2005 GX470 - Why I am waiting.
11-14-04, 09:33 PM
#31
lexguynj, That's precisely my predicament! We drive the family car (3-series wagon) during the weekend (we have a 2 yr old daughter) and while it's very fun to drive, we could use more room and I could use some sport. I have always regretted later if I didn't get the best I could get at the time of purchase. I didn't want any more "coulda, woulda, shoulda" haunting me later. I'll keep everyone posted as soon as I hear from the dealer later this week when he's supposed to findout what allocation he's getting for Dec.
11-15-04, 07:57 AM
#32
Lead Lap
Jeremy - Thanks for the analysis. Looks like the residuals are only around $1K difference rather than the $5K difference needed to make leasing an 05 ANYWHERE near comparable. Looks like the guy in this thread is getting $1,800 off MSRP. Could you run your spreadsheet again using this REAL WORLD figure of $1,800 off MSRP and let us know how it turns out? I'd also be interested in the spreadsheet itself so I have PM'd you with my email address as well. Thanks in advance and great work!
Originally posted by jeremysm
Bunka is right on...if you call your local Lexus dealership and ask for the finance department you can find out what the actual residual will be for the '05. I actually talked to the finance manager a little over a month ago and they already had the residuals on the '05--which will be at 57% of the MSRP (there is always a little flexibility in this rate and it will depend on the lender and the deal).
Here are the lease figures you will undoubtedly see. Below I will further explain the method on how these figures were reached:
'05 with MSRP of $54,368, Cap Cost of $51,500, Residual $30,990, Int Rate of 4.25% (or .00177), 36 month term, Tax rate of 7.95% yields a payment of $772.63 (nothing down).
'04 with MSRP of $51,938 (my car), Cap Cost of $46,600, residual $29,605, Int Rate of 4.25% (or .00177), 36 month term, Tax rate of 7.95% yields a payment of $655.22 (nothing down).
Now, compare my '04 with the '05 (I created a spreadsheet for all the fine details):
An '04 GX with NAV/MLS, RSES, Tow, Spoiler, third row seating and with destination will cost $1500 over invoice (with advertising it will be approx $46,600). MSRP is $51,938
An '05 with the same equipment will start at MSRP which would be $54,368 (I had to add back in $2030 for the third row seats). You should be able to get the vehicle within the first 3-4 months for $3000 below MSRP---so you'll pay $51,500 or so.
Out of pocket difference will be roughly $4,226.76 and your residual value, if you deal with the correct lender, will be pretty close.
REMEMBER, I am figuring that you can get the vehicle at $3,000 below MSRP out of the gate---a factor that may or may not be attainable. Also, I used an interest rate which is if you have a credit score above 725 (or something like that). If either of these are untrue, and if you get hosed on your lease residual then you will be paying the difference out of your pocket over 36 payments or the like.
Bottom line is this: Is Bluethooth and the engine worth paying $120 additional each month? I rested with my decision that it was not--but everybody is different and perhaps there is something special coming out on the '05's that we don't know about yet. If you wait, find out the info about the '05 and figure the '04 is better for you, then you may have risked the chance that your exact want (color, features etc.) is not available....
Lots of personal variables to weigh....
Bunka is right on...if you call your local Lexus dealership and ask for the finance department you can find out what the actual residual will be for the '05. I actually talked to the finance manager a little over a month ago and they already had the residuals on the '05--which will be at 57% of the MSRP (there is always a little flexibility in this rate and it will depend on the lender and the deal).
Here are the lease figures you will undoubtedly see. Below I will further explain the method on how these figures were reached:
'05 with MSRP of $54,368, Cap Cost of $51,500, Residual $30,990, Int Rate of 4.25% (or .00177), 36 month term, Tax rate of 7.95% yields a payment of $772.63 (nothing down).
'04 with MSRP of $51,938 (my car), Cap Cost of $46,600, residual $29,605, Int Rate of 4.25% (or .00177), 36 month term, Tax rate of 7.95% yields a payment of $655.22 (nothing down).
