CyberNinja

Thought I would start a thread on how people bought or leased their IS500 or how they plan to get theirs if they’re thinking of buying or leasing one. Is it a lease? Did you finance? If you financed, did you go through Lexus Financial Services, a regular bank, or a credit union? Was your dealer helpful or did they try to rip your head off? Did you have to put in a buyer’s order? Any helpful pro-tips on how to negotiate the price on this car? If you plan on getting one, what’s going to be your game plan? Hopefully this would help any prospective buyers get their hands on one.

I’ll start with my plan: I’m actually waiting to the end of March (end of Q1 2023) when dealers start getting desperate to move inventory in the first quarter of the year in the hopes of getting a better deal on the price of the car. Assuming I wont be paying one red cent above MSRP, I’ll put down about 25% to then finance the rest using a credit union (mine is offering 3.6% for 60-72 months). I plan on taking the 72 month route with the intention of refinancing to a much shorter term once these crazy interest rates come back down to normal. This would be my very first “new” car, and I put in a buyer’s order back in September 2022 but still haven’t heard back. so I’m not so sure what exactly to expect different from buying one used.

Bechtold

If you intend to have the car for a long time it's best to buy it outright now. Lexus Financial Services is offering nothing for the IS 500. Even if you are looking at an IS 350 they offer 4.99% for 48 months. I did better on my IS 500 for 66 months at my local credit union. The lease option and then buying would have cost me thousands more than buying it outright. As for rates I don't see them coming down anytime soon. The fact is our current political overlords are spending money we don't have and the Fed raising rates to "curb inflation" isn't the fix. It just penalizes those who would be financing.

I'm buying mine. In the past leasing and then buying would have saved me money over buying outright at the time because Lexus was offering various programs (cash, tax rebates, low financing, etc.) and then you could decide to purchase the vehicle at a relatively low price.

CyberNinja

I agree with everything you said, but since I always keep tabs on the market for this car, I'm not seeing these cars exactly "fly" off the lots just yet. I've seen some "used" '22s sit on the dealer's lots upwards of 180+ days with no takers. So my reasoning is that now that Covid restrictions are easing, I'm seeing more and more batches of 500s come in so that should pressure dealers get these cars off their lots ASAP. So it might pay off to wait just a little bit longer. If the fed is going to raise interest rates again I would think it would have to be after Q1 anyway right? I dont think LF is going to beat my Credit Union at 3.6% at 72 months though.

gcmak

Supply remains low. With the economic shifts in the past 3 months, demand is lowering. Your chance of getting a car sooner at MSRP is increasing.

I got on a list last year and was called after Christmas. Not the color I wanted but at MSRP, I just wanted the car to experience. We don’t actually know when production ends or whatever else might come up.

Poor leasing and financing terms, I paid cash for the car, having got a decent amount for my used car.

The used is500 are misleading. Dealers over paid and are trying to minimize losses by holding on longer for the “right buyer”. The market tanked so fast on the used side, most people didn’t see it coming. A used is500 in this adjusted market should be a decent buy, if they existed.

Good luck on your purchase.

vpar23

maybe, car sales in January last year are at a high and wholesale prices are still going up even in this economic outlook. Also this is a summer car, so interest will peak in spring. I think the best time to buy is now

arentz07

Duly noted.