gmanusmc

He's asking about a lease on a 2014 - not sure he'd be interested in a 6 year old previous generation car with probably at least 50k miles even if well kept.

aneidiaz

I'm just saying you know. It's still worth it. Least expensive and I'm sure just as fast. To me a lease is a waste of time. Basically paying for the car twice over after technically "renting" it for the first few years. If your gonna get the car just start buying it from the start. Why lease? But to each his own. Just sharing my opinion. Who doesn't like a new car? Today's economy is not so promising to say the least. But if he got the money go ahead man!! Live on!! ☺☺☺☺

gmanusmc

Not sure if you can get to 400 - do an email blast to as many SoCal dealers you can - there is 1500 lease incentive on the 350 til 6/30.

drbazing

Thank you for you IS-F input , that actually might make it to be one of my options, but I'm leaning more over into leasing a new 2014 IS350 F Sport.

The dealer close to me set the residual to 61% at 0 down payment at 10k miles a year for 36 months, which set the monthly payment to $600+. According to KBB and Truecar, the average monthly payment for a purchased car of the same model and packages was $655. Why not just buy the car if the difference is only $55? The MF is at standard .001 but if the car holds value real well, why not have the residual at something way higher than 61%? I'm thinking about 71% just like one of the guys here was being offered to, I did the calculations and it gave me a number of about +/-460 a month with taxes and fees already included. I'm new to this, but I feel like I've done enough research to know that the price per month should only be around the 400s. WHAT AM I MISSING?

One quote in this thread that caught my attention as to why I chose to lease:
"Why invest in something that depreciates in value? Might as well invest in real estate where value is going up"

SW17LS

The issue is the residuals are not set by the dealer, they are set by Lexus corporate. If the residual is only 61k that must be a 36 month lease, the 70+% residuals people are posting are for 27 month leases. Ask the dealer to quote you a 27 month lease. Money factor is okay, not great.

Also, what is the sales price they are offering you? If the sales price is high is screws up the lease. My guess is your payment is so high because they aren't discounting the car much, if at all. What fees and all are being wrapped in?

drbazing

The MSRP was about $49k but I negotiated it down to $45500 which is about $500 more than invoice. All the upfront fees cost $1k but I requested that it should be counted in the monthly payments already. Like most people say here, I should put any down payment at all unless if it's an MSD as an extent. I believe I was shown that each MSD lowers the MF by .0024.

I'm determined to get the car but I have a number that I stick to. If I can't get it then, I'm willing to walk away and find another car instead.

tmoney16

MSRP 50k
ultra white/red
12k miles/ yr
$2200 due at signing
$425/ month

leasing companies couldn't beat the deal my friend gave me at bay ridge lexus

gmanusmc

How many months and what s the residual%?

Congrats and enjoy your new IS

govpuddin

A couple months ago I signed up for the following lease:
49K Total
Ultra White/Red
3 Year/20k per year
$2500 Due at signing
$600 per month

I have to go back and check the paper work for the residual.

drbazing

Damn dude, 20k per year? $2500 down payment? $600 per month? How much negotiating did you do?

gmanusmc

Adding miles and months to a lease dramatically reduces residual which in turn increases the payment. To figure whether the lease is a good value, determine the total paid out versus the miles driven to find out the per mile cost. This lease looks like 24 grand for 60,000 miles - not bad.

drbazing

With that amount of monthly ($600) you spend on leasing the car, you might as well just have bought the car, if you don't mind paying a 10%-30% down payment I think the average financing for the car right now is around $655 total? Could be lower. As for 20k miles a year (didn't even know that it's an option), that would mean you're gonna be driving 55 miles a day? With that kind of mileage, why not just get a car with way better MPG? If you like driving luxurious for 55 miles a day then go ahead, I have nothing against it and it is well justified.

If I must drive 60k miles for 3 years, I would have leased it at 10k miles a year (no downpayment), and sold it to another dealer or even a private buyer (heck you can buy it yourself with the residual amount agreed) to avoid the hefty amount of mileage fees that you went over with before you turn it in. My friend has done this to all his cars, and has never paid any fees selling the car and he usually goes over 10k-20k miles over by the end of his lease.

gmanusmc

We don't know this poster's transportation situation - he may be using the vehicle totally for business so he can write some or all off his tax liability - it wouldn't be smart to do a retail purchase in that situation.

I do agree with you that if you intend to keep the car for awhile and drive a lot of miles, it makes more sense just to do conventional financing.

I was just pointing out that when you look at the per mile cost, $24k for 60,000 miles on a $50k car is probably a better deal than many of the other deals in this thread. If he drives the 60,000 miles, that's about .40 a mile for a pretty loaded IS. Do the math - figure the per mile cost of your deal. It seemed like you were implying he didn't do much negotiating and got a not so great deal - unless we know all the facts, we don't know that at all.

drbazing

I see your point. So unless we really get to know the residual value and all that good good, we are left in the dark and can only assume.

BTW isn't 0.40 a mile expensive? I mean I might have heard somewhere that they charge you a fee of 0.25 a mile exceeded when you turn in the car after the lease. This information I have no experience and concrete evidence to actually provide. If it does stand true then he might be paying a higher price, but yet again like you said we don't know all the facts.

I'm hoping he did get a good deal because it pains me to see anyone getting ripped off.

mikeblexus

First, thank you all for providing a deep wealth of knowledge on here. I'm brand new but learned more in 24 hrs of reading here than I did in school

I'm looking at a remaining 2014 IS 350 F sport, $49,400 MSRP. Aside from 2015's being on the ground (at least in Florida) this particular one has 4,300 dealer demo miles on it. I won't end up buying it so it's of little concern to me, especially if I can use it to drive a stronger deal. Would welcome anyone's input on:

1. Suggested offer, given the mileage. $43,000 ?
2. Anyone have Sept 2014 27 month residual and MF for 12K miles/yr?
I would only be putting down first/tax/fee etc ($1200 ballpark).

I'd like to go at the dealer with a strong take it or leave it offer but not sure what that should look like given the parameters above. Thanks in advance for any thoughts/insight.