Now, compare my '04 with the '05 (I created a spreadsheet for all the fine details):
An '04 GX with NAV/MLS, RSES, Tow, Spoiler, third row seating and with destination will cost $1500 over invoice (with advertising it will be approx $46,600). MSRP is $51,938
An '05 with the same equipment will start at MSRP which would be $54,368 (I had to add back in $2030 for the third row seats). You should be able to get the vehicle within the first 3-4 months for $3000 below MSRP---so you'll pay $51,500 or so.
Out of pocket difference will be roughly $4,226.76 and your residual value, if you deal with the correct lender, will be pretty close.
REMEMBER, I am figuring that you can get the vehicle at $3,000 below MSRP out of the gate---a factor that may or may not be attainable. Also, I used an interest rate which is if you have a credit score above 725 (or something like that). If either of these are untrue, and if you get hosed on your lease residual then you will be paying the difference out of your pocket over 36 payments or the like.
Bottom line is this: Is Bluethooth and the engine worth paying $120 additional each month? I rested with my decision that it was not--but everybody is different and perhaps there is something special coming out on the '05's that we don't know about yet. If you wait, find out the info about the '05 and figure the '04 is better for you, then you may have risked the chance that your exact want (color, features etc.) is not available....
Lots of personal variables to weigh....
11-15-04, 08:10 AM
#33
Lead Lap
Re: '04 vs '05
DavidC - Take a lookk at what most of us are paying for these 04's (Mine is suppose to be here tsometime this week) and you will find the $5K off figure to be more realistic. If your only getting $1,250 off a $51K 05 and also have to add that 3rd row seat back in to make them equivilant then your paying over $52K for the 05 vs. $46,800 (or so) for the 04 so the price difference is slightly over $5K between comparably equiped 05 vs. 04. The residuals are less than $1,000. This means that (1) You will be paying approximately $4,000 more for the 05 over the lease period and (2) The car would cost you $1,000 more to buy out at the end of the term shouold you desire to keep it. If the extra HP, upgraded NAVI and Bluetooth are worth it to you, then go for it. I am a BIG blue tooth and NAVI fan but once I realized that this truck already has a great deal of pep (due to it's HUGE exiting torque ratings) I realize that the increase in HP might not be that big of a deal. In fact, the HP increase is actually a detriment in my books as it also makes the truck consume more fuel (1 MGP difference). We are already going from a RX300 that averages just over 21MPG with her driving it to a 19 MPG vehicle. If we went with the 05, that would be 18MPG estimated. With fuel prices the way they are now, that 3MPG difference (Between existing RX300 and 05 GX470) might be significant over the years. PS - I don't think MPGs are going to change the mind of anyone on this forum but it should at least be a consideration, right?
Originally posted by davidc1
Well, I am just speaking from my experience. I live in Northern NJ (Bergen County) and here's what I've been quoted: 1) '04 with NAV, RES, 3rd row, MSRP approx. $51K, $775 including tax ; 2) '05 with NAV/RES/3rd row, Sport Package (KDSS + some minor stuff), MSRP $55K, $825/mo including tax. Considering '05 had Sport Pack + VVT engine + bluetooth (which I don't care about), '05 made too much sense for me. The sense I got was that as '05 start to arrive, '04 residuals are relatively lower, perhaps the '05 upgrades makes the pre-'05s less desirable? The salesman agreed that current (November) '04 lease wasn't a very good deal.
However, if you intend to buy, I am sure you can easily get approx. $3000 off MSRP on '04s. I was only offered 2.5% off on '05s. Considering that '04s come with free 3rd row, it's almost a no brainer.
Well, I am just speaking from my experience. I live in Northern NJ (Bergen County) and here's what I've been quoted: 1) '04 with NAV, RES, 3rd row, MSRP approx. $51K, $775 including tax ; 2) '05 with NAV/RES/3rd row, Sport Package (KDSS + some minor stuff), MSRP $55K, $825/mo including tax. Considering '05 had Sport Pack + VVT engine + bluetooth (which I don't care about), '05 made too much sense for me. The sense I got was that as '05 start to arrive, '04 residuals are relatively lower, perhaps the '05 upgrades makes the pre-'05s less desirable? The salesman agreed that current (November) '04 lease wasn't a very good deal.
