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Land Rover Range Rover Sport, Car Leasing, SUV
#15 of 548 Re: Lease-Am I getting a good deal?
by Car_man HOST
Sep 28, 2005 (3:08 am)
Hi ll10. Land Rover is not currently providing much in the way of lease support on the Range Rover Sport. If you were to lease a 2006 Range Rover Sport through Land Rover Capital Group right now for 36 months with 10,000 miles per year, its buy rate lease money factor and residual value should be .00285 and 60%, respectively. Using these numbers, an MSRP of $60,300, and a selling price of $58,800, I come up with a 36 month, zero down, pre-tax monthly payment of around $899. This is not that far from the payment that you were quoted. If you are having your truck's security deposit waived or if your quote includes tax, that would make up for the difference.
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#16 of 548 RR Sport deal
Oct 03, 2005 (11:57 am)
it seems if MSRP is 57 for the HSE and invoice is closer toi 51k. with a little downpayment you could get 36 months & 10kmiles for $600/month.
putting down a small down payment, say $3k is not an issue as suggested above. I think that is is just a question of the time value of money. If the car gets totaled, insurance will pay to recoup the car.
does anyone else think it is possible to get the RR Sport base model for 600/month with 3k down?
#17 of 548 Re: RR Sport deal [rrfan1]
Oct 07, 2005 (5:24 pm)
No you could not. I had a guy trying to get into the 800 dollar range for a lease pretty much the same is that. He had to put down over 7000 dollars in order to make it work and he did not want to do that.
#18 of 548 Re: range rover sport lease [dwax1]
Oct 22, 2005 (6:28 pm)
how did you get that 2300 off the sticker price? was your residual 58% or 60% of the total and the last question is the money factor?
i just went to the dealership and they were telling me that the residual is 58% which i think is BS and they were trying to tell me that normal money factor was 0.0036. so the 60400 sticker was coming out to 1049 a month after 5k down.
#19 of 548 Re: surfd90 [Car_man]
Nov 16, 2005 (7:45 pm)
I'm really at a loss to understand the lease figures on a RRS. I've been quoted about $944 inc tax (6%) for a 30 month lease, 0 down, 12K miles based on an adjusted cap cost of $57700 plus acq fees etc of $595 (=$58295). LRFC MF is 00.355 (quite high).
Upfront is just the first month plus $15-00 fee.
What I don't undertsand is why the lease is generally this high given that the residual is $42210. This means depreciation is about $16,000 of the adjusted cap cost. Add to that sales tax of $3498 ($58295 x 6%) = $19,500. The difference between this figure and the total cost to me of the lease (30 x $944 = $28320) is the finance charge - ie $8820 !
How can the finance charge be $8820 when I'm in effect financing about $20,000 ??? Even at a compounded rate of 8.5% per annum for the 30 months should mean that the finance element should be about $4000. Therefore, it seems that i'm being 'overcharged' by about $5000 !!!
As I see it, the lease on a RRS shouldn't be more than about $800 per month (unless my figures are drastically wrong somewhere)......?
#20 of 548 Re: surfd90 [mssurrey]
by kyfdx HOST
Nov 16, 2005 (8:28 pm)
You aren't financing $20,000... The bank that is leasing you the car has to buy it from the dealer.. In this case, they are paying them $58,295... That is the amount you are financing...
Actually.. to put a finer point on it.. you are financing the average of $58,295 and $42,210 (which is the value of the car when the lease is finished).
So, your average "balance" over the life of the lease is approximately $50,250.. Multiply that by 8.52%, then again by 2.5 years... I think you'll see where it is going ..
The finance charge is actually much greater than $8800.. I think you've overstated your sales tax... The finance charges are over $10K...
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#21 of 548 Re: surfd90 [kyfdx]
Nov 17, 2005 (3:52 pm)
I thought that the whole point of leasing was that you only have to finance that portion of the car that you use/lease for the period that it's kept.
I don't understand the 'average' that you state as the finace charge over the period that I lease the vehicle should cover the bank's cost of buying the vehicle and having equity tied up in the vehicle which is realised at the end of the lease.
If I'm being asked to finance the 'entire' cap cost amount for the 2.5 year period, then is it not worth just buying the vehicle outright?
Also, if I purchase the vehicle at the end of the lease, I've already paid the bank its finance charges for leasing me the vehicle AND, in effect, for purchasing the vehicle for me 2.5 years earlier...???!!!
#22 of 548 Re: surfd90 [mssurrey]
by kyfdx HOST
Nov 17, 2005 (5:31 pm)
The idea of leasing is to just pay for the depreciation that you use over the lease term.. The bank has to put up the entire purchase price, so you are paying finance charges on the entire vehicle for the time that you are using it.
The bank can recover the residual value at the end of the lease by selling the vehicle, but the time value of their money is the same over the period of the lease.. It is no different than if you were purchasing the car, in that respect..
Consider the lease as a loan on the vehicle.. At the start of the loan, you are borrowing $58,XXX.... and, at the end of the 30 months, you still owe $42,XXX.... You turn the car back into the bank...to pay off the loan.. But, the loan balance was between $58,XXX and $42,XXX the entire time that you leased the car.. That is the amount that you are paying finance charges on...
All that said... the lease program on the Range Rover is not very good... I think if I were interested in this vehicle, I'd buy it and finance at a lower rate than the lease equivalent of 8.2%.
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#23 of 548 RRS HSE
Nov 22, 2005 (3:47 pm)
Hi Car man could you check this :
RRS HSE 06
Luxury package + bluetooth ( no satelite radio, no DVD )
Sell price 57500
bank fee 595
can we do better
by the way on the message about the LR3 HSE selling price on that is 53208
#24 of 548 RRS Lease
Nov 22, 2005 (8:43 pm)
term 30 mts
mileage 15000 miles/yr