glamglam

The money factor (MF) on the ES350 vehicles are higher today than what they used to be pre pandemic. The MF was .00189 last time that I checked back a few weeks ago. I think that it's better to own today than it is to lease. The key to everything is the equity that the ES will have at the end of 3 years ownership to use as a cash down payment to use for another brand new ES350 UL in 2025.

E46CT

Yeah because of that I think the leases aren't as good today. i'll be keeping my ES a while.

UltraLux22

The residuals haven’t been the greatest for a while. Hovering in the low 50% range and depending upon trim, model, term and mileage. Hybrids and f-sports tend to have a better residual but regardless all of the money factors have been horrid since the pandemic. I’ll put it to you this way, my money factor equaled out to almost 0% interest on my 2019 350 Lux.deal at $491 per month. My 22’ UL MF was much higher. If not for my significant discount on the 22’ UL and the fact I netted $8900 profit on my 2019 350 Lux. when I sold it to Carvana, I definitely wouldn’t have pursued the 22 ultra lux.

UltraLux22

Whether leased or financed, no one’s deals are great in comparison to what they used to be pre-pandemic. And that’s also the reason I believe IMO, that almost no one, besides myself and maybe one other poster,( to my knowledge) has revealed our recent deals to the group. No one is posting or bragging about their deals or sharing that information because those who have purchased or leased recently are probably a bit embarrassed. Also, there have been a few posters that have made comments or statements without adequate foundation. When they were challenged or asked to back up their words… They must’ve been humbled because there was nothing but crickets!

mattsrs

Buying at MSRP is considered a good deal these days. Some big volume dealers may offer $1k discount on their less desirable cars but that’s about it. And all lease deals are absolutely horrible these days for most brands/models. I used to lease all my cars but for the first time financed my 22 ES because it made more sense even if I keep it short term

E46CT

yeah for my needs, i only look at leases. but still = selling price + mf + residual so a lease isn't as rigid over time thus can be more easily affected by changing conditions. there's entire forums dedicated to leasing since the environment is so dynamic and takes a level of expertise to navigate. it can really work to your favor if the conditions are right. for example people were (and still are) leasing 2022 fully loaded frontiers for 125-175 a month due to a 99% residual. lol

UltraLux22

I’m not sure if that advice is something that should be legitimately considered. I’m not sure that advice should be legitimately considered. Based on your previous statements about your $25,000 down payment and the sub $800 payments for 36 months on a 4 yr. Term, I think that you should reevaluate that statement. If kept for 36 months, I will have paid $25,236. And in that same 36 month timeframe, based on your words, you would’ve made a $25,000 down payment plus paid between $27,000-$28,000. That’s $750 to slightly less than $800 per month.
So the math is about $53k ish. For that same 36 month period. But just think about all that equity you’ll have!

UltraLux22

Oh I know, it’s Taken me quite a long period of time to gain the experience i have on this element of the business. I’m even confident enough to say that I have a bit of expertise otherwise I wouldn’t speak about it the way I do. It doesn’t mean it didn’t come with some mistakes, a learning curve, and some mis steps. Even with all that, it’s still a game that is challenging even for the best of us. I know which forums you’re talking about. But I just let my background and my deals speak for themselves.

UltraLux22

I love it! I love the research, I love the gamble and it’s rarely static! Working that deal, gauging market conditions against inventory and a dealers need to sell one last car to make goals. Being against so many factors that are constantly changing, it’s a rush. Maybe not so much lately or prices are pretty similar across-the-board. It’s one of the reasons why I like helping people find good deals. I’m not a broker. I do it for the fun of it…the enjoyment.

mikemu30

If you're worried about equity, why not keep the car more than three years - you're burning $$ under normal market conditions changing up that often. Great if $ doesn't matter to you but then don't even be concerned about money factors etc.

glamglam

I think that I confused you. I'm not making an initial $25k payment to buy the UL. I'm making an initial $10k down payment ONLY. I take a 4 year loan together with that and I pay the car off at the end of 3 years. THEN I take the $25k-$28k equity that's in the car at the end of the 3rd year and I use that when I sell the car from the sale of the car and use that money to put down for another brand new ES350 UL. That's what I plan on doing.

DavidZ

Buying is always cheaper than renting/leasing. I've never had a car payment.

glamglam

with the way that these lease prices are with these luxury cars today, buying is the best option. If leasing prices go down in the future, then maybe I will consider leasing again.

UltraLux22

Wow, you are very fortunate! So the vehicles were given to you for free?

DavidZ

No one ever gave me a car for free.