Lexus out of Warranty repairs vs Audi A8
03-22-18, 07:14 AM
#31
LEXCTJill, Interesting response. "Not everyone is concerned about reliability"? " High income individuals generally have the resources for repairs outside of warranty as well. ?"
Not sure what experience or knowledge you have of this, but just because people have money doesn't mean they want to waste it on expensive repairs. Why do you have 3 Toyota's instead of high end luxury cars unless you are not one of those High Income Individuals you seem to know so much about?
Unless living in your parents basement gives you excessive resources?
Not sure what experience or knowledge you have of this, but just because people have money doesn't mean they want to waste it on expensive repairs. Why do you have 3 Toyota's instead of high end luxury cars unless you are not one of those High Income Individuals you seem to know so much about?
Unless living in your parents basement gives you excessive resources?
03-22-18, 07:22 AM
#32
Pit Crew
Thread Starter
I took the statement as a slam against me that I don't have the resources for a Lexus to be repaired out of warranty. LEXCTJill knows nothing about me or my finances, or I would guess the finances of most luxury car owners. My original question was only about the repair costs for an Audi A8. Not sure why they turned it into a financial resources debate.
03-22-18, 07:43 AM
#33
Lexus Fanatic
I took the statement as a slam against me that I don't have the resources for a Lexus to be repaired out of warranty. LEXCTJill knows nothing about me or my finances, or I would guess the finances of most luxury car owners. My original question was only about the repair costs for an Audi A8. Not sure why they turned it into a financial resources debate.
But in no no way was I trying to take a dig at you. And sorry if you felt that way. Its the internet and its hard to come across on what you really are trying to say I guess.
Last edited by Toys4RJill; 03-22-18 at 07:47 AM.
03-22-18, 08:18 AM
#34
I also have sources within Lexus corporate and Lexus finance, the numbers you are talking about are from the last couple years, not historically for the LS. All the numbers i have seen and been given for lease rates on the LS have been well over 50% when you go back to a time when the LS is not as old as it was. Having leased two LS460s recently the lease numbers werent very good, and the lease payments wound up being very close to finance payments, hence why people didn’t lease. I did but only for business reasons. Numbers on the LS500 will be different, or it won’t succeed.
When they sell 4k LSs that haven’t been redone in 10 years yeah they are mostly bought. When they sold 35k LSs a year they were mostly leased. Their sales goals are to be #2 in the segment, to do that they have to go back to mostly being leases. Also remember their goal is to capture new buyers at the expense of their long time legacy buyers, to do that they need to be mostly lease.
LS500 will be 60%+ leased not bought. Those are Lexus’ projections. LS400, LS430 and older LS460 were all also over 50% lease.
When you say “average time people buy new cars is after 3 years” you actually make my point for me. Reliability isn’t the most important factor to most buyers, and most buyers don’t buy the LS and keep it for 100-150k miles.
When they sell 4k LSs that haven’t been redone in 10 years yeah they are mostly bought. When they sold 35k LSs a year they were mostly leased. Their sales goals are to be #2 in the segment, to do that they have to go back to mostly being leases. Also remember their goal is to capture new buyers at the expense of their long time legacy buyers, to do that they need to be mostly lease.
LS500 will be 60%+ leased not bought. Those are Lexus’ projections. LS400, LS430 and older LS460 were all also over 50% lease.
When you say “average time people buy new cars is after 3 years” you actually make my point for me. Reliability isn’t the most important factor to most buyers, and most buyers don’t buy the LS and keep it for 100-150k miles.
03-22-18, 09:47 AM
#35
I'm all for reliability. I like to buy used cars and keep them until they start getting problematic. My last car cost me $114/month over six years, which is a lot less than leasing a similar car would have cost.
