA stepped up and gave us all the real number. Wish I lived in San Jose, I would have bought the TL from him
FYI: these numbers change each month so don't yell at a dealer if they quote you something different after Nov 1st. It will change, especially the residual. It will get a little worse as the model year ages.
10-30-2008, 08:56 AM
#30
Three Wheelin'
Here is some info on a lease deal coming out of Miami from my dealer. Don't know if everyone is offering it but I would think so. I'm assuming its on a base TL/no navi.
2009 LEASE SPECIAL TL & TSX
Expires 11/2/2008
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LOWEST LEASE PAYMENT ON 2009 TL AND TSX YET! 2009 ALL NEW TL $399 AND 2009 TSX $299 ONLY AT SOUTH FLORIDA'S ONLY PRECISION TEAM DEALER...MIAMI ACURA!!!
2009 TL WITH $2762 AND 2009 TSX WITH $2999 TOTAL DUE AT SIGNING PLUS TAX TAG AND DOCUMENTATION FEES. SUPER PREFERRED CREDIT TIER ONE APPROVAL. 36 MONTHS 10K MILES PER YEAR
2009 LEASE SPECIAL TL & TSX
Expires 11/2/2008
--------------------------------------------------------------------------------
LOWEST LEASE PAYMENT ON 2009 TL AND TSX YET! 2009 ALL NEW TL $399 AND 2009 TSX $299 ONLY AT SOUTH FLORIDA'S ONLY PRECISION TEAM DEALER...MIAMI ACURA!!!
2009 TL WITH $2762 AND 2009 TSX WITH $2999 TOTAL DUE AT SIGNING PLUS TAX TAG AND DOCUMENTATION FEES. SUPER PREFERRED CREDIT TIER ONE APPROVAL. 36 MONTHS 10K MILES PER YEAR
10-30-2008, 08:10 PM
#31
Literally just came from the dealership 5:30pm, and got the lease money factor rate of .00211 and 62% on the residual for 36 months, 1K off MSRP, 09 w/tech package, and factory painting the front and back silver, which is not bad considering the financial times. He said that rate fluctuates almost day to day! I might even throw in some cash to bring down that monthly nut to around $500. The 08's are selling ridiculously low right now, financing one of those is looking good too!
10-30-2008, 08:26 PM
#32
Three Wheelin'
Literally just came from the dealership 5:30pm, and got the lease money factor rate of .00211 and 62% on the residual for 36 months, 1K off MSRP, 09 w/tech package, and factory painting the front and back silver, which is not bad considering the financial times. He said that rate fluctuates almost day to day! I might even throw in some cash to bring down that monthly nut to around $500. The 08's are selling ridiculously low right now, financing one of those is looking good too!
Sounds good, but a lot of that depends on how good your credit score is.
10-30-2008, 10:58 PM
#34
10-31-2008, 06:52 AM
#35
Go Big Blue!
Thread Starter
Literally just came from the dealership 5:30pm, and got the lease money factor rate of .00211 and 62% on the residual for 36 months, 1K off MSRP, 09 w/tech package, and factory painting the front and back silver, which is not bad considering the financial times. He said that rate fluctuates almost day to day! I might even throw in some cash to bring down that monthly nut to around $500. The 08's are selling ridiculously low right now, financing one of those is looking good too!
10-31-2008, 11:25 PM
#36
Racer
I was quoted $655.00 per month on a 08' 335xi with leather & Winter package with $4000 down, 39 months and 20K per year. The base non-navi 4G was $1500 down at $559.00
11-01-2008, 10:42 AM
#38
Three Wheelin'
Here is some info on a lease deal coming out of Miami from my dealer. Don't know if everyone is offering it but I would think so. I'm assuming its on a base TL/no navi.
2009 LEASE SPECIAL TL & TSX
Expires 11/2/2008
--------------------------------------------------------------------------------
LOWEST LEASE PAYMENT ON 2009 TL AND TSX YET! 2009 ALL NEW TL $399 AND 2009 TSX $299 ONLY AT SOUTH FLORIDA'S ONLY PRECISION TEAM DEALER...MIAMI ACURA!!!
