Evo X's residual values
Mar 6, 2008, 03:41 PM
#18
Thought about this, but with interest rates where there at I can get a 5 year loan for $570 month and a 6 year for $539 a month, financing 100%. Doesnt make sense to lease with rates where there at. Or a 7 year for $464 a month
but who wants to pay a loan for 7 years.
but who wants to pay a loan for 7 years.
Mar 6, 2008, 03:55 PM
#19
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?? How exactly ... Even with zero interest , 100% financed... Let's say $37k on the road including taxes comes to $622... All financed... Zero down... Just divide $38k by 60...
And the money factor comes to 6%.... Check your banks , that's about right... Take the money factor and multiply by 2400
That's the best mmc has right now
And the money factor comes to 6%.... Check your banks , that's about right... Take the money factor and multiply by 2400
That's the best mmc has right now
Mar 6, 2008, 04:25 PM
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Mar 6, 2008, 04:50 PM
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on my 335i sedan the residule was 78% after 2 years, mf was really low as well.
resulting in $500/mo + tax, with $3500 down for only 2 years lease.
This is on a $47K 335i which I got for a little over invoice, about 15 months ago.
The big advantage here is the business write-off (much more allowed on leases), and you don't pay sales tax on the whole car, only on the part that you uses (payments & cap reduction).
For $600/mo, I can probably get a well equiped 335xi. BMW def has a better lease program.
resulting in $500/mo + tax, with $3500 down for only 2 years lease.
This is on a $47K 335i which I got for a little over invoice, about 15 months ago.
The big advantage here is the business write-off (much more allowed on leases), and you don't pay sales tax on the whole car, only on the part that you uses (payments & cap reduction).
For $600/mo, I can probably get a well equiped 335xi. BMW def has a better lease program.
Mar 6, 2008, 05:01 PM
#25
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If the $600/month + $3k down IS accurate, leasing is a TERRIBLE idea!!
*Unless you are getting some tax write off... which you can't get in purchasing/financing.
Correct me if I'm wrong -- math/money is not my strong suit : ) -- leasing $595/month for 3 years is $21,400. Add $3000 down payment and at the end of three years you're looking at having paid $25k for a car you WON'T OWN.
Sure, you have the option to sell/buy, but IF you don't sell it privately or finance the balance (residual) at the end of your lease, you're out $5-10k (possibly $15k if you got a good enough interest rate)...
Let's say you you had purchased/financed the car, even with the same monthly payments and down -- the same figure over three years, $25k, towards OWNING the vehincle -- when you turn around and sell or trade-in you're going to get in the neighborhood of $25k. Deducting the $10-$15 owed on the loan (depending on your finance rate), you're up $10-15k over returning the car to the dealer at the end of the lease.
Am I missing something here?
Mar 6, 2008, 05:40 PM
#26
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that residual is higher on the bmw... But the money factor must be very low... For example... My money factor on a a S2000 is under 2% while a pilots was under 1%.... Money factors make all the difference
As far as lease vs buy... It depends... If you cannot put down alot of money then maybe saving $100 a month is worth it
Not sure about MMC but with Honda it he gap coverage built in so if you wreck or the car gets totaled its no loss to you even if you owe more than the payoff
Plus ... Say you do wreck and your insurance company fixes it... If you sell it the carfax will lower your resale alot .... Vs a lease where you can have it fixed and they have to take it back
There are advantages to lease and to buy.... Its all depending on your personal situation
I think this is great education btw for everyone....
I know it weird to be hearing this from a dealer
As far as lease vs buy... It depends... If you cannot put down alot of money then maybe saving $100 a month is worth it
Not sure about MMC but with Honda it he gap coverage built in so if you wreck or the car gets totaled its no loss to you even if you owe more than the payoff
Plus ... Say you do wreck and your insurance company fixes it... If you sell it the carfax will lower your resale alot .... Vs a lease where you can have it fixed and they have to take it back
There are advantages to lease and to buy.... Its all depending on your personal situation
I think this is great education btw for everyone....
I know it weird to be hearing this from a dealer
Last edited by Shahul X; Mar 6, 2008 at 05:47 PM.
Mar 6, 2008, 05:45 PM
#27
?? How exactly ... Even with zero interest , 100% financed... Let's say $37k on the road including taxes comes to $622... All financed... Zero down... Just divide $38k by 60...
And the money factor comes to 6%.... Check your banks , that's about right... Take the money factor and multiply by 2400
That's the best mmc has right now
And the money factor comes to 6%.... Check your banks , that's about right... Take the money factor and multiply by 2400
That's the best mmc has right now
Interest rates at our bank right now are 4.29% for 60month up to 5.79% for 84 month. Several dealers are selling at or just over invoice so even with tax+license your looking at just over $33k.
... Best we have here is like 5.1-5.5 for 60
Mar 6, 2008, 05:58 PM
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Assuming the same term, whether leasing or financing, (after 36 months), monthly ($600), and down ($3000)....
Purchasing, then selling privately, will end up paying in the neighborhood of $10-15k (depending on loan and sale price).
Leasing, returning at lease end, will have paid $25k.
Without $0 down AND a much smaller monthly lease, I don't see how there could possibly be any advantage over financing. Please correct me if I'm missing something here?
Mar 6, 2008, 06:09 PM
#30
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no , not really... Remember I was using $36 for the car plus tax , tags and freight, 6% md tax and tags
But for many I'm sure finance is the best way....
But i did want to originally just show residual values and that leases were technically available from mitsu
Hope someone gained something from this other than me ... LOL ... Thanks guys
But for many I'm sure finance is the best way....
But i did want to originally just show residual values and that leases were technically available from mitsu
Hope someone gained something from this other than me ... LOL ... Thanks guys