I like some of the German cars, but then you hear about $57k repair bills - https://www.roadandtrack.com/car-cul...-57000-repair/
I like some of the German cars, but then you hear about $57k repair bills - https://www.roadandtrack.com/car-cul...-57000-repair/
03-22-18, 02:37 PM
#36
Lexus Fanatic
I think the question is, will it be as cheap to maintain? The answer is no. The other question however is, are the potential repair costs 6-7 years down the line or longer really enough to significantly sway your buying decision on a $100,000 luxury sedan? Personally for me it doesn't even factor in, its all about an acquisition cost vs value vs what vehicle I like the best. Like Jill said I don't know that worrying about that makes sense when spending this kind of money.
03-22-18, 05:49 PM
#37
But again we're discussing the purchase of new $100k luxury sedans in a forum of a brand new model that just came out.
I think the question is, will it be as cheap to maintain? The answer is no. The other question however is, are the potential repair costs 6-7 years down the line or longer really enough to significantly sway your buying decision on a $100,000 luxury sedan? Personally for me it doesn't even factor in, its all about an acquisition cost vs value vs what vehicle I like the best. Like Jill said I don't know that worrying about that makes sense when spending this kind of money.
I think the question is, will it be as cheap to maintain? The answer is no. The other question however is, are the potential repair costs 6-7 years down the line or longer really enough to significantly sway your buying decision on a $100,000 luxury sedan? Personally for me it doesn't even factor in, its all about an acquisition cost vs value vs what vehicle I like the best. Like Jill said I don't know that worrying about that makes sense when spending this kind of money.
03-23-18, 02:46 AM
#38
My personal opinion is that reliability coincides with used car sale value. For example older bmw's lets say the early 2002-08 3 series vs 7 series, the 7 series had faults with bad electronics, and bad wiring. So much so that the prices of 7 series dropped significantly. But the 3 series did not have as many faults!
Nowadays you can purchase a used 3 series for about the same price as a luxury 7 series. A 2008 Lexus IS250 resale value is higher then both.
Sure someone buying a brand new car most likely will not have huge issues as far as reliability, but when it comes time to sell that low mileage Audi. You will most likely lose a lot of the cars value compared to buying a car that is known to be more reliable.
Nowadays you can purchase a used 3 series for about the same price as a luxury 7 series. A 2008 Lexus IS250 resale value is higher then both.
Sure someone buying a brand new car most likely will not have huge issues as far as reliability, but when it comes time to sell that low mileage Audi. You will most likely lose a lot of the cars value compared to buying a car that is known to be more reliable.
03-23-18, 05:40 AM
#39
Lexus Fanatic
Luxury cars always depreciate faster. Most people lease so there will be more cars coming off lease which brings down the demand putting downward pressure on the prices. Eventually that high priced Audi and that lower priced Camry will meet at some point in their respective used car values.
There is no logical financial sense to buying a high end car. Keeping a luxury car as long as you can is the only way to minimize ownership costs.
03-23-18, 06:19 AM
#40
Lexus Fanatic
My personal opinion is that reliability coincides with used car sale value. For example older bmw's lets say the early 2002-08 3 series vs 7 series, the 7 series had faults with bad electronics, and bad wiring. So much so that the prices of 7 series dropped significantly. But the 3 series did not have as many faults!
Nowadays you can purchase a used 3 series for about the same price as a luxury 7 series. A 2008 Lexus IS250 resale value is higher then both.
Sure someone buying a brand new car most likely will not have huge issues as far as reliability, but when it comes time to sell that low mileage Audi. You will most likely lose a lot of the cars value compared to buying a car that is known to be more reliable.
Nowadays you can purchase a used 3 series for about the same price as a luxury 7 series. A 2008 Lexus IS250 resale value is higher then both.
Sure someone buying a brand new car most likely will not have huge issues as far as reliability, but when it comes time to sell that low mileage Audi. You will most likely lose a lot of the cars value compared to buying a car that is known to be more reliable.
Audi doesn’t do this, and their leases are terrible. BMW and MB however do.
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