2009 TL WITH $2762 AND 2009 TSX WITH $2999 TOTAL DUE AT SIGNING PLUS TAX TAG AND DOCUMENTATION FEES. SUPER PREFERRED CREDIT TIER ONE APPROVAL. 36 MONTHS 10K MILES PER YEAR
2009 LEASE SPECIAL TL & TSX
Expires 11/2/2008
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LOWEST LEASE PAYMENT ON 2009 TL AND TSX YET! 2009 ALL NEW TL $399 AND 2009 TSX $299 ONLY AT SOUTH FLORIDA'S ONLY PRECISION TEAM DEALER...MIAMI ACURA!!!
2009 TL WITH $2762 AND 2009 TSX WITH $2999 TOTAL DUE AT SIGNING PLUS TAX TAG AND DOCUMENTATION FEES. SUPER PREFERRED CREDIT TIER ONE APPROVAL. 36 MONTHS 10K MILES PER YEAR
11-01-2008, 10:48 AM
#39
2nd Gear
Join Date: Nov 2006
Location: Orlando, FL
Age: 47
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I suggest you Google the subject. There's tons of good information on the subject that is far better than anything we could write here in a small post.
Just remember it's just like buying car except there's one more factor to consider; the agreed upon residual value of the car when the lease ends. This is important because it tells you how much of the cars value will be lost during the time you drive it. Your monthly payment is directly related to that value loss.
Aside from watching that number, do everything else the same. Negotiate the best price for the car and the best interest rate. When leasing, they call it the Money Factor. Multiply the MF by 2400 to get the annualized interest rate.
The hardest part about leasing (and one of the many reasons a dealer likes them) is that they can hide the residual and MF numbers from you and are under no obligation to reveal them like the purchase price or interest rate of a bank loan. It gives the dealer great opportunity to inflate both rates and make money on the backend. Acura does not care if the dealer adjusts those numbers to something other than what is officially offered from AHFC. That's what happened with me at first. Acura was offering lease deals at .00211 MF (5.01%) but my dealer (who will remain nameless) tried to stick it to me with a MF of .003 (7.2%). That didn't smell right and I started this tread to get some data. Luckily an honest sales manager from a dealership in CA stepped up and gave us all the real number. Wish I lived in San Jose, I would have bought the TL from him
FYI: these numbers change each month so don't yell at a dealer if they quote you something different after Nov 1st. It will change, especially the residual. It will get a little worse as the model year ages.
Just remember it's just like buying car except there's one more factor to consider; the agreed upon residual value of the car when the lease ends. This is important because it tells you how much of the cars value will be lost during the time you drive it. Your monthly payment is directly related to that value loss.
Aside from watching that number, do everything else the same. Negotiate the best price for the car and the best interest rate. When leasing, they call it the Money Factor. Multiply the MF by 2400 to get the annualized interest rate.
The hardest part about leasing (and one of the many reasons a dealer likes them) is that they can hide the residual and MF numbers from you and are under no obligation to reveal them like the purchase price or interest rate of a bank loan. It gives the dealer great opportunity to inflate both rates and make money on the backend. Acura does not care if the dealer adjusts those numbers to something other than what is officially offered from AHFC. That's what happened with me at first. Acura was offering lease deals at .00211 MF (5.01%) but my dealer (who will remain nameless) tried to stick it to me with a MF of .003 (7.2%). That didn't smell right and I started this tread to get some data. Luckily an honest sales manager from a dealership in CA stepped up and gave us all the real number. Wish I lived in San Jose, I would have bought the TL from him
FYI: these numbers change each month so don't yell at a dealer if they quote you something different after Nov 1st. It will change, especially the residual. It will get a little worse as the model year ages.
I'm glad i read your post before going out and get myself into a bad lease. I've been reading up about leasing for last few days and i have never been more confused! I'm thinking about getting into a lease for the new 09 TL. I'm clear on the basic terms that you posted in the thread, but what about all the miscellaneous charges and other details before and after the lease period that you don't know about until you actually sits down at the dealership? It seems like a monthly payment for a lease is not all that lower than financing it. thanks!