However, if you intend to buy, I am sure you can easily get approx. $3000 off MSRP on '04s. I was only offered 2.5% off on '05s. Considering that '04s come with free 3rd row, it's almost a no brainer.
11-15-04, 08:27 AM
#34
bunka,
Like I said, if you are buying, '04 makes much more sense. I was quoted $48K for '04 vs. $54K for '05 ('05 does include the sport pack). It just didn't make sense lease wise. $775 vs. $825 (extra hp, bluetooth, KDSS). I thought it was worth $50/month. It's only $1800 more over the 36 months lease. Sport pack alone is $1800 so to me, it was like getting the '05 for the price of '04. I suppose some folks elsewhere can get better lease deals on '04s and I have friends who did but that was last month or earlier. '04 that are arrving in December are competing with '05s arriving perhaps a week later. When incentives are thrown in such as free third row, it generally lowers the resale. And that's what I am guessing is happening to last of the '04s. My dealer didn't have any '04s sitting on the lot so they weren't that eager.
I too believe that '05s aren't worth $4k more. I would have taken an '04 if the lease difference was $100 or more. It just wasn't the case for me. And I didn't want to drive too far for a deal. The service at this dealership was deemed peerless.
Like I said, if you are buying, '04 makes much more sense. I was quoted $48K for '04 vs. $54K for '05 ('05 does include the sport pack). It just didn't make sense lease wise. $775 vs. $825 (extra hp, bluetooth, KDSS). I thought it was worth $50/month. It's only $1800 more over the 36 months lease. Sport pack alone is $1800 so to me, it was like getting the '05 for the price of '04. I suppose some folks elsewhere can get better lease deals on '04s and I have friends who did but that was last month or earlier. '04 that are arrving in December are competing with '05s arriving perhaps a week later. When incentives are thrown in such as free third row, it generally lowers the resale. And that's what I am guessing is happening to last of the '04s. My dealer didn't have any '04s sitting on the lot so they weren't that eager.
I too believe that '05s aren't worth $4k more. I would have taken an '04 if the lease difference was $100 or more. It just wasn't the case for me. And I didn't want to drive too far for a deal. The service at this dealership was deemed peerless.
11-15-04, 09:37 AM
#35
Driver School Candidate
Join Date: Oct 2004
Location: Arizona
Posts: 38
Likes: 0
Received 0 Likes
on
0 Posts
I didnt get the email.... jmarks@futurenetaz.com
I'll try to upload the Excel file as an Adobe Acrobat PDF. The numbers on the '04 lease are pretty much accurate (as I used my info) and took educated guesses on the '05.
I'll try to upload the Excel file as an Adobe Acrobat PDF. The numbers on the '04 lease are pretty much accurate (as I used my info) and took educated guesses on the '05.
11-15-04, 09:56 AM
#38
Driver School Candidate
Join Date: Oct 2004
Location: Arizona
Posts: 38
Likes: 0
Received 0 Likes
on
0 Posts
By the way davidc1, I live in Arizona and the dealers here weren't making concessions on the '04 GX.
I ended up using a broker from California who put me in touch with a dealership that was willing to work sell the vehical at the prenegotiated price (that the broker and I already agreed to). A couple FedEx packages, a few signatures and the car was shipped to me in 4 days---got it on the 5th day.
The shipping was $350 and was delivered to my home. It couldn't have worked out better.
I ended up using a broker from California who put me in touch with a dealership that was willing to work sell the vehical at the prenegotiated price (that the broker and I already agreed to). A couple FedEx packages, a few signatures and the car was shipped to me in 4 days---got it on the 5th day.
The shipping was $350 and was delivered to my home. It couldn't have worked out better.
