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Honda Ridgeline, Car Leasing, Truck
#215 of 364 Re: Honda Ridgeline: Lease Questions [zxdriver]
Sep 22, 2006 (4:06 am)
Hi zxdriver. That's really all I need to calculate this truck's lease payment for you. Of course, I'm going to have to make an assumption about the length of the lease and the mileage allowance that you want. For now I will assume that you are interested in a 36 month lease with 15,000 miles per year. Let me know if you want something different. According to my calculations, if you were to lease a 2007 Honda Ridgeline RTX with an MSRP of $28,850 and a selling price of $26,540 through Honda Finance right now for 36 months with 15,000 miles per year, your zero down, pre-tax monthly payment should be around $392 assuming that you quality for its "Super Preferred" credit tier and pay a security deposit at lease signing.
It's true that it is not really a good idea to make capitalized cost reductions on leases. Consumers who do risk losing them if their vehicle is totaled in an accident or stolen and never recovered. You really only have to pay your vehicle's first month's payment, a security deposit equivalent to your payment rounded up to the nearest $25 increment, Honda Finance's $595 acquisition fee, and any required state taxes or fees at lease signing. You can even roll the acquisition fee into your capitalized cost and have your security deposit waived in exchange for an increase of .00010 in your vehicle's money factor if you want.
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Sep 28, 2006 (6:59 pm)
Carman, so basically, the purpose of a CCR is to lower one's monthly payment, correct? I guess I'm a bit in the dark when you say you "lose" the CCR. Don't you lose it as soon as you sign the lease?? I'm looking at leasing a RL, but only if the monthly payment is where I want. I'm assuming you would advise me to get a check from the dealer for my trade, or sell it out right, and not to include it in the lease. Am i right on that? THank you for your help.
Oct 04, 2006 (6:00 am)
is the current lease on the rl rtx from honda a good one? it is $299 a month with $1999 down plus taxes and fees. the $1999 includes first month payment-sec. deposit and cap. cost reduction? i like the rl and was wondering if this is adecent price-thanks
Oct 12, 2006 (2:49 am)
Yes, jakej, capitalized cost reductions lower vehicles' lease payments. It is true that you "lose" your cap cost reduction the moment that you sign your lease payment, but making one provides you with the benefit of having a lower monthly payment on your leased vehicle for several years. If one totals a leased vehicle in an accident, their vehicle is gone and with is goes any benefit that they were receiving from having made a cap cost reduction.
You are absolutely right. There's nothing wrong with trading a vehicle in when leasing a new one, just have the dealer that you are working with cut you a check for your trade. Also, you can always sell your current vehicle privately. While it is a hassle to do so, consumers usually can get more money for vehicles that they sell on their own than they can get for them by trading them in.
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#219 of 364 Re: lease question [lablover2]
Oct 12, 2006 (2:57 am)
Hi lablover2. Honda has provided enough lease support on the Ridgeline to advertise a $299 a month lease with around $1,000 down on it for the past year or so. Honda's current lease on the 2007 Ridgeline is right in line with this. To arrive at this advertised payment, Honda is providing $1,250 dealer cash on leases of the '07 Ridgeline through Honda Finance. Make sure to take this cash into account when negotiating this truck's capitalized cost. Also, most manufacturers' advertised leases leave a little meat on the bone so to speak. If you are in an area that has a decent level of competition, I would not be surprised if you were able to negotiate a slightly larger discount on the truck that you want than the one that was assumed for the purpose of the advertised lease.
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#220 of 364 Lease specials
Oct 20, 2006 (8:24 am)
Honda is advertising both a "standard" and "special" lease for the RL RTX. The only surface difference seems to be the down payment (2K for standard and 1500 for special). Car Man, what is the real difference here, and is it possible to get a better lease deal than what Honda is advertising? Thanks as always. -JJ
#221 of 364 Re: Lease specials [jakej]
Nov 06, 2006 (3:49 am)
Hi jakej. Honda is running a special lease on the 2007 Ridgeline right now. It has a special money factor of .00124 on it this month. This is equivalent to an interest rate of around just under 3%. Like with most manufacturers' advertised leases, I suspect that the payment that Honda is advertising on the 2007 Ridgeline leaves a little meat on the bone so to speak. If you are in an area that has a decent level of competition you should be able to negotiate a lower selling price than the one that the advertised lease is based on.
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#222 of 364 Honda Ridgeline Lease - discrepancy with dealer?
Dec 10, 2006 (7:02 pm)
I'm thinking about leasing a 2007 Honda Ridgeline RTX 36 months, 15,000 miles per year.
The MSRP is $28,300. With a sales price of $27100, down payment of 1600, residual of 17,040 and a money factor of .001240, the cost according to the dealer is $349.29 including tax and license. When I enter the same information into edmuds lease calculator (with license fee at $280), the cost is $330.06. Then when I go to leasing guide.com, the number is even lower. When I called the dealership, they said that they could bring the cost of the car down to 26830, but the cost would be $340, still higher than the $330 that I came up with. Can you explain the discrepany?
What do you think is a good number to pay per month for 15k miles per year?
#223 of 364 December Captive Lease Rate?
Dec 13, 2006 (9:10 am)
Hi Car_Man. Thanks for all the great information in the forums. You really helped me negotiate a good deal on my last lease. Now I am trying to help my father lease a Ridgeline RTL. I was wondering what the current dealer incentives and the captive lease rates are for the RTL for this month. Thanks in advance.
#224 of 364 Re: Honda Ridgeline Lease - discrepancy with dealer? [amyinsandiego]
Jan 13, 2007 (5:21 pm)
Hi amyinsandiego. Let's calculate a lease payment on this truck and see what we come up with. According to my calculations, if you were to lease a 2007 Honda Ridgeline RTX that has an MSRP of $28,300, a selling price of $27,100, a money factor of .00124 and a residual value of 59%, for 36 months your zero down, pre-tax monthly payment would be around $344. With the lower capitalized cost that you mentioned, $26,830, the monthly payment for an otherwise identical lease would drop to around $336.
Honda's lease program for this truck changed for the money of January. Instead of the special lease money factor that was available on it last month, Honda is now providing $1,500 dealer cash on it. Make sure to take this cash into account when negotiating your lease. It will help you to get an attractive capitalized cost. Honda Finance's new 36 month, 12,000 mile per year buy rate lease money factor and residual value for the 2007 Ridgeline RTX are .00275 and 56%.
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