LexusSC430

Well stay out of Bergen County, NJ. And is this age of 30 a universal thing or simply personal....lmao

Phu

That's what makes an expensive car even more unique is that there is a young driver behind the wheel. Just turned 23 in March.

letS4nicate

Lease deal


I just checked out a $699 lease on a Porsche and the numbers were based on 10% down!!! What a sleazy dealer. The only thing dumber than a dealer advertising lease rates based on 10% down is the person who goes for it.....

Anyone know of this company?

LexusSC430

Many people do that, ever see Camry LE's for like $89 a month, then you get there and you need to put $6000 down. Its basically a bait and switch, but I for one had the money so put a larger down payment on the Lex to keep my payments lower, I guess the alternative would have been to put the cash in an interest or investment type thing, but oh well.

Those are pretty sleazy dealers though, because I CHOSE to do it, I wasnt lured because of it.

letS4nicate

Are you leasing though? If so, by putting that much down you risk losing you're entire down payment should the car be totalled or stolen. GAP insurance does not cover down payments.

LexusSC430

I dont see how that is the case. It just means I have more money invested into the car. Gap insurance covers the initial costs and risks of that happening soon after delivery. The insurance check would be the same regardless of what the down payment was. Because the car is worth what it is regardless of payments or intial ones were made. At this point it doesnt matter anyway though as the car is 7 months old.

letS4nicate

I don't see how you can say it doesn't matter if the car is 7 mos. old. If you total it now, you are still lose the money you put down whether it is $1000 or $5000. For that reason it makes more sense to put little or nothing down up front on a lease. If you own the car, of course putting more down up front makes sense. Obviously, if you total it, the check will be the same regardless of what you put down. You will not be getting any check if you total a leased car. You can get a replacement but will have to come up with another down payment.

letS4nicate

Please explain.

LexPro

Lease a new one it is always cheaper the residuals are higher(they do go down every quarter however). You can also residualize 1000$ of the cost chrome or aftermarket wheels. If you have good credit try to get a money factor of .0030 or less. Also in August and December Lexus Finance usually will give you a 5% sales tax credit called "L&M" just to move some iron. I bought mine when the residual was 57% for 48 mos 12k per year and a money factor of .0025 and the payments are $807 with no money down. If you are a tier 1(700 trans union score) security deposit will be waived. First payment is always due on delivery unless you add it to the price of the car. Good luck and happy hunting!

LexusSC430

Ok maybe if I use some examples I will prove my case. This isnt not including taxes, lets assume there are none. Now say a car is $50,000 and the lease and etc is 55% of the value, so your total lease payments would have to equal 27,500 now over 36 payments, it would be $763.88, now if you left $1000 down your payments would be $736.11 and $10k would be $486.11. Now having driven the car right off the lot lets say its worth $42,000. Well GAP insurance covers that initial "gap" but if you put money down you wouldnt owe anything, you would just lose the down payment. But after 7 months when the value of the car has leveled out and says its now worth $37,000 and you have invested around $13,000. Well if something should happen and they cut an insurance check for $40k, you get the value of the car minus what is owed. If its more you keep the difference. All a down payment is an advance of your car payments. Unless you are talking about security deposits like Gene is. Sorry this is confusing and all.

LexPro

I agree a down payment on your lease is payments in advance.

letS4nicate

I understand what are saying but my point is that if you are leasing, I don't think you get any check from the insurance company if the car is totalled. You get a replacement car on which you have to put another down payment. Your original $1000 or $10000 is lost.

LexusSC430

No you dont, you still have to have insurance, if I lease car and is totalled, the amount owed is paid off....minus the residual (buy-back) If your interest in the car is more than what it is worth you would get the difference. Then, you would start fresh...being able to get whatever car it is that you wanted...they dont simply give you another one. The first 1-4 months, I will say is always a gamble, but would be no different if you purchased a car without putting a chunk of money down.

Take for instance buying an SC430 at $62,000 if you only put $5k and finance it for 60 months, well what do you think happens if you total that car out 2 months after getting it......the bank is owed a lot of interest, in fact an entire year of payments will go for just that. The best way to do anything is buy the car in full, but most people and including many who can dont feel as if it is wise to drop $62k on something in one shot. So people lease for three years, because they dont want to pay $62k for a car and/or keep it for 10 years.