11-15-04, 10:00 AM
#39
Driver School Candidate
Join Date: Oct 2004
Location: Arizona
Posts: 38
Likes: 0
Received 0 Likes
on
0 Posts
davidc1: Please call any Lexus dealership and ask for the finance manager (or department). Ask what the residual value will be on the '04 GX; then ask what it will be for the '05 GX. Please post the results on this thread as I am eager to learn what you find out.
When I called, they said 57%...when I went to the dealership he tried to use 54% instead. Thanks,
When I called, they said 57%...when I went to the dealership he tried to use 54% instead. Thanks,
11-15-04, 10:13 AM
#40
I remember being told that residuals for '04 (at this moment) was lower than '05. Made sense to me then, makes sense to me now. A friend of mine got one for $600/mon (ML/NAV, 3rd row) back in Summer. I haven't seen a single GX on a lot since. They all seem to be presold around here in Northern NJ. I am sure my deal isn't great. I hope the truck is.
11-15-04, 12:27 PM
#42
Lexus Test Driver
Thread Starter
Join Date: Jun 2001
Location: CA
Posts: 1,423
Likes: 0
Received 0 Likes
on
0 Posts
Re: ordered 05 on 10/2/04
Originally posted by MarcP
As it's the 15th, does anyone know where to find the pricing announcement from Lexus per the dealer letter in this thread??
As it's the 15th, does anyone know where to find the pricing announcement from Lexus per the dealer letter in this thread??
11-15-04, 12:32 PM
#43
Lexus Test Driver
Thread Starter
Join Date: Jun 2001
Location: CA
Posts: 1,423
Likes: 0
Received 0 Likes
on
0 Posts
Originally posted by davidc1
I remember being told that residuals for '04 (at this moment) was lower than '05. Made sense to me then, makes sense to me now. A friend of mine got one for $600/mon (ML/NAV, 3rd row) back in Summer. I haven't seen a single GX on a lot since. They all seem to be presold around here in Northern NJ. I am sure my deal isn't great. I hope the truck is.
I remember being told that residuals for '04 (at this moment) was lower than '05. Made sense to me then, makes sense to me now. A friend of mine got one for $600/mon (ML/NAV, 3rd row) back in Summer. I haven't seen a single GX on a lot since. They all seem to be presold around here in Northern NJ. I am sure my deal isn't great. I hope the truck is.
11-15-04, 12:43 PM
#44
Driver
Join Date: Sep 2004
Location: Illinois
Posts: 112
Likes: 0
Received 0 Likes
on
0 Posts
Re: Re: ordered 05 on 10/2/04
Originally posted by lexguynj
I too am waiting for a quote for price & delivery for the 2005 GX and I put a request in this morning to my dealer and will follow up again soon, since no answer yet.
I too am waiting for a quote for price & delivery for the 2005 GX and I put a request in this morning to my dealer and will follow up again soon, since no answer yet.
Keep me posted if you hear anything and I'll do the same. I actually have a deal for a 2005 in place already, but am very curious to see the "official" announcement from Lexus. Hopefully my deal will still be valid!
Thanks,
Marc
11-15-04, 02:08 PM
#45
Lexus Test Driver
Thread Starter
Join Date: Jun 2001
Location: CA
Posts: 1,423
Likes: 0
Received 0 Likes
on
0 Posts
Re: Re: Re: ordered 05 on 10/2/04
Originally posted by MarcP
lexguynj,
Keep me posted if you hear anything and I'll do the same. I actually have a deal for a 2005 in place already, but am very curious to see the "official" announcement from Lexus. Hopefully my deal will still be valid!
Thanks,
Marc
lexguynj,
Keep me posted if you hear anything and I'll do the same. I actually have a deal for a 2005 in place already, but am very curious to see the "official" announcement from Lexus. Hopefully my deal will still be valid!
Thanks,
Marc
My dealership just told me that they don't have the 2005 pricing yet have some 2004s coming in the beginning of December and the 2005s should be coming in late December. They will keep me updated when they have the pricing available (they don't have it yet from headquarters.
Please keep me updated on what you find out in your neck of the woods! It still seems that I can get a good deal on a incoming 2004, but with all this talk about the 2005, I can't help but not want a 2005.
Thanks!